Daily Forex Analysis - 4th June 2021

USD Overview (04 June 2021)

Yesterday, USD strengthened against all major currencies.

The IHS Markit Final Services PMI data (Actual: 70.4, Forecast: 70.1, Previous: 70.1) released yesterday indicated a slight upward revision in the rate of expansion of the services sector in May.

Also, the ISM Services PMI data (Actual: 64.0, Forecast: 63.0, Previous: 62.7) released yesterday indicated an increase in the rate of expansion of the services sector in May.

Federal Reserve Chairman Powell will be speaking later at 1900 (GMT+8). During this time, there may be volatility in USD.

The U.S. jobs report will be released later at 2030 (GMT+8).

- Average Hourly Earnings m/m (Forecast: 0.2%, Previous: 0.7%)

- Non-Farm Employment Change (Forecast: 645K, Previous: 266K)

- Unemployment Rate (Forecast: 5.9%, Previous: 6.1%)

NZD/USD Outlook (04 June 2021)

Overall, NZD/USD is ranging across. Recently, NZD/USD broke below the key level of 0.72.

New Zealand banks will be closed next Monday in observance of the Queens Birthday. Expect lower trading volatility and volume during the usual New Zealand market session.

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

If NZD/USD breaks the support zone of 0.71000, look for short-term selling opportunities up until the release of the U.S. jobs report later at 2030 (GMT+8).

AUD/USD Outlook (04 June 2021)

Overall, AUD/USD is ranging across. Recently, AUD/USD broke below the key level of 0.77.

The Australian Retail Sales m/m data (Actual: 1.1%, Forecast: 1.1%, Previous: 1.1%) released yesterday indicated an increase in consumer spending at the same rate as previous month.

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

Look for short-term selling opportunities of AUD/USD up until the release of the U.S. jobs report later at 2030 (GMT+8).

USD/JPY Outlook (04 June 2021)

Overall, USD/JPY is ranging across. Recently, USD/JPY broke above the key level of 110.

USD/JPYs next support zone is at 108.500 and the next resistance zone is at 110.800.

Look for short-term buying opportunities of USD/JPY up until the release of the U.S. jobs report later at 2030 (GMT+8).

EUR/USD Outlook (04 June 2021)

Overall, EUR/USD is trending upwards. Recently, EUR/USD trended into the support zone of 1.21500.

The eurozone Final Services PMI data (Actual: 55.2, Forecast: 55.2, Previous: 55.1) released yesterday indicated a slight upward revision in the rate of expansion of the eurozone services sector in May.

The eurozone Retail Sales m/m data (Forecast: -1.4%, Previous: 2.7%) will be released later at 1700 (GMT+8).

European Central Bank President Lagarde will be speaking later at 1900 (GMT+8). During this time, there may be volatility in EUR.

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

If EUR/USD breaks the support zone of 1.21500, look for short-term selling opportunities up until the release of the U.S. jobs report later at 2030 (GMT+8).

GBP/USD Outlook (04 June 2021)

Overall, GBP/USD is trending upwards. Recently, GBP/USD bounced down from the key level of 1.42.

The UK Final Services PMI data (Actual: 62.9, Forecast: 61.8, Previous: 61.8) released yesterday indicated a slight upward revision in the rate of expansion of the services sector in May.

The UK Construction PMI data (Forecast: 61.9, Previous: 61.6) will be released later at 1630 (GMT+8).

Currently, GBP/USD is testing to break below the key level of 1.41. Its next support zone is at 1.40000 and the next resistance zone is at 1.43500.

If GBP/USD breaks below the key level of 1.41, look for short-term selling opportunities of GBP/USD up until the release of the U.S. jobs report later at 2030 (GMT+8).

USD/CAD Outlook (04 June 2021)

Overall, USD/CAD is trending downwards. Recently, USD/CAD trended into the resistance zone of 1.21000.

The Canadian jobs report will be released later at 2030 (GMT+8).

- Employment Change (Forecast: -23.5K, Previous: -207.1K)

- Unemployment Rate (Forecast: 8.2%, Previous: 8.1%)

The Canadian Ivey PMI data (Forecast: 62.3, Previous: 60.6) will be released later at 2200 (GMT+8).

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

If USD/CAD breaks the resistance zone of 1.21000, look for short-term buying opportunities of USD/CAD up until the release of the U.S. jobs report later at 2030 (GMT+8).

GBP/JPY Outlook (04 June 2021)

Overall, GBP/JPY is trending upwards.

The UK Final Services PMI data (Actual: 62.9, Forecast: 61.8, Previous: 61.8) released yesterday indicated a slight upward revision in the rate of expansion of the services sector in May.

The UK Construction PMI data (Forecast: 61.9, Previous: 61.6) will be released later at 1630 (GMT+8).

Currently, GBP/JPY is moving towards the support zone of 155.000 and the next resistance zone is at 157.000.

Look for short-term buying opportunities of GBP/JPY if it bounces off the support zone of 155.000.

EUR/JPY Outlook (04 June 2021)

Overall, EUR/JPY is trending upwards.

The eurozone Final Services PMI data (Actual: 55.2, Forecast: 55.2, Previous: 55.1) released yesterday indicated a slight upward revision in the rate of expansion of the eurozone services sector in May.

The eurozone Retail Sales m/m data (Forecast: -1.4%, Previous: 2.7%) will be released later at 1700 (GMT+8).

European Central Bank President Lagarde will be speaking later at 1900 (GMT+8). During this time, there may be volatility in EUR.

EUR/JPYs next support zone is at 132.800 and the next resistance zone is at 134.300.

Look for short-term selling opportunities of EUR/JPY.