AUDUSD: Remain in the wide 0.7500/0.7750 range

Jim Langlands FX Charts

AudUsd is back at 0.7700, as the difficult, choppy sideways trade continues, and from the look of the charts we could be in for a similar session looking likely again today.

The short term momentum indicators are mixed and although the 4 hour charts look positive, the indicators are becoming overbought, which may limit the upside momentum. Further out, the dailies are beginning to show the first signs of heading higher, albeit without any real conviction, but if they do pick up speed it could be that we head towards 0.7740, which should be strong resistance and where I would be tempted to sell it at the first attempt, with a SL placed above the November high of 0.7777. On the downside, support will be seen at 0.7680/85 (minor) ahead of Friday’s low of 0.7662. Below here looks unlikely at present, but further support would arrive at 0.7650 (minor) and at 0.7630. I remain neutral unless we see 0.7740, and in the longer term I think we probably remain in the wide 0.7500/0.7750 range for some time to come.

Economic data highlights will include:

M: WBC Consumer Survey (Q4)

T: CB Leading Indicator, House Price Index (Q4), RBA Minutes

W: WBC Leading Index

Author

Jim Langlands

FX Charts

Jim Langlands began his trading career in the commodities markets in London in 1976, before moving to Australia in 1979 to work as a floor trader on the Sydney Futures Exchange.

EUR/USD extends its optimism past 1.1900

EUR/USD retains a firm underlying bid, surpassing the 1.1900 mark as the NA session draws to a close on Monday. The pair’s persistent uptrend comes as the US Dollar remains on the defensive, with traders staying cautious ahead of upcoming US NFP prints and CPI data.

GBP/USD hits three-day peaks, targets 1.3700

GBP/USD is clocking decent gains at the start of the week, advancing to three-day highs near 1.3670 and building on Friday’s solid performance. The better tone in the British Pound comes on the back of the intense sekk-off in the Greenback and despite re-emerging signs of a fresh government crisis in the UK.

Gold picks up pace, retargets $5,100

Gold gathers fresh steam, challenging daily highs en route to the $5,100 mark per troy ounce in the latter part of Monday’s session. The precious metal finds support from fresh signs of continued buying by the PBoC, while expectations that the Fed could lean more dovish also collaborate with the uptick.

XRP struggles around $1.40 despite institutional inflows

Ripple (XRP) is extending its intraday decline to around $1.40 at the time of writing on Monday amid growing pressure from the retail market and risk-off sentiment that continues to keep investors on the sidelines.

Japanese PM Takaichi nabs unprecedented victory – US data eyed this week

I do not think I would be exaggerating to say that Japanese Prime Minister Sanae Takaichi’s snap general election gamble paid off over the weekend – and then some. This secured the Liberal Democratic Party (LDP) an unprecedented mandate just three months into her tenure.