The AUD/USD pair is seen catching fresh bids last minutes and looks to regain the 0.72 handle, but the renewed upside appears capped courtesy the bearish technical setup and the weaker-than-expected NAB surveys.
USD/JPY is closely correlated to the global equities and after a slightly better performance in Asia yesterday, US stocks were unable to follow suit with the main focus of concern was over weaker demand for iPhones, with Apple sliding.
European markets are set to get the week off to a positive start despite Brexit and Italy risks seemingly rising as both enter into a crucial period.
Italy has said they will not change their deficit spending plans setting up a potential test of the Commission’s never used enforcement mechanism.
Top 3 Price Forecast - Bitcoin, Ethereum, Ripple: Zero visibility in a market with little desire to take action
The week starts at the Crypto market with an opposite scenario to the one we had last week. This week very short-term indicators are pointing up. The medium-term situation continues to show a structure that proposes laterality for the next few days.
Ripple's XRP price was holding healthy gains in the latter stages of trading on Monday. XRP/USD price action has cooled from the session highs, entering consolidation mode. Given the current behavior as detailed above, a bullish flag pattern has formed.
The Bitcoin price was seen trading marginally in the green, towards the latter stages of trading on Monday. Upside momentum not proving to be stable at this current stage, a strong of commitment within this price region. For the past 7 weeks now, BTC/USD price action is next to none.
Bitcoin Cash price nursing minor losses on Monday of just some 0.6%, towards back end of session. BCH/USD price action was contained within a descending channel/flag pattern, which has since seen the bulls breach.
The EUR/USD attempted a recovery but found itself on the back foot once again
The EUR/USD hit a new high of 1.1500 but was unable to hold onto it. The failure resulted in a gradual drop to the bottom of the range. The US Mid-Term elections yielded a divided government: Democrats won the House and Republicans retained the Senate, a result that had been forecast by the polls.
EUR/USD fell sharply on a mix of bad news from Italy, Brexit concerns, and the ongoing strength of the US Dollar. While it bounced off the lows, there is some hesitance. What's next?
The Technical Confluences Indicator shows that the pair needs to overcome the 1.1272 level where we see the convergence of the Pivot Point one-month Support 1, the Bollinger Band 15m-Upper, the Simple Moving Average 5-15m and the previous high.
If EUR/USD makes a move higher, the next significant cluster is 1.1319 where we see the confluence of the Pivot Point one-day S1, the SMA 100-15m, and the previous day's low.
If it does not recover and the current bounce is only a "dead cat bounce", the next and last visible support line is at 1.1202 which is the meeting point of the Pivot Point one-month S1 and the PP one-week S2.
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