This morning RBA (Australia) kept interest rates unchanged at 2%. Although the decision was widely anticipated, AUDUSD advanced higher. OIL and commodity markets seems to be recovering which supports all the commodity currencies (CAD, AUD, NZD, and NOK). Rebound in the stock market is also evident with all major indices closing the day higher yesterday and things looking to pick up from where they left from last night. Asian stocks had their 5th winning day in a row.
Released from UK, PMI services dropped sharply to 53.3 to September, down from August’s 55.6. That’s way below expectation of a rise to 56.4. GBPUSD took a nosedive, and is the week’s weakest currency so far.
Today’s releases include Germany factory orders, and US trade balance data. ECB President Mario Draghi is also scheduled to talk later in the day.
Trading quote of the day: funny thing about the stock market is that every time one buys, another person sells, and both think they are right. “william Feather”
USDCAD
Pivot: 1.314
Likely scenario: Short positions below 1.314 with targets @ 1.306 & 1.3 in extension.
Alternative scenario: Above 1.314 look for further upside with 1.318 & 1.321 as targets.
Comment: As long as the resistance at 1.314 is not surpassed, the risk of the break below 1.306 remains high.
USDCHF
Pivot: 0.972
Likely scenario: Long positions above 0.972 with targets @ 0.9795 & 0.9815 in extension.
Alternative scenario: Below 0.972 look for further downside with 0.968 & 0.964 as targets.
Comment: The RSI is mixed to bullish.
OIL
Pivot: 45.8
Likely scenario: Long positions above 45.8 with targets @ 46.95 & 47.36 in extension.
Alternative scenario: Below 45.8 look for further downside with 45.2 & 44.3 as targets.
Comment: The RSI is mixed to bullish.
DAX
9380 is our pivot point.
Likely scenario: As long as 9380 is not broken down, we favour an upmove with 10200 and then 10500 as next targets.
Alternative scenario: below 9380 expect a drop to 9115 and 8900.
Comment: The RSI is around its neutrality area at 50%
Trend: ST limited rise; MT bullish.
Important note: These technical and research reports are provided to easy-forex® as a subscriber of third party providers. They are provided for informative purposes only and in no way can they be considered as a recommendation by easy-forex® to you to engage in any trade. Hence, easy-forex® shall not be held responsible for any outcome of trading decisions, in regards with these reports or similar reports. You hereby acknowledge that using the information entailed in these reports is at your sole responsibility and you will have no claims with regards to these reports against easy-forex®. If you do not agree to this, you are strongly advised not to use these reports.
Easy Forex Pty Ltd (AFSL 246566 ABN 73107184510) makes no recommendations as to the merits of any financial product referred to in this website, emails or its related websites and the information contained does not take into account your personal objectives, financial situation and needs. Easy-Forex recommends that you read the Regulation Page, The Product Disclosure Statement, the Terms and Conditions and the Financial Services Guide before making any decision concerning Easy-Forex’s products.