Australia
USDCHF, CHF WEAKNESS EVIDENT: ANALYSISUSDCHF continues to climb as the CHF weakens. Typically when looking for strength and weakness, we look at the USD major currency pairs. For instance, GBP has been very strong against the USD and CHF very weak. If you open up GBPCHF you will see this market trend higher. Look for CHF shorts against the stronger currencies such as GBP, CAD and AUD for potential long opportunities.
USD UPDATE: ANALYSISUSD has started to stall around the $96.00 area and with the US government shutdown continuing we could start
to see the effects roll over to the USD.
If we see bearish price action here we could look for further USD shorts as price continues to make lower lows and lower highs in line with the downtrend.
S&P500 APPROACHING KEY RESISTANCE: ANALYSISS&P500 is approaching a key resistance level and looks likely to sell off in line with the weekly timeframe.
The weekly timeframe has formed lower lows and has retraced to the 38.2 fib and key resistance.
Looking for bearish price action here to suggest further downside to come.
EURUSD DOWNSIDE CONTINUATION: ANALYSISEURUSD has re-entered a resistance zone made from the previous structure lows and looks likley to break lower.
ECB chances of hiking rates in 2019 diminished as ECB President Draghi said monetary stimulus is needed.
If price breaks the supporting trendline look for further short opportunities into the 1.13000 support level.
BRENT CRUDE BACK AT SUPPORT: ANALYSISOIL has been relatively quiet despite large fluctuations in the price of the USD.
Price currently sits at key support and could potentially form the right shoulder of an inverse head and shoulders pattern.
If price breaks the daily highs we could see it head towards the next resistance level of 70.50.
GBPUSD...BREXIT VOTE AHEAD: ANALYSISGBPUSD is already heading lower in anticipation of PM May losing the vote on her Brexit deal.
The key will be how badly PM May loses the vote...if she loses by a large majority, the chances of a no deal Brexit will be almost certain.
PM May might be forced to leave which will lead to further uncertainty for the GBP.
EURUSD UNDER PRESSURE: ANALYSISEURUSD came under pressure this afternoon as ECB President Draghi stated a significant amount of monetary stimulus is needed. The data out of Europe has been poor of late
with the chances of a rate hike in 2019 slim to none for the Eurozone.
This was re-iterated by Draghi and we could see EURUSD move back towards 1.1300 by the end of the week.
USDCAD BACK AT 1.3300: ANALYSISUSDCAD is back to the key resistance and psychological level of 1.3300.
If price rejects here we could see further downside to this market as the BoC last week suggested a return to their gradual hikes.
If price breaks above the 1.3300 the 50.0 Fib offers another resistance zone.
DXY SHORT TERM RANGE: ANALYSISUSD is currently sitting in a 1hr range. A breakout lower in the US session would indicate further downside for the USD.
Watch major currency pairs for USD short opportunities. Fed Chairman Powell testifies today and his comments will be closely watched by investors looking for any signs of monetary policy talk.
NZDUSD REMAINS BULLISH: ANALYSISIn this video update, we take a look at how the NZDUSD is finishing this week.
We expected the NZD to benefit from the potential USD weakness this week and it rallied significantly.
If the market remains bullish we expect further upside next week as long as the USD can continue to move lower.
This along with the AUD will be under pressure as the trade war between Trump and China continues however any positive news will push these currencies higher.
USD RESISTANCE AT $95.60 (UPDATE)In yesterdays update we looked at the DXY and if we saw a close below the key lows we can look for further downside.
The 4hr chart shows price pulling back to the previous lows around $95.60 with 38.2 Fibonacci retracement confluence. If price can find resistance here we can look for the USD to move significantly lower.
USDNOK AT KEY SUPPORTThe Norwegian Dollar has benefited off the back of the current rise in the price of Oil.
USD weakness continues with Fed members talking of potential rate hikes.
Currently, price is testing the key support of 8.4500 and price could move higher from here.
If price holds and moves back to the resistance we could see a head and shoulders pattern forming and further downside.
GOLD PULLBACKS LIKELYGold has been moving significantly higher as of late largely due to the US government shutdown fueling the fire for safe-haven assets.
Typically through January, precious metals perform well and this is likely to continue however we must see some pullbacks first before getting back on the bull run. If price retraces back to the key support level of $1270.00 we can look for long opportunities, Our moving averages remain bullish adding confluence to the idea.