Ahead of tomorrow’s RBA interest rate decision – which is largely expected to hold the cash rate steady at 3.60% – the AUD/NZD continues to power higher, refreshing YTD highs and touching levels not seen since 2022. 1M resistance is seen overhead at NZ$1.1487, closely shadowed by another resistance at NZ$1.1524 (3M). Engulfing said barrier places the currency pair...
Following the BoJ’s lead, the ECB held all three key rates unchanged for a third consecutive meeting yesterday – as expected – leaving the deposit rate at 2.00%. The decision should not have raised many eyebrows and reflects the central bank’s view that monetary policy remains in a ‘good place’. As you would have expected, guidance was pretty limited; the...
The technical picture for USD/CAD remains optimistic. Since bottoming out in June/July, the pair has forged a series of higher highs and higher lows. This month witnessed a break of resistance between CA$1.3989 (1M) and CA$1.3948 (1Y), with price now seen retesting the area as support.
The lack of overhead resistance until the 3M level at CA$1.4197 suggests this...
Oil markets received a boost in recent trading following the announcement of US sanctions on major Russian Oil producers: Rosneft and Lukoil.
Pushing price action above two key resistance levels at US$58.34 (6M) and US$59.46 (3M), WTI Oil is fast closing in on resistance from US$61.22 (1Y). It is worth considering that the recent upside move could simply be a...
Following softer-than-expected UK inflation data this morning, the GBP continues to sell off against its G10 peers. The GBP/USD is on track to record a fourth consecutive losing day, pressing through a 3M support at US$1.3373 (now marked resistance) and paving the way to 1Y support at US$1.3246.
As a result, the path of least resistance for now is to the...
Price action on the ETH/USD is currently nursing losses just ahead of September lows of US$3,820, with support nearby at US$3,627-US$3,721 (this is made up of 3M and 1M levels). Given that this support is located just south of the noted September lows, a whipsaw play could be observed (see red arrows).
Additional levels of support and resistance to have noted...
From the US Dollar Index, you can see that the USD has regained some poise and rallied for four consecutive days this week.
This has led the DXY north of a 3M resistance at 98.33 – which is now a marked support level – and subsequently led price action to another 3M resistance level at 99.40. Despite the high of 100.26, formed on 1 August, a meaningful break of...
As shown on the daily chart below, since bottoming out in mid-June (from support between C$1.3549 and C$1.3669), price action has been steadily rising. This has seen the pair take out 3M resistance at C$1.3827 (now marked support) and challenge a 1Y resistance at US$1.3948.
What is interesting about this chart is that if a breakout above the 1Y resistance comes...
From the daily price of ETH/USD (Ethereum versus the US dollar), price recently engulfed the neckline of a head and shoulders top pattern (extended from the low of US$4,060). Subsequently, it retested the underside of resistance at US$4,217. Should the unit hold resistance, further selling towards the head and shoulders pattern profit objective at US$3,609 could...
As can be seen from the chart below, price action continues to respect resistance between 4.792% (1Y) and 4.770% (1W), which has also seen flow move below the neckline of a double-top pattern at 4.712%.
With the close below a notable pattern neckline, additional underperformance towards 1Y support at 4.640% (which held on two occasions in April and September this...
Alongside Spot Gold (XAU/USD), which continues to set all-time highs, the price of XAG/USD has reached multi-year highs of 47.18 and tested a 1W resistance level of US$46.91.
Importantly, if US$46.91 gives way, the all-time high of US$49.51 will likely be challenged (formed in 2011). Ultimately, this remains a bullish market for the time being.
Written by the...
Following stronger-than-expected inflation data overnight, the AUD/USD received a reasonably strong bid. As shown from the chart below, the recent upside move came on the heels of a rebound from 1M support at US$0.6578 in the shape of a bullish hammer pattern.
Bolstered by a nearby 1Y support level at US$0.6548, and the underlying trend pointing higher, further...
Ahead of today’s inflation data from Canada, the currency pair is trading below a 3M resistance from CAD1.3827 and is fast approaching a neckline (taken from the low of CAD1.3721) of a potential head and shoulders top pattern.
In view of the downside bias since topping at CAD1.4793 earlier this year, the current pullback in the downtrend (from the low of...
Despite buyers and sellers creating a temporary range at the underside of the 1M resistance level of ¥200.15, buyers appear poised to break out to the upside, aided by a nearby 1M support level at ¥198.99 (which sits just above another 1M support at ¥197.65).
If price breaks beyond ¥200.15, the 1Y resistance level of ¥203.24 will likely be targeted. Conservative...
Following a one-sided 6.0% gain in Tesla’s share price on Thursday, this helped lift the S&P 500 and Nasdaq to fresh records. As shown in the chart below, the TSLA Stock rallied through a 6M resistance level of US$360.03 to a high of US$368.99, levels which have not been seen since earlier this year.
Further buying could now be seen for the Stock towards the...
Following the Nasdaq 100's rebound from the 50-day SMA at 23,143 on Tuesday, this has delivered two potential bullish scenarios worthy of being added to the watchlist.
First is a potential double-bottom pattern at 22,958, with a neckline calling for attention at 23,741. A breakout north of the neckline sheds light on the Stock Index potentially refreshing...
UK government bond yields (GILTs) spiked higher at the open today, reflecting an intensification of heightened fiscal concerns that continue to weigh heavily upon investor sentiment.
Long-term UK borrowing costs hit their highest levels since 1998
The yield on 30-year borrowing costs reached an eye-popping level of nearly 5.700%, breaching thresholds not...
An interesting technical scenario is brewing on SOL/USD (Solana versus the US dollar) at the moment.
First and foremost, you will note that upside momentum has slowed; this is demonstrated by price action compressing between converging lines, offering two rising wedge patterns to work with (the larger formation is formed between US$127.48 and US$187.30; the...
