Technical Analysis — January 7, 2026
📊 Market Technical Update
— “Dollar catching its breath — euro rallies remain selling opportunities.”
💱 Multi-Timeframe Summary (key revisions)
🔹 Dollar pairs — euro weakness persists
| Pair | Short-term (5–15m) | 1-hour | Daily | Status |
|---|---|---|---|---|
| EUR/USD | 🟩 Buy | ⚪ Neutral | 🟥 Sell | ↘ Still in a rebound phase |
| GBP/USD | 🟩 Buy | 🟥 Strong sell | 🟩 Strong buy | 🔁 Mixed signals |
| AUD/USD | 🟩 Buy | ⚪ Neutral | 🟩 Strong buy | 😀 Dips still supported |
👉 Only the euro continues to face “sell the rallies” pressure.
➡ Waiting for bounces offers better risk–reward.
🔹 USD/JPY & Dollar crosses — dips tend to be bought back
| Pair | Short-term | Daily | View |
|---|---|---|---|
| USD/JPY | 🟥 Sell | 🟩 Buy | ⚠️ Pullback, then likely higher |
| USD/CAD | 🟥 Strong sell | ⚪ Neutral | 😐 Choppy / unstable |
| USD/CHF | ⚪ Neutral | 🟩 Buy | 🔁 Gradual move toward dollar strength |
| USD/NZD | 🟥 Strong sell | ⚪ Neutral | ⛔ Not a chase trade |
👉 This looks less like a true “dollar downtrend”
and more like an up-range that corrects, then recovers.
🔹 Yen crosses — widening divergence
| Pair | Short-term | Daily | Comment |
|---|---|---|---|
| EUR/JPY | 🟩 | 🟥 | ↘ Dragged by euro weakness |
| GBP/JPY | 🟩 | 🟩 | ⭐ Still strong |
| AUD/JPY | ⚪ | 🟩 | 🔄 Building a dip |
| CAD/JPY | 🟩 | 🟥 | 🤔 Heavy topside |
| CHF/JPY | ⚪ | ⚪ | 😐 Wait-and-see |
👉 The broader yen-selling trend continues,
but euro and CAD are struggling to keep up.
🔹 Gold & Bitcoin — diverging paths
| Market | View |
|---|---|
| XAU/USD (Gold) | 🟩 Daily trend remains firm — dip-buying favored |
| BTC/USD | ⚪ Losing momentum — short-term selling bias |
👉 Gold: dips are being bought.
BTC: consolidating near highs — entering a pause phase.
🧭 “Big Picture” Takeaways
🔻 Euro
🔺 Dollar (gradual strength)
🔁 Yen crosses: growing divergence by pair
🔺 Gold firm / BTC stalling
➡ “Sell euro rallies × Gradual dollar strength × Gold remains resilient.”
🎯 Strategy ideas (current stance)
🟩 Preferred longs
-
XAU/USD (Gold)
-
GBP/JPY
-
AUD/USD — on pullbacks only
🟥 Preferred shorts
-
EUR/USD — sell rallies
-
EUR/JPY — short-term only
⚠️ Caution
-
USD/JPY: tug-of-war — “no trade” is also a valid choice.
-
BTC: chasing longs carries higher risk.
📝 One-line takeaway
Euro rallies are still being sold.
The dollar edges higher with pauses.
Gold dip-buying still works — for now.
