The EURUSD pair has broken its support zone on a 30 minute time frame. The price action is piercing the Bollinger Band however, this may not have much importance until we reach an important level of support. The RSI is trading in line with the price action which means further downward move could be on the on the way.
Read MoreThe USDJPY pair has broken its downward channel which is shown in yellow lines. The price action reversed its trend only a couple of pips shy off from its minor support zone, which was given in our analysis yesterday. The pair is trading within the upward channel which is shown in purple lines. The price has also retracted from its minor resistance zone as predicted yesterday.
At the time of writing this article, the price action is bouncing back up from its lower line of the upward channel, and if the price does find a support at this point, then the coming minor resistance level may not hold, as the price has already been there quite a few times. The RSI is trading in line with the price action which means bias could be towards the upside.
Read MoreThe GBPUSD pair is finding some strength on Wednesday however, investors are hesitating to bet on either side ahead of an important final GDP Q/Q report which is due at 09:30 GMT.
Most economists are predicting a decline in GDP growth, given that the country is standing on very flaky ground, and the most recent economic data has also fell short of expectations. The forecast number for the final GDP q/q is -0.3% while the previous reading was also -0.3%.
The price action has broken out of its ascending triangle and now it is re-testing its lower base line. The purple rectangle on the chart represents where the price could go, if this pattern does play out completely on a 30 minute time frame. The longer term downward trend line show in a yellow colour could add a further headwind for its upward movement.
However, the RSI is trading in line with the price action which could push the price higher towards its minor resistance.
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