Forex Market Analysis Today [2024.06.18]: Is EURUSD Set to Fall Further?

Hello, Welcome to Forex Market Analysis Today!

Today, on Tuesday, 18th of June 2024, the forex market offers a dynamic landscape of trading opportunities and strategic challenges.

Across major currency pairs, we observe EUR/USD consolidating post-breakout, USD/CAD maintaining an uptrend near 1.38000 resistance, USD/JPY encountering resistance at 160 amid its upward trajectory, and USD/CHF consolidating between 0.88800 and 0.90000 after breaking its upward channel. These analyses provide essential insights for traders navigating today’s market dynamics.

Key Trading Events Today

These events encompass important global news, macroeconomic reports, and economic indicators. For more details, you can check the Forex Factory Economic Calendar.

• Around 8:30 AM, the US is releasing its Retail Sales Report, which may cause some volatility in USD pairs.

EURUSD:

Looking at EUR/USD, the price has broken the major support level and is trading near it. The next strong support is around 1.06000, and the resistance is around 1.09000.

If you look at the price action on the 1-hour chart, you’ll see that the price pulled back and touched the red line. If this resistance is strong, we can expect the price to drop from that level to the support around 1.06000. However, keep in mind that the price might move back above the red line if the resistance isn’t strong enough.

USDCAD:

Looking at USD/CAD, it is still in an uptrend. The lower trend line acts as the major support for the price, while the 1.38000 level acts as a small resistance. The major resistance is just above that, as shown on the chart.

If you look at the price action on the 1-hour chart, you’ll see that the price is consolidating. Since the overall trend is up, we can expect the price to move toward the resistance level, even though it might pull back from the upper Bollinger Band. It’s also likely to pull back from the resistance level shown on the 1-hour chart. However, if the price breaks this resistance, we can expect it to move to the next resistance level shown on the daily chart.

USDJPY:

Looking at USD/JPY, it’s in an uptrend. The sloped trend line acts as major support for the price, and the major resistance is around 160.

Looking at the price action on the 1-hour chart, you can see that the price is heading up, but there is some resistance at this level, causing it to consolidate. We expect the price to continue rising, but it might pull back from its current level. If it breaks this resistance, we can be sure it will go up.

USDCHF:

Looking at USD/CHF, after the price broke the upward channel, it started to drop and found support around 0.88800. Now, it’s consolidating between 0.88800 and 0.90000.

Looking at the price action on the 1-hour chart, you can see that the price is now at the support level. We can expect the price to pull back from this level and move toward the resistance area. However, keep in mind that the price could also break below this level and continue dropping.

GBPUSD:

Looking at GBP/USD, after the price reached the resistance around 1.28100, it pulled back and now seems to have support around 1.26500.

Looking at the price action on the 1-hour chart, we anticipate the price to rebound from this support level and move towards the resistance range around 1.28000. However, there is also a possibility that the price could break below this support and continue to decline. Therefore, it’s important to watch out for potential breakouts.

AUDUSD:

Looking at AUD/USD, after being in an uptrend, the price is now consolidating between the 0.65500 and 0.67250 levels.

Looking at the price action, we anticipate the price to pull back and then continue rising towards the resistance level. However, there is also a possibility of breakouts occurring at both the support and resistance levels. The direction of these breakouts will determine the future direction of the price. Therefore, it’s important to watch out for any breakouts.

NZDUSD:

Similarly with NZD/USD, after being in an uptrend, the price is now consolidating. The major resistance for the price is around 0.62150, and the major support is around 0.61000.

Observing the price action on the 1-hour chart, you’ll notice the price is near a support level. We anticipate the price to pull back from this level and continue upward towards the resistance level. However, it’s important to note that the price could also break below this support level and decline further. Therefore, stay vigilant for any potential breakouts.

Disclaimer

The information provided in this market analysis is for educational and informational purposes only. It should not be construed as financial advice or a recommendation to buy, sell, or hold any securities or investments.

All investments involve risk, and past performance is not indicative of future results. The analysis provided may not be suitable for all investors and should be used at their own discretion.

These analyses are here to help you understand how to analyze the market. They’re not about giving buy or sell signals. It’s simply about observing market behavior. I don’t recommend when to buy or sell because trading doesn’t work that way. You need a strategy to guide your decisions about when to enter or exit positions. That’s the key to making consistent profits in the financial markets over time.

Readers are encouraged to conduct their own research.

Trading and investing in financial markets carry inherent risks, including the risk of losing invested capital. It is important to carefully consider your investment objectives, risk tolerance, and financial situation before making any investment decisions.

GOOD LUCK!!!