USDJPY multi-decade high
The Japanese yen remains pressured after the pair broke another fresh high. The bullish bias stays intact as the pair continues the climb alongside a rising trend line, reflecting a strong JPY trend. The bullish mood means that pullbacks have been opportunities for the buy side to stake in. The greenback is testing the round number of 161.00, and another breakout would cement the dollar’s supremacy and pave the way for a rally towards 165.00. On the downside, 160.50 on the trend line is the first support.
GBPUSD breaks lower
Cable slips as traders fear the UK economy could lose support in the run-up to this week’s general election. A fall below 1.2700 showed profit-taking after bulls struggled to push back above 1.2760, putting a dent in the short-term mood. However, Sterling still has an edge from the intraday chart perspective. A recent bounce at the low of 1.2620 has seen buyers re-enter the market with a slight uptick in bids. The brief support-turned-resistance of 1.2700 is the level to lift before cable can create an uptrend.
UK 100 struggles to stay afloat
The FTSE 100 slides as the recent bearish divergence on the RSI pushes prices lower. A move below the previous swing low of 8220 has put the bulls on the defensive, giving back most of the gains from the V-shaped bounce in June. The latest uptick came under pressure at 8180 as bulls exited the market. However, its breach could extend the bearish channel towards 8000. Conversely, 8260 is the bulls’ target to move back above the recent swing high at 8320.
