AUD USD hitting new lows
The AUD USD was down for an eight straight session, hitting a multi-month low. The price action has fallen over 200 pips and broke the 0.6600 level. The double bottom of 0.6470 in May is essential support as its breach would prompt more buyers to take profit and continue the downward pressure. On the upside, 0.6650 is the immediate target to keep any rebound chances, with 0.6710 being the critical resistance.
EURJPY capitulating
Much like the Aussie, the Euro plummeted against the Yen after seeing record highs on the pair only a few sessions ago. As the price hovers above 165.00, the RSI’s oversold situation could cause a pullback if sellers are reluctant to chase after low offers. Sentiment remains highly downbeat, and bears could look to keep the direction intact. 164.70 is the first level to expect follow-through bids. Further down, the psychological level of 160.00 sits at the confluence of a previous swing low, making it a significant support to monitor.
UK 100 hitting peaks and troughs
The FTSE 100 struggles with momentum despite upbeat UK PMI data. Sentiment has turned cautious after the index touched a monthly low at 8100. A bounce above the first resistance, 8250, could prompt short-term sellers to cover and give the buy side some respite. 8280 is a crucial hurdle to lift at the previous swing high before the index can enjoy a broader recovery towards May’s peak of 8485. 8000 is a significant level to keep the rebound valid, or a more profound correction would send the index to 7860.
