AUDUSD bounces above daily cloud; extended correction not ruled out

Slobodan Drvenica Windsor Brokers

AUDUSD

Aussie bounces above daily cloud which was penetrated in past two-day action, after pullback from 0.7758 peak, found temporary support at 0.7488. Today’s fresh strength emerged from Wednesday’s bullish close, as long-legged daily candle signaled descend stall and possible formation of reversal pattern. Today’s close above daily cloud top at 0.7517 is needed to generate bullish signal for further recovery. Extended rallies are expected to face strong resistance at 0.7588 (Fibo 38.2% of 0.7758/0.7488/daily Tenkan-sen/Kijun-sen bear cross) which is expected to ideally cap, as daily studies are negative. Only firm break here would neutralize and open way for further retracement of 0.7758/0.7488 pullback, towards its 50% and 61.8% retracement levels at 0.7623 and 0.7655.

Res: 0.7552; 0.7588; 0.7623; 0.7655
Sup: 0.7517; 0.7488; 0.7441; 0.7419

Author

Slobodan Drvenica

Windsor Brokers

Industry veteran with over 22 years’ experience, Slobodan Drvenica joined Windsor Brokers in 1995 when he was an active trader for more than 10 years, managing the trading desk and own account departments.

EUR/USD looks offered below 1.1900

EUR/USD keeps its bearish tone unchanged ahead of the opening bell in Asia, returning to the sub-1.1900 region following a firmer tone in the US Dollar. Indeed, the pair reverses two consecutive daily gains amid steady caution ahead of Wednesday’s key US Nonfarm Payrolls release.

GBP/USD slips back to daily lows near 1.3640

GBP/USD drops to daily lows near 1.3640 as sellers push harder and the Greenback extends its rebound in the latter part of Tuesday’s session. Looking ahead, the combination of key US releases, including NFP and CPI, alongside important UK data, should keep the pound firmly in focus over the coming days.

Gold the battle of wills continues with bulls not ready to give up

Gold remains on the defensive and approaches the key $5,000 region per troy ounce on Tuesday, giving back part of its recent two day. The precious metal’s pullback unfolds against a firmer tone in the US Dollar, declining US Treasury yields and steady caution ahead of upcoming key US data releases.

Bitcoin's downtrend caused by ETF redemptions and AI rotation: Wintermute

Bitcoin's (BTC) fall from grace since the October 10 leverage flush has been spearheaded by sustained ETF outflows and a rotation into the AI narrative, according to Wintermute.

Dollar drops and stocks rally: The week of reckoning for US economic data

Following a sizeable move lower in US technology Stocks last week, we have witnessed a meaningful recovery unfold. The USD Index is in a concerning position; the monthly price continues to hold the south channel support.

XRP holds $1.40 amid ETF inflows and stable derivatives market

Ripple trades under pressure, with immediate support at $1.40 holding at the time of writing on Tuesday. A recovery attempt from last week’s sell-off to $1.12 stalled at $1.54 on Friday, leading to limited price action between the current support and the resistance.