Dollar selling persists in European morning trade with the greenback under pressure across the board. The key technical levels from previous messages are currently in dispute and we could see another lower leg of the dollar stretching in the coming sessions if we get daily closes above the key levels mentioned:
Cable is trading up 0.6% at 1.2250 and challenges a firm daily close above 1.2200 as well as the 50.0 Fib retracement level at 1.2213. Meanwhile, USD/CAD is currently testing its 100-day moving average at 1.2773. Next, AUD/USD is looking for a firm daily break above 0.7000 to pave the way for testing the 61.8 Fib retracement level at 0.7053 and the June 16 high at 0.7069 . Elsewhere, EUR/USD is approaching the 50.0 Fib retracement level at 1.0283 – which has remained a key upside resistance since the middle of last month.