EURUSD: Further upside is likely?

Yue Wang LinoCapital

EURUSD still consolidated in the triangle.

On daily chart, we see a textbook 5 wave up from December 2016.

The price also continuous closed above daily Ichimoku cloud.

Near term overshoot to 1.2456/1.2500 could not be ruled out.

But weekly long term downtrend line is just ahead.

Unless we see a clear close above 1.2596/1.2650, upside should be limited from current level.

If today close below 1.2347, that will be the first pullback sign.

We still look to trade short term extremes and wait for directional opportunities.

EURUSD Trade Idea:

Sell limit @ 1.2424 stop 1.2461 for 1.2359

Click on the image to enlarge

Author

Yue Wang

LinoCapital

Master's Degree in Hepatobiliary Surgery.

AUD/USD sits at two-month lows near 0.6950 after Australian CPI data

AUD/USD is sitting at two-month lows near 0.6950 in the Asian session on Wednesday, as below-expectations August Australian underlying CPI data pours cold water on expectations for further RBA interest rate hikes. Chinese PMI data also fail to inspire the Australian Dollar, despite a pause in the US Dollar advance.

USD/JPY stays weak below 157.00 amid Japanese intervention risks

USD/JPY keeps losses below 157.00 in the Asian session on Wednesday, as hawkish BoJ expectations, along with intervention risks, underpin the Japanese Yen, countering dismal domestic factory output and retail sales data. Meanwhile, a broad US Dollar retreat also collaborates to the pair's downside.

Gold surges above $4,200 after US inflation data

Gold extends its recovery early in the American session, trading above the $4,200 mark. Falling US bond yields drag the US Dollar away from the two-month high, touched on Tuesday, and act as a tailwind for the commodity. Softer than anticipated US inflation, as measured by the PCE Price Index, adds to the broad US Dollar's weakness.

Crypto Today: Bitcoin holds $83K as Ethereum remains below $2,700 and XRP consolidates

Bitcoin trades lethargically on Wednesday, with bulls battling to defend the immediate $83,000 level as immediate support. Ethereum trades in tandem with Bitcoin, holding below key levels of $2,700 on the upside and $2,600 on the downside. Ripple, meanwhile, hovers near $1.50,

Germany annual CPI inflation rises to 3.3% in September

Inflation in Germany, as measured by the change in the Consumer Price Index, climbed to 3.3% (preliminary) in September from 2.9% in August, Germany's Destatis reported on Wednesday.

Silver is more volatile than Gold ahead of PCE and NFP. This chart shows the positioning gap

The market’s attention is focused on American data this week, but there’s something only those with a trained eye may be looking at: Gold and Silver positioning gap. Financial markets are moving on fears, mostly related to persistently high energy prices driven by the Middle East war. Sure, the US Dollar (USD) is strong, but at what cost?