CRYPTOCURRENCIES ATTEMPT TO RECOVER LOSSES
The broader cryptocurrency market started to move higher this week, after incurring heavy losses during the month of June. Bitcoin moved back towards the $6,700 level, as the number one cryptocurrency by market capitalization recovered over fifteen percent of its value since hitting, $5,707, last month. Ethereum, the second largest cryptocurrency by market capitalization made similar impressive gains, as the popular alternative-coin recovered back towards the $478 level, after hitting, $395, at the end of June. Litecoin also made an impressive recovery back to the $88 level this week, before later slipping lower towards the $80 support level.
The BTCUSD pair is only bullish while trading above $6,481 level, further upside towards the $6,800 and $7,000 levels now seems possible.
If the BTCUSD pair moves below the $6,481 level, the price could fall back towards the $6,000 and $5,600 levels.
The British pound continued to recover higher against the US dollar this week, after better than expected economic data from the United Kingdom economy and a hawkish speech from Bank of England Governor Mark Carney boosted sterling. The GBPUSD pair moved towards the 1.3270 resistance level, as the United Kingdom economy posted strong PMI Services and Manufacturing data for the month of June. Bank of England Governor Mark Carney delivered a scheduled speech this week, noting that UK inflation remains on-target while brushing aside softer UK data at the start of the year. Traders continued to speculate that the Bank of England will hike UK interest in August, as UK economic data improves.
The GBPUSD pair remains bullish while trading above the 1.3205 level, further upside towards 1.3300 and 1.3370 seems possible.
If the GBPUSD pair moves below the 1.3205 level, further selling towards the 1.3170 and 1.3140 support levels remains possible.
A HIGHER EURO
The euro currency moved back above the 1.1700 level against the US dollar this week, after eurozone economic data started to improve and the greenback weakened. The euro started the trading-week under pressure over German political fears, falling below the 1.1600 level, but soon recovered earlier losses as a deal was struck between German coalition leaders. The single currency received a further boost from better than expected German Factory Order data and stabilizing eurozone PMI data, while the US dollar index faded lower after failing to break back above the 95.00 level.
The EURUSD pair is bullish while trading above the 1.1674 level, further upside towards the 1.1750 and 1.1800 levels seems possible.
If the EURUSD pair moves below the 1.1674 level, sellers may test towards the 1.1630 and 1.1600 support levels.
The Australian dollar started to recover losses against the US dollar this week, after the greenback tumbled-lower against commodity-related currencies and the Australian economy posted stronger Retail Sales data. The Aussie made gains towards the 0.7400 level this week, after earlier slumping to its lowest trading-level since January 2017, hitting 0.7310. The Australian dollar surged-higher on stronger than expected monthly Retail Sales data but showed only a muted reaction to the Reserve Bank of Australia’s decision to kept interest rates on hold, at 1.50 percent.
The AUDUSD pair remains bearish while trading below the 0.7460 level, key support remains at the 0.7310 and 0.7235 levels.
If the AUDUSD pair moves above the 0.7460 level, further upside towards the 0.7510 and 0.7560 resistance levels seems possible.