NZD/USD approaches key bullish breakout level

Short term dollar weakness is providing a rebound for the likes of GBP/USD, EUR/USD, and NZD/USD. While the European currencies remain at risk, NZD/USD appears to be taking on a more bullish picture.

EUR/USD turning lower from trendline resistance

EUR/USD managed to rebound from the $1.1107-$1.1116 support zone last week.

The downtrend seen throughout the course of 2019 remains in play if we continue to see the prices exhibit lower highs. As such, a rally through $1.1215 would negate this bearish picture. However, until that happens it looks likely we will see the pair turn lower once again to head towards that same support zone.

EUR/USD chart Source: ProRealTime

EUR/USD chart Source: ProRealTime

GBP/USD downtrend expected to persist

Marginal gains for GBP/USD on Friday have provided us with a new retracement phase within a clear and consistent downtrend.

The creation of lower highs remains key here, with a break through the $1.2748 swing high required to negate this bearish trend. Until then, there is a strong chance we will soon see the pair turn lower once again. Watch for the stochastic to drop below 80 as a bearish confirmation signal.

GBP/USD chart Source: ProRealTime

GBP/USD chart Source: ProRealTime

NZD/USD trading at key resistance level

NZD/USD managed to rally into the $0.6559 resistance level over the course of Friday, with the pair showing the potential to regain a more bullish picture should that level break.

Given the creation of a higher low last week, things are starting to look more optimistic, especially when considering that this potential double bottom formation comes after a bullish trendline break in late May. As such, look out for whether we see a break through the $0.6559 swing-high to signal a more bullish outlook for this pair.

NZD/USD chart Source: ProRealTime

NZD/USD chart Source: ProRealTime


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