From a technical point of view, the main pair is in positive territory. We are above the neckline of the inverse head and shoulders pattern, which gives us a buy signal. Yesterday, the price met the first target for this formation, which is the 38.2% Fibonacci. A new buy signal will be triggered when the pair breaks the 38.2% Fibonacci, and a sell signal will be triggered upon a breakout of the lower line of the wedge pattern (red).
The next instrument is USDCHF, which does not want to go down despite an excellent bearish setup. The pair is currently testing the ultimate resistance created by a few bearish factors being in the same area. If we don’t get a bounce from this level now, the great bearish chance will be wasted. Closing the day above the black line will be a signal to go long.
A very clean and simple sell signal can be found on the USDJPY. The price has formed a head and shoulders pattern. Yesterday, USDJPY broke the neckline of this formation (red) along with the yellow horizontal support. Today, we are bouncing from those areas after testing them as a closest resistance. As long as the price stays below the yellow area, sellers have a better chance of success.