USD Trading Outlook (23-06-2015)

Optimism over an agreement between Greece and its Creditors gave financial markets a very strong boost overnight. The conclusion of the summit that was held yesterday was not conclusive, however some encouraging words were released from the participants of the negotiations.

EUR, GBP, JPY, CHF fell sharply in the Asian session as the market was in demand for US dollars. GBPUSD especially was the hardest hit as the low was 1.5765 down from 1.5930 last week. Next Support is at 1.5690.

EUR/USD had been looking heavy but accelerated to the downside soon after with plenty of stops as EUR longs closed out perhaps in response to the better tone coming from Brussels. Next supports are 1.1150 and then 1.1050 area.

AUDUSD was also hit by USD strength however, was relatively stable compared to the other majors. Support for AUDUSD is 0.76 and 0.7530 year to date lows.

Looking ahead, PMIs from Eurozone will be the main focus in the European session while UK will release CBI trends total orders. US will release durable goods orders, house price index and new home sales.

Trading Quote of the Day: Amateurs want to be right. Professionals want to make money.

EURUSD

Pivot: 1.1315

Likely scenario: Short positions below 1.1315 with targets @ 1.1225 & 1.12 in extension.

Alternative scenario: Above 1.1315 look for further upside with 1.1365 & 1.1405 as targets.

Comment: The RSI has broken down its 30 level.

GBPUSD

Pivot: 1.585

Likely scenario: Short positions below 1.585 with targets @ 1.569 & 1.565 in extension.

Alternative scenario: Above 1.585 look for further upside with 1.593 & 1.5985 as targets.

Comment: The RSI has broken down its 30 level.

AUDUSD

Pivot: 0.774

Likely scenario: Short positions below 0.774 with targets @ 0.767 & 0.764 in extension.

Alternative scenario: Above 0.774 look for further upside with 0.7765 & 0.7795 as targets.

Comment: The RSI is below its neutrality area at 50%

USDJPY

Pivot: 123.22

Likely scenario: Long positions above 123.22 with targets @ 124.1 & 124.3 in extension.

Alternative scenario: Below 123.22 look for further downside with 122.95 & 122.55 as targets.

Comment: The RSI is supported by a rising trend line.

USDCAD

Pivot: 1.2285

Likely scenario: Long positions above 1.2285 with targets @ 1.2375 & 1.2405 in extension.

Alternative scenario: Below 1.2285 look for further downside with 1.224 & 1.221 as targets.

Comment: Technically the RSI is above its neutrality area at 50.

USDCHF

Pivot: 0.9195

Likely scenario: Long positions above 0.9195 with targets @ 0.9295 & 0.9335 in extension.

Alternative scenario: Below 0.9195 look for further downside with 0.9155 & 0.9105 as targets.

Comment: The RSI is well directed.

GOLD

Pivot: 1190.5

Likely scenario: Short positions below 1190.5 with targets @ 1179.8 & 1174.3 in extension.

Alternative scenario: Above 1190.5 look for further upside with 1194 & 1198 as targets.

Comment: As long as 1190.5 is resistance, likely decline to 1179.8.

OIL

Pivot: 60.6

Likely scenario: Short positions below 60.6 with targets @ 59.3 & 58.5 in extension.

Alternative scenario: Above 60.6 look for further upside with 61.3 & 61.8 as targets.

Comment: As long as 60.6 is resistance, likely decline to 59.3.

DAX

Pivot: 11275

Likely scenario: Long positions above 11275 with targets @ 11595 & 11700 in extension.

Alternative scenario: Below 11275 look for further downside with 11040 & 10880 as targets.

Comment: The RSI is bullish and calls for further upside.