Wall Street continued the bullish momentum yesterday and so did the commodities market. The gold has completed a rally of 6% since the beginning of the week and the crude oil price rose the percentage as well. It will be interesting to see if this positive atmosphere in the markets will remain after the employment data tomorrow.
USD/CHF
The risings of the stocks weakened the USD against most of the currencies, but the CHF was not one of them. It looks like that the investors are afraid to invest in the CHF, mainly because of a possible intervention of the SNB. The break-up level of 0.93 has become a stable supporting level in the last few weeks. The impression is that strong buyers are picking the USD each time it gets to 0.93, and this might indicate for the pair's direction in the following weeks. A break-up of 0.945 could take the price up to 0.955 again, and even to 1.0. However, a break-down of the support at 0.93 might start an aggressive down-correction.
USD/JPY
The pair broke the support of 77.0 and slid to the next one at 76.5 and the buyers showed up there, which means that there are good chances for an up-correction from this point. Stochastic low levels support this assumption. However, the 20 EMA crossed below the 50 EMA, which is a bearish signal for the pair and it might signal that the Yen has not finished its current movement. Therefore, we might see an attempt of breaking-down the support at 76.5 and falling to the historical low at 75.5.
GBP/JPY
The pound has been strengthening against the USD since the beginning of the year, but the Yen is relatively stronger and therefore the pair's daily chart shows a clear bearish trend. The pair broke a strong support last week and made a slight correction on Tuesday. The GBP is obviously oversold so it might continue correcting towards 121.0-121.5. However, the general trend is still bearish and therefore the pair might reverse down any moment.
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