Intraday Analysis – USD meets limited support

<div><img width="750" height="430" src="https://assets.iorbex.com/blog/wp-content/uploads/2023/07/31093221/Intraday-24-1.png" class="attachment-post-thumbnail size-post-thumbnail wp-post-image" alt="" decoding="async" loading="lazy" srcset="https://assets.iorbex.com/blog/wp-content/uploads/2023/07/31093221/Intraday-24-1.png 750w, https://assets.iorbex.com/blog/wp-content/uploads/2023/07/31093221/Intraday-24-1-300×172.png 300w" sizes="(max-width: 750px) 100vw, 750px" /></div><h2>USDCAD bounces higher</h2>
<p><a href="https://assets.iorbex.com/blog/wp-content/uploads/2023/07/31092938/usdcad-daily.png"><img decoding="async" loading="lazy" class="aligncenter size-full wp-image-205692" src="https://assets.iorbex.com/blog/wp-content/uploads/2023/07/31092938/usdcad-daily.png" alt="" width="1200" height="627" srcset="https://assets.iorbex.com/blog/wp-content/uploads/2023/07/31092938/usdcad-daily.png 1200w, https://assets.iorbex.com/blog/wp-content/uploads/2023/07/31092938/usdcad-daily-300×157.png 300w, https://assets.iorbex.com/blog/wp-content/uploads/2023/07/31092938/usdcad-daily-1024×535.png 1024w, https://assets.iorbex.com/blog/wp-content/uploads/2023/07/31092938/usdcad-daily-768×401.png 768w" sizes="(max-width: 1200px) 100vw, 1200px" /></a></p>
<p>The Canadian dollar softened as preliminary data showed the GDP contracting in June. The pair has been looking to hold onto the gains from its recent rebound above 1.3090 and a series of higher lows suggests a mounting buying pressure. A break above 1.3240 has prompted sellers to cover some of their bets, further easing the opposite pressure overhead. <strong>1.3300</strong> is the next resistance and its breach may attract momentum buyers and trigger an extended rally above 1.3400. On the downside, <strong>1.3190</strong> is the immediate support.</p>
<h2>EURGBP grinds support</h2>
<p><a href="https://assets.iorbex.com/blog/wp-content/uploads/2023/07/31093050/eurgbp-daily.png"><img decoding="async" loading="lazy" class="aligncenter size-full wp-image-205693" src="https://assets.iorbex.com/blog/wp-content/uploads/2023/07/31093050/eurgbp-daily.png" alt="" width="1200" height="627" srcset="https://assets.iorbex.com/blog/wp-content/uploads/2023/07/31093050/eurgbp-daily.png 1200w, https://assets.iorbex.com/blog/wp-content/uploads/2023/07/31093050/eurgbp-daily-300×157.png 300w, https://assets.iorbex.com/blog/wp-content/uploads/2023/07/31093050/eurgbp-daily-1024×535.png 1024w, https://assets.iorbex.com/blog/wp-content/uploads/2023/07/31093050/eurgbp-daily-768×401.png 768w" sizes="(max-width: 1200px) 100vw, 1200px" /></a></p>
<p>The euro struggles over weak economic sentiment and inflation expectations. The price has been drifting lower since it hit resistance in the daily supply zone around 0.8700. <strong>0.8535</strong> at the origin of a breakout rally in mid-July is a key level to see if the bulls could stand their ground. While the RSI’s oversold condition has brought in some bargain hunters, they will need to clear the top of the brief bounce at <strong>0.8600</strong> before a sustained recovery could take shape. Otherwise, the euro could be vulnerable to a sell-off below 0.8500.</p>
<h2>US 30 sees limited pullback</h2>
<p><a href="https://assets.iorbex.com/blog/wp-content/uploads/2023/07/31093202/us-30-daily.png"><img decoding="async" loading="lazy" class="aligncenter size-full wp-image-205694" src="https://assets.iorbex.com/blog/wp-content/uploads/2023/07/31093202/us-30-daily.png" alt="" width="1200" height="627" srcset="https://assets.iorbex.com/blog/wp-content/uploads/2023/07/31093202/us-30-daily.png 1200w, https://assets.iorbex.com/blog/wp-content/uploads/2023/07/31093202/us-30-daily-300×157.png 300w, https://assets.iorbex.com/blog/wp-content/uploads/2023/07/31093202/us-30-daily-1024×535.png 1024w, https://assets.iorbex.com/blog/wp-content/uploads/2023/07/31093202/us-30-daily-768×401.png 768w" sizes="(max-width: 1200px) 100vw, 1200px" /></a></p>
<p>The Dow Jones bounces as an easing PCE price index may further lighten the burden on the Fed. The index came short of the February 2022 high of 35850 and a break below the immediate support of 35330 has forced some short-term buyers to exit. The RSI’s bearish divergence combined with its overbought status on the daily chart is a sign of overextension and buyers may refrain from being over-exposed. <strong>35650 </strong>is a fresh resistance and a fall below <strong>35200</strong> would trigger a deeper correction to 34500 on the 30-day SMA.</p>
<p>The post <a rel="nofollow" href="https://www.orbex.com/blog/en/2023/07/intraday-analysis-usd-meets-limited-support">Intraday Analysis – USD meets limited support</a> appeared first on <a rel="nofollow" href="https://www.orbex.com/blog/en">Orbex Forex Trading Blog</a>.</p>