Forex trading long GBP/AUD, WTI Crude Oil moving bearish? CHF stronger – For how long? [Video]

Brad Alexander FX Large Limited

Employment Change in Australia was much higher than expected so AUD went stronger temporarily.

So, we now look for pairs where AUD is the weaker currency and we see EURAUD and GBPAUD.

Price action on the GBPAUD 1-hour chart has touched the lower trend line in this bull run.

The Stochastic Oscillator is oversold and may turn up soon.

But, watch out for today’s UK Claimant Count figure.

If you want to trade EURAUD, watch out for today’s Interest Rate Decision.

Recently, the SNB talked about slowing down Quantitative Easing which drove CHF stronger.

Soon, they may look at lowering Interest Rates which will drive price action in the other direction so we will keep an eye on this.

Looking at USDCHF on the daily chart, we see price action at a key level so we will look for a break below to follow the bear run.

Fibonacci shows us other key levels and the next level below at the 50% level.

Last time we spotted this symmetrical pennant on WTI on the weekly chart with the stochastic oscillator overbought and turning down.

We are seeing a downtrend on the four-hour chart and you may have caught this short opportunity with price bouncing off the upper trend line.

Author

Brad Alexander

FX Large Limited

Brad became fascinated with the Currency Markets from a young age and researched fundamental analysis.

AUD/USD breaks below 0.7000 ahead of inflation data

AUD/USD has accelerated its downward trend on Tuesday, breaching below the key 0.7000 yardstick ahead of the opening bell in Asia on Wednesday. Indeed, spot has retreated for the second day in a row despite the hawkish hike by the RBA early on Tuesday and in response to the continuation of the move higher in the Greenback. Looking ahead, all the attention will be on the release of Australia’s inflation data on Wednesday.

USD/JPY consolidates near 157.50 as a bullish USD counters intervention risks

USD/JPY struggles to capitalize on the overnight bounce from a one-week low, consolidating around 157.50 in the Asian session on Tuesday. Trump's concerns about the Japanese Yen's weakness fueled speculation about another US-Japan joint intervention. This, along with the hawkish BoJ, underpins the JPY and caps the currency pair. Meanwhile, rising Fed rate-hike bets and oil-driven inflation fears continue to push US bond yields to multi-year highs, keeping the US Dollar pinned near a two-month high and supporting the pair.

Gold trims gains; back toward $4,150

Gold now surrenders some of its initial advance and retests the $4,150 zone per troy ounce on Tuesday. Meanwhile, the move higher in the yellow metal comes despite the firmer US Dollar and rising US Treasury yields across the board, while escalating geopolitical tensions appear to limit the downside potential.

XRP advances within a robust technical structure

Ripple (XRP) shows signs of stabilizing after reclaiming support at $1.50 on Tuesday. A robust technical structure underpins the token’s short to medium-term bullish outlook. Still, XRP is not out of the woods yet, as profit-taking and buyer exhaustion could weigh on price action and extend the recent correction from September highs around $1.66.

RBA recap: Rate hikes are on the table as demand stays too strong

The Reserve Bank of Australia unanimously tightened monetary policy, warning that inflation remained too high and that several upside risks had begun to materialise. Governor Michele Bullock said the Board would raise rates again if necessary.

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?