Financial Market Research and Analysis

Our analysts have their fingers on the pulse of the world's financial market news.

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USD gains against G10
The EURUSD cleared the 1.1120 mid-term support in Asia on the back of a broad-based USD demand,which should encourage a further sell-off to 1.1085, before bringing the 1.1000 handle back on radar. Resistance is seen at 1.1158/1.1160 (50-hour moving average / major 38.2% retracement on Sep 30th to Oct 10th), 1.1171 (100-hour moving average) and 1.1191 / 1.1194 (200-hour moving average / major 61.8% retrace).

The 102.60 level (major 38.2% retracement on Sep 27th to Oct 6th & 200-hour moving average) continues lending support to the developing positive trend in the USDJPY for a renewed attempt to 104.20 before 104.50/105.00. Breaking below the 102.60, we could see a deeper correction to 102.12 (major 50%).

The recovery in the GBPUSD stagnates below the Fibonacci 50% retracement of 1.2440. The 1.2295 (major 38.2% retracement on Sep 29th to Oct 7th crash) is the key support for a renewed downside pressure toward 1.2115/1.2100. Above 1.2440, the pair should bump into more resistance at 1.2530 (100-hour moving average), 1.2708 (200-hour moving average).

The AUDUSD extended losses to 0.7552 (major 61.8% retrace on Sep 15th to Sep 29th rise). A deeper downside correction to 0.7515 (minor 76.4% retrace) is on the radar. Key hourly resistance is eyed at 0.7612 (major 38.2% retrace). Above this level, the short-term bullish reversal could encourage a further recovery to 0.7622 (200-hour moving average), before 0.7650 (minor 76.4% retrace).

Gold remains under pressure below the 200-day moving average ($1274). Lack of appetite in the yellow metal, combined with a stronger US dollar, could pave the way toward $1210 (Fibonnaci 50% retracement on Dec 16th to Jun 5th rise). A successful recovery attempt above $1274, should encourage a rise to $1297 (minor 23.6% retrace).

WTI cleared resistance at the $50/barrel level. The sentiment remains positive for a further recovery toward $53/$55. The market remains buyer-in-dips above $49.54 (minor 23.6% retracement on Sep 20th to Oct 3rd rise) and $48.30 (major 38.2%).

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