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Currency market: FX, XAU, RUR, GBP, US Dollar Index, GBP/JPY and cross pairs

EUR/USD achieved target at 0.9979 for +226 pips. The Trade: Long 0.9749 and 0.9744 to target 0.9979. Lows traded to 0.9752 and highs at 0.9999.

The 2ng leg in in effect to short 0.9979 to target 0.9886 for another 93 pips.

SPX Trade: Long above 3661.targets 3759.79. Highs achieved 3790 and lows 3606. Bottomside from Sunday 3562.90. From 3661 + 98 pips.

Not posted was short from 3759 for extra points.

Target to Target from 3606 lows to 3759 is the actual required trade for 153 points.

DXY weekly traded 179 pips vs SPX 184. SPX for the week trades in unison to DXY.

No winner emerged in the Brazillian elections Sunday as a runoff is scheduled for October 30 and another Sunday of voting. USD/BRL target at 5.2683 reached destination Monday from severe overbought at 5.4235 and +1500 pips.

USD/BRL higher must break 5.2192 and targets easily 5.2665 on a long only strategy from current oversold.

EUR/USD at current 0.9924 approaches vital 1.0048 to trade sunstantially higher and target 1.0123 and 1.0198 easily. EUR/USD 1.0048 is a huge break. The line is currently rising which says ranges may open wide but 1.0048 won't break easily.

GBP/USD must break 1.1602 to trade higher and weekly highs traded to 1.1493. The short target is located at 1.1070 on a break of 1.1336.

Vast majority of trading activity this week was contained between GBP/USD and EUR/USD and cross pairs. EUR/USD and GBP/USD began the week at dead neutral to oversold AUD/USD and NZD/USD. EUR/USD and GBP/USD movements were based on proper alignments to AUD and NZD.

USD/JPY traded 179 pips this week to match DXY. USD/JPY is again trading perfectly to DXY.

Japan's Ministry of Finance released its monthly Intervention data as right about $14 million was spent to drop USD/JPY 500 pips and JPY/USD to trade higher by 250 pips. The $14 million translates as Yen 2,838.2 billion.

Best trades to continue the week are EUR/NZD, EUR/AUD, GBP/AUD and GBP/JPY. Recall GBP/JPY ranges from 148.00's to 168.00's. GBP/JPY broke the 5 year average in 2019 to trade 3 years later at 168.00's in March 2022. The range from 148 to 168 remains in effect until a break is seen and has held for 3 years.

GBP/JPY trades massive overbought and targets easily 163.21 then 162.54.

EUR/NZD, EUR/AUD and GBP/AUD trade massive overbought and easy money shorts over next days. Note exchange rate numbers EUR/NZD 1.7300's VS GBP/AUD at 1.7600's. Same currencies as both achieved a marriage for double trades.

NZD/USD and AUD/USD traded higher to relieve deep oversold then sat idle to allow GBP/USD, EUR/USD and cross pairs to align again to AUD/USD and NZD/USD.

WTI and Brent traded 3.56 points yesterday and 3.72 points for the week. Nothing extraordinary to WTI or Brent as both trade perfectly normal.

XAU/USD upside target today 1734 then short to 1690.61.

Author

Brian Twomey

Brian Twomey

Brian's Investment

Brian Twomey is an independent trader and a prolific writer on trading, having authored over sixty articles in Technical Analysis of Stocks & Commodities and Investopedia.

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