Daily Forecast - 02 November 2015
GBPUSD
GBPUSD direction remains impossible to judge day to day. First support at 1.5415/11 but below here targets 1.5383/80. This could hold the downside but below here targets 1.5355/50. Further losses meet a buying opportunity at 1.5330/25. Longs need stops below 1.5300.
First resistance at 1.5465/70. A high for the day is possible here again in short term overbought conditions. However shorts need stops above 1.5490. Be ready to buy a break above here to target October highs at 1.5508. Just be aware that a close above here is obviously positive & targets 1.5525/30 then 1.5550. If we continue higher look for 1.5565/69.
EURUSD Spot
EURUSD first resistance at 1.1035/40 should be more of a struggle today but if we continue higher look for 1.1070 & perhaps as far as second resistance at 1.1085/90. Exit longs here & try shorts at 1.1115/20. This is an excellent selling opportunity & a high for the day is expected if we reach this far but shorts need stops above 1.1145.
Failure to beat first resistance at 1.1035/40 is certainly possible & targets minor support at 1.1005. If we continue lower look for 1.0985/80 then better support at 1.0965/60. This could hold the downside but longs need stops below 1.0930. A break lower risks a retest of October lows at 1.0890/84.
AUDUSD Spot
AUDUSD key to direction is of course first resistance at 7137/42. Watch for a high for the day here again but shorts need stops above 7165. A break higher however targets very strong resistance at 7185/90 for an excellent selling opportunity, with stops above 7205.
Failure to beat first resistance at 7137/42 could see the pair range trade today from here down to 7080/70 in a repeat of Friday's price action, which we did in fact predict. Longs here however need stops below 7055 with a break lower to target 7035 then 7000/6995.
The contents of our reports are intended to be understood by professional users who are fully aware of the inherent risks in Forex, Futures, Options, Stocks and Bonds trading. INFORMATION PROVIDED WITHIN THIS MATERIAL SHOULD NOT BE CONSTRUED AS ADVICE AND IS PROVIDED FOR INFORMATION AND EDUCATION PURPOSES ONLY.
Recommended Content
Editors’ Picks
EUR/USD rises toward 1.0800 on USD weakness
EUR/USD trades in positive territory above 1.0750 in the second half of the day on Monday. The US Dollar struggles to find demand as investors reassess the Fed's rate outlook following Friday's disappointing labor market data.
GBP/USD closes in on 1.2600 as risk mood improves
Following Friday's volatile action, GBP/USD pushes higher toward 1.2600 on Monday. Soft April jobs report from the US and the improvement seen in risk mood make it difficult for the US Dollar to gather strength.
Gold gathers bullish momentum, climbs above $2,320
Gold trades decisively higher on the day above $2,320 in the American session. Retreating US Treasury bond yields after weaker-than-expected US employment data and escalating geopolitical tensions help XAU/USD stretch higher.
Addressing the crypto investor dilemma: To invest or not? Premium
Bitcoin price trades around $63,000 with no directional bias. The consolidation has pushed crypto investors into a state of uncertainty. Investors can expect a bullish directional bias above $70,000 and a bearish one below $50,000.
Three fundamentals for the week: Two central bank decisions and one sensitive US Premium
The Reserve Bank of Australia is set to strike a more hawkish tone, reversing its dovish shift. Policymakers at the Bank of England may open the door to a rate cut in June.