Daily Forex Analysis - 4th August 2021

USD Overview (04 August 2021)

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

The ADP Non-Farm Employment Change data (Forecast: 645K, Previous: 692K) will be released later at 2015 (GMT+8).

The ISM Services PMI data (Forecast: 60.5, Previous: 60.1) will be released later at 2200 (GMT+8).

FOMC committee member Clarida will be speaking later at 2200 (GMT+8). During this time, there may be volatility in USD.

NZD/USD Outlook (04 August 2021)

Overall, NZD/USD is ranging across. Recently, NZD/USD broke above the key level of 0.70.

The New Zealand employment data released earlier today indicated a strengthening in the jobs market during the second quarter.

- Employment Change q/q (Actual: 1.0%, Forecast: 0.7%, Previous: 0.6%)

- Unemployment Rate (Actual: 4.0%, Forecast: 4.4%, Previous: 4.6% revised from 4.7%)

NZD/USDs next support zone is at 0.69500 and the next resistance zone is at 0.71000.

Look for buying opportunities of NZD/USD.

AUD/USD Outlook (04 August 2021)

Overall, AUD/USD is trending downwards.

During the monetary policy meeting yesterday, the Reserve Bank of Australia (RBA) held monetary policy unchanged. Despite the markets expectation that the central bank will be putting quantitative easing tapering on hold, the RBA did not do so and will continue to carry out the tapering in September as announced during the previous meeting. This led to the short-term strengthening of AUD.

The Australian Retail Sales m/m data (Forecast: -1.8%, Previous: -1.8%) will be released later at 0930 (GMT+8).

Currently, AUD/USD is testing to break above the key level of 0.74. Its next support zone is at 0.73300 and the next resistance zone is at 0.75000.

Look for short-term buying opportunities of AUD/USD if it breaks above the key level of 0.74.

USD/JPY Outlook (04 August 2021)

Overall, USD/JPY is trending downwards.

Currently, USD/JPY is testing to break below 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 (04 August 2021)

Overall, EUR/USD is ranging across.

The eurozone Retail Sale m/m data (Forecast: 1.6%, Previous: 4.6%) will be released later at 1700 (GMT+8).

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 (04 August 2021)

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

Currently, GBP/USD is testing to break below 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 buying opportunities of GBP/USD if it bounces up from the key level of 1.39.

USD/CAD Outlook (04 August 2021)

Overall, USD/CAD is ranging across. Recently, USD/CAD broke above the key level of 1.25.

The Canadian Manufacturing PMI data (Actual: 56.2, Forecast: NA, Previous: 56.5) released yesterday indicated continued expansion of the manufacturing sector in July.

The Canadian Building Permits m/m data (Forecast: 6.0%, Previous: -14.8%) will be released later at 2030 (GMT+8).

USD/CADs next support zone is at 1.24500 and the next resistance zone is at 1.26100.

Look for buying opportunities of USD/CAD.

GBP/JPY Outlook (04 August 2021)

Overall, GBP/JPY is ranging across. Recently, GBP/JPY bounced down from the key level of 152.

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

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

EUR/JPY Outlook (04 August 2021)

Overall, EUR/JPY is trending downwards. Recently, EUR/JPY broke the support zone of 130.000.

The eurozone Retail Sale m/m data (Forecast: 1.6%, Previous: 4.6%) will be released later at 1700 (GMT+8).

EUR/JPYs next support zone is at 128.500 and the next resistance zone is at 130.000.

Look for selling opportunities of EUR/JPY.