Daily Forex Analysis - 3rd August 2021

USD Overview (03 August 2021)

Yesterday, USD weakened against most major currencies except GBP and CAD.

The ISM Manufacturing PMI data (Actual: 59.5, Forecast: 60.8, Previous: 60.6) released yesterday indicated a slight slowdown in manufacturing activities in July.

FOMC committee member Bowman will be speaking tomorrow at 0200 (GMT+8). During this time, there may be volatility in USD.

NZD/USD Outlook (03 August 2021)

Overall, NZD/USD is ranging across. Recently, NZD/USD rejected the support zone of 0.69500.

The New Zealand employment data will be released tomorrow at 0645 (GMT+8).

- Employment Change q/q (Forecast: 0.7%, Previous: 0.6%)

- Unemployment Rate (Forecast: 4.4%, Previous: 4.7%)

Currently, NZD/USD is testing to break above the key level of 0.70. Its next support zone is at 0.69500 and the next resistance zone is at 0.71000.

Look for buying opportunities of NZD/USD if it breaks above the key level of 0.70.

AUD/USD Outlook (03 August 2021)

Overall, AUD/USD is trending downwards. Recently, AUD/USD rejected the support zone of 0.73300.

The Reserve Bank of Australia (RBA) will be announcing their monetary policy decision later at 1230 (GMT+8). The central bank is expected to keep monetary policy unchanged. However, due to the recent spike in COVID cases in Australia due to the Delta variant, the RBA may be holding back their plan on quantitative easing tapering that was announced back in Julys meeting. Doing so will allow the central bank to observe the COVID situation for now and decide if a tapering is warranted.

AUD/USDs next support zone is at 0.73300 and the next resistance zone is at 0.75000.

If the RBA sends out a dovish tone during their announcement later, look for short-term selling opportunities of AUD/USD if it breaks the support zone of 0.73300.

USD/JPY Outlook (03 August 2021)

Overall, USD/JPY is trending downwards.

The Japanese Consumer Confidence data (Actual: 37.5, Forecast: 37.0, Previous: 37.4) released yesterday indicated little change in the surveyed respondents view on the economic conditions in Japan.

Currently, USD/JPY is moving towards the key level of 109. Its next support zone is at 108.500 and the next resistance zone is at 110.800.

Look for selling opportunities of USD/JPY if it breaks below the key level of 109.

EUR/USD Outlook (03 August 2021)

Overall, EUR/USD is ranging across. Recently, EUR/USD bounced down from the key level of 1.19.

EUR/USDs next support zone is at 1.18200 and the next resistance zone is at 1.20000.

Look for buying opportunities of EUR/USD.

GBP/USD Outlook (03 August 2021)

Overall, GBP/USD is ranging across. Recently, GBP/USD broke below the key level of 1.39.

Currently, GBP/USD is testing to break above the key level of 1.39. Its next support zone is at 1.38000 and the next resistance zone is at 1.40000.

Look for short-term selling opportunities of GBP/USD if it fails to break above the key level of 1.39.

USD/CAD Outlook (03 August 2021)

Overall, USD/CAD is ranging across. Recently, USD/CAD bounced off the support zone of 1.24500.

The Canadian Manufacturing PMI data (Forecast: NA, Previous: 56.5) will be released later at 2130 (GMT+8).

Currently, USD/CAD is testing to break above the key level of 1.25. Its next support zone is at 1.24500 and the next resistance zone is at 1.26100.

Look for buying opportunities of USD/CAD if it breaks above the key level of 1.25.

GBP/JPY Outlook (03 August 2021)

Overall, GBP/JPY is ranging across. Recently, GBP/JPY broke below the key level of 152.

Currently, GBP/JPY is moving towards the key level of 152. Its next support zone is at 151.000 and the next resistance zone is at 153.800.

Look for short-term selling opportunities of GBP/JPY if it bounces down from the key level of 152.

EUR/JPY Outlook (03 August 2021)

Overall, EUR/JPY is trending downwards.

Currently, EUR/JPY is testing the support zone of 130.000 and the next resistance zone is at 132.000.

Look for selling opportunities of EUR/JPY if it breaks the support zone of 130.000.