The USD/JPY pair has broken its upward trend line on a 30 minute time frame. This shows a weakness for the uptrend. The upward trend line may act as a resistance now. However, the pair is trading above the 50 day moving average (shown in green) and below the 100 day (shown in yellow) moving averages which confirms that the bulls are losing their control. The volatility for the pair is low, as the price is trading within the Bollinger band and close to its 20 day moving average.
The GBP/USD pair has broken its resistance zone on a 30 minute time frame as predicted yesterday. The pair is trading above the 50 day (shown in green) and the 100day (shown in yellow) moving averages which confirm that the bulls are still in strong control. Moreover, the price is trading above the upward trend line and has not violated this trend yet which further strengthens the above argument.
European stock markets are trading higher today by recovering some of their losses yesterday. Markets have gathered their momentum after another record finish on Wall Street yesterday. The Fed’s tapering concern is becoming less fear for the markets, as the corporate earnings keep on beating the expectations which confirms that the recovery is strong in the US.