Financial market research and analysis

EURUSD is consolidating near the 1.1100 support level, which, if cleared, could cause a slump to the 1.1077 (200-day moving average), then to 1.0940 (Fibonacci retracement), and to 1.0780 (Fibonacci retracement). A surge above 1.1197 /1.1200 (Fibonacci retracement) could increase the appetite in the single currency and encourage a further rise toward the 1.1245/1.1266 area (50 & 100-day moving averages) before 1.1300 / 1.1356 (Fibonacci retracement).

Expectations of looser monetary policies across the globe increased the risk appetite overnight. Asian stocks surge for the best weekly advance since April. The USDJPY is consolidating gains, with the next support seen at 101.40 (June 27th low). If this level is cleared, the pair could fall towards the 100 mark and even 98.99 (June 24th low). Looking on the upside, the first resistance is seen at 103.38 (intraday high), if surpassed, the USDJPY could rise to 104/104.35 (Fibonacci retracement).

The Bank of England Governor Carney's speech to reassure the market was dovish and sent the pound two figures lower against the US dollar. The GBPUSD is testing the 1.3300 mark with the next support seen at 1.3120 (June 27th low). The first resistance is eyed at 1.3532 (June 29th high), if surpassed, could encourage a surge to 1.3617 (Fibonacci retracement).

The AUDUSD is preparing to test the 0.7470 (100-day moving average), if surpassed, we can expect a rally to 0.7500 and then to 0.7600 mark (Fibonacci retracement). The expectations for next week’s RBA meeting are dovish, and the market is pricing in a 20% chance of a interest rate cut against more than 60% in August. The first support level is seen at 0.7448 (major Fibonacci retracement), if cleared, the pair could retreat to 0.7342 (50-day moving average) and then to 0.7330 (Fibonacci retracement).

Gold trades in the green for the fifth consecutive week. Safe haven assets are in demand on expectations that policy makers would provide further monetary easing to boost the global growth after the Brexit decision. Next resistance is seen at 1360 (June 24th high) before the 1400 mark. The first support is presumed at 1305 (June 27th low), if surpassed, could trigger a correction toward the 1300 mark.

Oil prices rose on Friday with Brent testing the 50$ resistance and the WTI moving at 48.50$ a barrel. Although OPEC's oil output has risen to 32.82 million barrels per day, the forecast of demand is also higher. The current demand – supply picture provides a generally positive outlook for oil prices.