Daily Forex Analysis - 28th May 2021

USD Overview (28 May 2021)

Yesterday, USD weakened against most major currencies except AUD and JPY.

The Preliminary GDP q/q data (Actual: 6.4%, Forecast: 6.5%, Previous: 6.4%) released yesterday indicated no revision from the advance release of the GDP data for the first quarter.

Also, the Unemployment Claims data (Actual: 406K, Forecast: 427K, Previous: 444K) released indicated continued decline in the number of people claiming for unemployment benefits.

NZD/USD Outlook (28 May 2021)

Overall, NZD/USD is ranging across.

Currently, NZD/USD is testing the resistance zone of 0.72850 and the next support zone is at 0.71000.

Look for buying opportunities of NZD/USD if it breaks the resistance zone of 0.72850.

AUD/USD Outlook (28 May 2021)

Overall, AUD/USD is ranging across.

It was announced yesterday that Australias Victoria state will be going into a one-week lockdown in an attempt to contain the COVID outbreak in Melbourne.

AUD/USDs next support zone is at 0.75500 and the next resistance zone is at 0.78000.

Look for selling opportunities of AUD/USD.

USD/JPY Outlook (28 May 2021)

Overall, USD/JPY is trending upwards. Recently, USD/JPY broke above the key level of 109.

The Japanese Unemployment Rate data (Actual: 2.8%, Forecast: 2.7%, Previous: 2.6%) released earlier today indicated a slight increase in unemployment in April.

The Japanese Retail Sales y/y data (Forecast: TBA, Previous: 5.2%) will be released next Monday at 0750 (SGT).

Currently, USD/JPY is moving towards the key level of 110. Its next support zone is at 108.500 and the next resistance zone is at 110.800.

Look for buying opportunities of USD/JPY if it breaks above the key level of 110.

EUR/USD Outlook (28 May 2021)

Overall, EUR/USD is trending upwards. Recently, EUR/USD broke below the key level of 1.22.

Currently, EUR/USD is moving towards the support zone of 1.21500 and the next resistance zone is at 1.23200.

Look for buying opportunities of EUR/USD if it bounces up from the support zone of 1.21500.

GBP/USD Outlook (28 May 2021)

Overall, GBP/USD is trending upwards. Recently, GBP/USD bounced up from the key level of 1.41 after the hawkish remark made by a Bank of England (BoE) committee member Vlieghe.

During his speech yesterday, committee member Vlieghe said that if the current furlough programme were to end smoothly by the end of this year, it will likely be appropriate for the central bank to increase interest rate next year.

Currently, GBP/USD is testing to break above the key level of 1.42. Its next support zone is at 1.40000 and the next resistance zone is at 1.43500.

Look for buying opportunities of GBP/USD if it breaks above the key level of 1.42.

USD/CAD Outlook (28 May 2021)

Overall, USD/CAD is trending downwards.

Currently, USD/CAD is testing the resistance zone of 1.21000 and the next support zone is at 1.19000.

Look for short-term buying opportunities of USD/CAD if it breaks the resistance zone of 1.21000.

GBP/JPY Outlook (28 May 2021)

Overall, GBP/JPY is trending upwards. Recently, GBP/JPY broke the resistance zone of 155.000 after the hawkish remark made by a Bank of England (BoE) committee member Vlieghe.

During his speech yesterday, Bank of England committee member Vlieghe said that if the current furlough programme were to end smoothly by the end of this year, it will likely be appropriate for the central bank to increase interest rate next year.

Currently, GBP/JPY is testing to break above the key level of 156. Its next support zone is at 155.000 and the next resistance zone is at 157.000.

Look for buying opportunities of GBP/JPY if it breaks above the key level of 156.

EUR/JPY Outlook (28 May 2021)

Overall, EUR/JPY is trending upwards. Recently, EUR/JPY bounced off the support zone of 132.800.

Currently, EUR/JPY is moving towards the resistance zone of 134.300 and the next support zone is at 132.800.

Look for buying opportunities of EUR/JPY if it bounces off the support zone of 132.800.