EUR/USD – Bearish tone resurfaces

EUR/USD has failed to stage the residual push up towards the 1.0865/1.0890 resistance zone as per highlighted in our prior report dated on 31 May 2022 and broke below the 1.0700 key short-term pivotal support.
Elements have turned negative for the bulls, flip to a bearish bias below 1.0790 key short-term pivotal resistance for a further potential drop towards the near-term supports of 1.0590 and 1.0550.
However, a clearance with an hourly close above 1.0790 negates the bearish tone for a push up towards 1.0865/1.0890.
GBP/USD – Further potential drop below 1.2565 key resistance

GBP/USD has recorded a steep intraday drop after it failed to hold at the 1.2590 key short-term pivotal support as per highlighted in our prior report dated on 31 May 2022.
Flip to a bearish bias in any bounces below 1.2565 key short-term pivotal resistance and a break below 1.2450 may accelerate a drop towards the next support at 1.2340.
On the other hand, a clearance with an hourly close above 1.2565 negates the bearish tone for a squeeze up to retest the recent 27/30 May swing high of 1.2660.
USD/JPY – Pull-back before new potential up move, watch 128.85 key support

USD/JPY has staged the up move as expected and accelerated above the 129.50 resistance as per highlighted in our prior report dated on 31 May 2022. It printed an intraday high of 130.24 in today’s Asian session.
Right now, the hourly RSI oscillator has flashed out a bearish divergence signal at an extreme overbought level where the odds of a pull-back increases at this juncture after a steep rally seen in past three days.
Risk of a pull-back towards 129.50 intermediate support with a maximum limit set at the tightened 128.85 key short-term pivotal support before another potential impulsive up move materialises to retest the 28 April/9 May 2022 swing high areas of 131.25. However, a break with an hourly close below 128.85 negates the bullish tone for another round of choppy slide back towards 127.40.
AUD/USD – Upside momentum has eased off

Since our prior report dated on 31 May 2022, AUD/USD has staged the expected push up to print an intraday high of 0.7230 on 1 June 2022 but fell short of the 0.7265 resistance.
Thereafter, it has staged a drop of -83 pips to print a low of 0.7140 and broke below the minor ascending channel support in place since 13 May 2022 low. No conviction to maintain the earlier bullish scenario; flip to a bearish bias below 0.7230/7265 key short-term pivotal resistance for a further potential drop towards the next near-term supports at 0.7105 and 0.7045.
On the other hand, a clearance with an hourly close above 0.7265 revives the bullish tone towards the next resistance at 0.7335.
Time stamped: 2 June 2022 at 2.00pm SGT
Source: CMC Markets
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