28 September, 2015
After a continuous fall during last week, on Friday the pair strengthened amid poor macroeconomic statistics on consumer inflation from Japan. The Tokyo Consumer Price Index in September fell by 0.1% against a growth by 0.1% last month.
There was very little statistics from Australia last week, thus the AUD remained without support. It is still pressured by falling oil prices and aggressive RBA policy, which is aimed at further currency weakening because the regulator sees that as the key to gradual economy recovery.
Support and resistance
Bollinger Bands on the daily chart is moving horizontally. MACD is trying to turn up and giving a buy signal. Stochastic bounced off the oversold zone and growing.
The indicators recommend considering purchases in the short-term, or wait for clearer trading signals.
Support levels: 84.46 (local low), 83.62, 83.00 (24 September low), 82.10 (4 September low).
Resistance levels: 85.00 (25 September highs), 86.00, 86.45, 87.00, 87.30 (28 August high), 88.00.
Long positions can be opened after the breakout of the level of 84.60 with the target at 85.40 and stop-loss at 84.00. Validity – 1-3 days.
Short positions can be opened after the breakdown of the level of 84.30 with the target at 83.00 and stop-loss at 84.75. Validity – 2-4 days.
On the 4-hour chart, the pair is trading near the level of 15.32 (23.6% correction). The price is supported by the 38.2% fan line, directed up, and the level of 15.05 (38.2% correction)...
Since the beginning of this week, the pair continues strengthening amid some reduction in anxiety on the market. The Dollar was supported by data on Retail Sales that came out in the US on Friday. In January, the index grew by 0.2% that was slightly better than forecasts of economists...
Since the middle of the previous week, the price of Brent crude oil continues growing amid weakness of the US Dollar. In addition, the price is supported by expectations of the reduction in output by major world producers...
On the daily chart, the pair is trading just above the lower MA of Bollinger Bands. The price remains below the EMA130, EMA65 and EMA14, all directed down. The RSI is failing to break out from the oversold zone as it tested its resistance at 32 mark two times last week...
On Thursday, the price of gold fell to its 5-year lows. The Bearish trend accelerated amid macroeconomic statistics form the US than strengthened expectations of an interest rates hike on the US in December...
The price remains under pressure amid strengthening US Dollar that was significantly supported after the publication of strong NFPR data in the US that substantially increased chances of an interest rate hike in December...
On the 4-hour chart, the price is trading in the area of 48.10 which is seen as a particularly strong level as 23.6% Fibonacci both for the short-term and medium-term trends have concentrated in the area of 48.10-47.80...
At the end of last week, the price of Brent crude oil strengthened moderately, being supported by the weakness of the US dollar which failed to hold its positions, gained after the recent Fed meeting...
Last week the price of gold significantly grew. The pair remains under pressure amid concerns on the markets that the Fed will refrain from an interest rate increase before the end of the year...