Daily Market Pick - 22nd August 2023

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EURUSD:

The EUR/USD chart is presently demonstrating a bullish trend, with a potential scenario where the price could continue to rise toward the initial resistance level at 1.0918. This initial resistance at 1.0918 is recognized as an overlapping resistance zone. Additionally, the second resistance level at 1.0956 is also identified as an overlapping resistance, coinciding with the 50.00% Fibonacci retracement level. On the downside, the intermediate support at 1.0855 is noted as a support level corresponding to a previous swing low. Meanwhile, the first support at 1.0835 holds significance due to its role as a support level during multiple swing lows.

GBPUSD

The GBP/USD chart is currently showcasing a bullish momentum, indicating a prevalent upward trend in the market. A potential scenario emerges where the price could continue its bullish movement, aiming for the initial resistance at 1.2790. This primary resistance at 1.2790 is recognized as an overlapping resistance level, coinciding with the 61.80% Fibonacci projection level. Furthermore, the secondary resistance at 1.2873 is identified as a retracement resistance, aligning with the 100.00% Fibonacci projection level. On the downside, the first support at 1.2709 is pinpointed as a support level that corresponds to multiple previous swing lows, aligning with the 50.00% Fibonacci retracement level. Additionally, the second support at 1.2610 is marked as an overlapping support level.

GBPJPY

The GBP/JPY chart depicts a prevailing bullish momentum. A possible scenario emerges in which the price could sustain its bullish trajectory toward the initial resistance level. Positioned at 185.85, the first support level holds strategic importance due to its overlapping support characteristics. Additionally, the second support at 184.71 is of value as it signifies a pullback support. Turning to the resistance aspect, the initial resistance level at 187.14 stands out, given its connection to a 127.20% Fibonacci Extension. Furthermore, the significance of the second resistance at 188.34 lies in its attributes as a resistance level corresponding to a previous swing high, alongside its alignment with the 61.80% Fibonacci Projection.

XAUUSD

The USD/CHF chart's overall momentum indicates a prevailing bearish trend, substantiated by the fact that the price has breached an ascending support line. This breach suggests the potential for extended downward movement. It's plausible that the price may continue its bearish trajectory, targeting the initial support at 0.8759. This initial support level at 0.8759 is recognized as a support level corresponding to multiple prior swing lows. Additionally, the second support at 0.8697 is noted as an overlapping support. Looking upwards, both the first resistance at 0.8826 and the second resistance at 0.8911 are categorized as overlapping resistances. These levels could potentially impede upward price movement by acting as barriers.

Thanks for reading! Smart trading, smart life!

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