Ethereum price (ETHUSD) shows new positive trades to test 3222.00$ level again, getting positive signals through stochastic to support the chances of continuing the rise in the upcoming sessions, but we notice that the EMA50 forms negative pressure against the price, to face contradiction between the technical indicators that makes us prefer to stay aside until we get clearer signal for the next trend, through breaching 3222.00$ resistance or breaking 3017.30$ support.

Note that breaching the mentioned resistance will lead the price to achieve more gains and head towards 3425.50$ as a main positive target, while breaking the support represents the key to suffer new losses that reach 2765.00$.

The expected trading range for today is between 3030.00$ support and 3340.00$ resistance.

Trend forecast: Neutral

The lack of the positive momentum led the EURJPY pair to provide mixed trades, to move within tight track represented by 163.25 resistance and 161.60 support.

Also, the recent contradiction between the major indicators reinforces the domination of the sideways bias, to stay neutral until surpassing one of the major levels, noting that succeeding to breach the resistance will confirm moving to the bullish track to start achieving many gains that start at 164.00, while breaking the support and holding below it will force the price to suffer many losses by moving towards 161.00 first.

The expected trading range for today is between 161.65 and 163.25

Trend forecast: Neutral

The GBPUSD price fasces negative pressure to head towards potential test to 1.2415$ level, noticing that the price moves inside intraday bullish channel that supports the chances of continuing the correctional bullish trend in the upcoming sessions, which its next target located at 1.2609$.

The EMA50 continues to support the suggested bullish wave, which will remain valid unless breaking 1.2415$ and holding with a daily close below it.

The expected trading range for today is between 1.2375$ support and 1.2525$ resistance

Trend forecast: Bullish

The USDJPY price faced additional negative pressure yesterday to break 154.96 level and reach 153.75 direct, noticing that the price bounced bullishly by today’s open to settle above the first level, to continue with our neutrality until we get clearer signal for the next trend, through breaking 154.96 support or breaching 156.45 resistance.

Note that breaking the support will push the price to suffer new losses and target 153.75 again, while breaching the resistance will lead the price to recover and visit 157.65 followed by 158.87 levels as main positive stations.

The expected trading range for today is between 154.80 support and 156.40 resistance

Trend forecast: Neutral

January 27, 2025 – Written by David Woodsmith

STORY LINK Pound Sterling to Dollar Rate Hits 1.247 as UK Government Talks up Economy

The Pound to Dollar exchange rate (GBP/USD) hit 20-day highs just above 1.2520 before settling just above 1.2500.

The government’s shift in stance to talk up the economy and put renewed focus on the growth outlook had some impact in supporting Pound sentiment, although there are still important reservations over the near-term outlook.

COT data, released by the CFTC also recorded a net short position in speculative Pound positions, the first short position since May 2024.

This suggests the potential for short covering if the UK economic news is more positive.

According to Scotiabank. The GBP/USD outlook is bullish with the third leg of a bullish morning star candle pattern on the weekly chart.

It added; “Solid gains again today so far, at least, support the more positive technical outlook and the prospect of a retracement towards the 1.26/1.27 range.”

In contrast, ING and MUFG both expect GBP/USD gains will stall below 1.2600.

The dollar jumped overnight due to the US-Colombia spat over the return of illegal immigrants.

President Trump threatened to impose 25% tariffs on Colombian exports to the US after the Colombian government refused to allow flights to land.

The dollar lost ground after Colombia backed down and the dollar then lost further ground as US yields dipped lower.

US equities came under pressure after Chinese company DeepSeek stated that it could produce a low-cost, low-power AI system.

There were concerns that this would pose a threat to US tech dominance with the Nasdaq index sliding 3%.

The Pound to Euro exchange rate (GBP/EUR) consolidated just below the 1.1900 level.

Domestically, research firm Incomes Data Research (IDR) found that 69% of employers are likely to slow wage growth, with over half “extremely likely” to do so. One-third may cut jobs, while others will absorb costs through lower profits.

There are very strong expectations that the Bank of England will cut interest rates next week, although the medium-term outlook remains extremely uncertain.

Within Europe, the German IFO index improved to 85.1 for January from 84.7 previously and marginally above consensus forecasts of 84.9.

There was a net improvement in current conditions, but the expectations component declined marginally, limiting Euro support.

Markets expect that the ECB will announce a further 25 basis-point interest rate cut this week, taking to deposit rate to 2.75%.

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TAGS: Pound Dollar Forecasts

Created on January 28, 2025

• During my daily analysis on Monday, the first thing that captures my attention is the fact that the US dollar has been beaten up quite significantly by multiple currencies.
• At this point I think you have a situation where the relief rally and currencies like the euro will have come close to running their course.
• After all, we have a market that’s in a downtrend for reason, and we could find even more reasons by the time we get through this week.

Central Banks

Keep in mind that the Federal Reserve meets on Wednesday and then releases its interest rate statement, while the European Central Bank releases its announcement on Thursday. In other words, I expect this pair to be extraordinarily volatile, but at the end of the day we already know that the Europeans are going to be cutting rates, but the Federal Reserve is expected to hold. The question at this point will be what happens at the press conferences for both of those central banks and their outlook. I think ultimately, the US dollar is probably the “default winner”, as we continue to see more inflows into the United States, and also at the same time see the European union look very sluggish, only slight signs of hope coming out of Germany as far as growth is concerned.

Ultimately, we have been in a downtrend for a while, and therefore we have to pay close attention to the idea that we are still suffering at the hands of a lot of “risk off behavior” in general, and therefore I think we’ve got a situation where this rally could end up being a nice selling opportunity, and I think a lot of people will be paying close attention to it. Underneath, the 1.03 level is an area that I would anticipate seeing a lot of support, and I do think that we could eventually revisit that area.

On the other hand, if we were to break to the upside, the 1.06 level is a major area of resistance, and if we were to break above there, then we could see an overall change in the attitude, but until we get above the 1.06 level on a daily close, I’m not necessarily convinced by any euro strength.

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