Market Analysis – USD Turns Lower
<div><img width="750" height="430" src="https://assets.iorbex.com/blog/wp-content/uploads/2023/08/31080626/Intraday-2-1.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/2023/08/31080626/Intraday-2-1.png 750w, https://assets.iorbex.com/blog/wp-content/uploads/2023/08/31080626/Intraday-2-1-300×172.png 300w" sizes="(max-width: 750px) 100vw, 750px" /></div><h2>USDJPY seeks support</h2>
<p><a href="https://assets.iorbex.com/blog/wp-content/uploads/2023/08/31080439/usdjpy-26.png"><img decoding="async" loading="lazy" class="aligncenter size-full wp-image-207346" src="https://assets.iorbex.com/blog/wp-content/uploads/2023/08/31080439/usdjpy-26.png" alt="" width="1200" height="627" srcset="https://assets.iorbex.com/blog/wp-content/uploads/2023/08/31080439/usdjpy-26.png 1200w, https://assets.iorbex.com/blog/wp-content/uploads/2023/08/31080439/usdjpy-26-300×157.png 300w, https://assets.iorbex.com/blog/wp-content/uploads/2023/08/31080439/usdjpy-26-1024×535.png 1024w, https://assets.iorbex.com/blog/wp-content/uploads/2023/08/31080439/usdjpy-26-768×401.png 768w" sizes="(max-width: 1200px) 100vw, 1200px" /></a></p>
<p>The Japanese yen bounced after July’s retail sales report beat expectations. The latest rally has come to a halt at <strong>147.30</strong> and an initial drop below 146.40 has prompted intraday buyers to cut back their exposure. Increasing resistance could be felt as the dollar grinds the supply zone 147.00-148.00 from the start of last November’s liquidation. <strong>145.50</strong> at the base of last week’s continuation rally is the first level to expect trend followers’ bids and 144.60 over the 30-day SMA is a major floor to maintain the current momentum.</p>
<h2>USOIL bounces higher</h2>
<p><a href="https://assets.iorbex.com/blog/wp-content/uploads/2023/08/31080516/wtioil.png"><img decoding="async" loading="lazy" class="aligncenter size-full wp-image-207347" src="https://assets.iorbex.com/blog/wp-content/uploads/2023/08/31080516/wtioil.png" alt="" width="1200" height="627" srcset="https://assets.iorbex.com/blog/wp-content/uploads/2023/08/31080516/wtioil.png 1200w, https://assets.iorbex.com/blog/wp-content/uploads/2023/08/31080516/wtioil-300×157.png 300w, https://assets.iorbex.com/blog/wp-content/uploads/2023/08/31080516/wtioil-1024×535.png 1024w, https://assets.iorbex.com/blog/wp-content/uploads/2023/08/31080516/wtioil-768×401.png 768w" sizes="(max-width: 1200px) 100vw, 1200px" /></a></p>
<p>Oil prices advanced as inventories fell by more than expected last week. On the daily chart, the directional bias remains up with the commodity probing for support after a convincing break above April’s high of 83.30. A bullish RSI divergence at 78.00 was a sign of stabilisation. Subsequently, a series of higher lows and a close above the peak of a previous swing high (81.60) indicates a strong bullish drive. <strong>83.00</strong> might be the last key resistance and its breach could resume WTI’s recovery. <strong>79.50</strong> is a fresh support in case of a pullback.</p>
<h2>SPX 500 breaks higher</h2>
<p><a href="https://assets.iorbex.com/blog/wp-content/uploads/2023/08/31080553/us500-4.png"><img decoding="async" loading="lazy" class="aligncenter size-full wp-image-207348" src="https://assets.iorbex.com/blog/wp-content/uploads/2023/08/31080553/us500-4.png" alt="" width="1200" height="627" srcset="https://assets.iorbex.com/blog/wp-content/uploads/2023/08/31080553/us500-4.png 1200w, https://assets.iorbex.com/blog/wp-content/uploads/2023/08/31080553/us500-4-300×157.png 300w, https://assets.iorbex.com/blog/wp-content/uploads/2023/08/31080553/us500-4-1024×535.png 1024w, https://assets.iorbex.com/blog/wp-content/uploads/2023/08/31080553/us500-4-768×401.png 768w" sizes="(max-width: 1200px) 100vw, 1200px" /></a></p>
<p>The S&P 500 climbs as signs of a cooling US economy boost the rate-pause optimism. A surge above 4470 and then 4500 has forced sellers to cover, potentially putting the index back on track. A break above the support-turned-resistance of <strong>4540 </strong>could trigger a bullish continuation. In the meantime, the RSI’s another venture into the overbought area may lead to a temporary retracement, which could be seen by the bulls as an opportunity to stake in as sentiment seems to be turning around. <strong>4430 </strong>would be the closest support.</p>
<p>The post <a rel="nofollow" href="https://www.orbex.com/blog/en/2023/08/market-analysis-usd-turns-lower">Market Analysis – USD Turns Lower</a> appeared first on <a rel="nofollow" href="https://www.orbex.com/blog/en">Orbex Forex Trading Blog</a>.</p>
Leave a Comment