During the course of the trading day on Wednesday, the US dollar has fluctuated back and forth as we continue to see plenty of upward pressure in general, but the market also seems to be running out of steam at this point. This is a market that is overstretched on almost every parameter that can be applied to it, and as a result, it would not be surprising to see a large correction. In the end, this is a market that is optimistic to say the least, but it is also a market that has been overbought to the point where I am concerned that the subsequent drop might be really severe.
The price is trading below the Pivot Point of 121.92, which is located at 121.30 and 122.52, respectively. The descending channel’s EMA 10 is advancing with a bearish bias and has crossed both the EMA 100 and the EMA 200. Both the 100 and 200-period EMAs are moving with uptrend. When the RSI is going toward the 30 level, the MACD histogram moves into the red zone. And the Stochastic is moving in the oversold zone. There is not a clear signal in the ADX. The Ichimoku Cloud and Chinkou Span are a long way away from market value. A bearish trend may be seen in the Tenkan- and a bullish one in the Kijun-sen indicators.

• There is resistance at 122.52, followed by resistance at 123.14 and 123.74.
• There is support at 121.30 Below, there is 120.70 and 120.08.

Note: We do not suggest any investment advice, and these analyses are just to increase the traders’ awareness but not a certain instruction for trading.