AUD/JPY appears to be on track to test the 50-Day SMA (90.60) after clearing last week’s high (89.69), but the positive relationship with the S&P 500 index continues to unravel despite the recovery in investor confidence.
The correlation coefficient has fallen to an insignificant reading of +0.16 as AUD/JPY trades less than 1% higher from the start of the year,...
Key levels on the major currency pairs, gold and indices, as well as macro events to watch by our market analyst Fawad Razaqzada. NOT intended for U.S. audience
$SPY testing confluent uptrend resistance today at the 100% extension of the March advance at 411- looking for possible inflection up here.
Support now back at 402/04 with short-term bullish invalidation raised to the the uncovered gap near 400.
A topside breach from here keeps the focus on the 2023 high-day close at 416 and the stretch high at 418.
Michael...
As mentioned in my previous oil update a couple of weeks ago that “the OPEC might have to cut even more production to prevent prices from falling significantly further,” that’s precisely what they did at the weekend, creating a big gap in oil prices. Oil prices eased off their highs slightly, but not by much. At the time of writing, there were approaching the...
The price of gold trades to a fresh weekly high ($1984), with bitcoin reflecting a similar behavior going to the end of March.
The price of gold and bitcoin may continue to share a positive relationship as the correlation coefficient current stands at a more significant reading of +0.93 compared to the +0.76 reading from last week.
Gold Price Outlook
The price...
A close above the 61.8% retracement of the 2022 decline threatens a test of key resistance just higher at the September uncovered-gap / 61.8% extension of the yearly advance at 163.43-164.42 - look for a larger reaction there IF reached.
Key support now at former resistance at 155.74-156.29.
Michael Boutros , Sr Technical Strategist with FOREX.com
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SPY is approaching confluent downtrend resistance at 402.90-403.92 - a region defined by the 61.8% extension of the monthly advance, the March high-day close and the 61.8% retracement of the yearly range . Look for a larger reaction there IF reached.
Key support now rests with the 200-day moving average / March 22 outside reversal close at 392 (near-term...
USD/JPY approaches the 50-Day SMA (132.79) as it climbs to a fresh weekly high (132.77), with the 10-Year US Treasury yield reflecting a similar development as it retraces the decline from last week.
The positive relationship between USD/JPY and US Treasury yields looks poised to persist as the correlation coefficient sits at a significant level, with the gauge...
EUR/USD approaches the monthly high (1.0930) as it continues to bounce back from the 50-Day SMA (1.0731), with the price of gold at a similar place as it holds above last week’s low ($1934).
The positive relationship between EUR/USD and the price of gold looks poised to persist as the correlation coefficient current stands at +0.84, with a break/close above the...
Stock markets have been uninspiring so far today, mainly due to the lack of fresh catalysts to encourage market participants to trade. At the time of writing, the markets were holding losses in Europe and US. That said, the losses were limited, and lacked any real momentum. So, we may yet see some bargain hunting later in the session for some downbeat stocks,...
AUD/JPY traded at its lowest level since March 2022 as it slipped to a fresh yearly low (86.06) last week, while the S&P 500 index advances for the third consecutive day to indicate an improvement in risk sentiment.
The positive relationship between AUD/JPY and the S&P 500 appears to be unraveling as the correlation coefficient currently sits at +0.39 from a more...
Key levels on the major currency pairs, gold and indices, as well as macro events to watch by our market analyst Fawad Razaqzada. NOT intended for U.S. audience
Oil prices bounced sharply off their earlier lows, but at the time of writing, both oil contracts were testing some key technical levels, along with the major indices. So, the oil market is not out of the woods just yet.
I think there’s a feeling in the market that the major central banks are going to pause their rate hikes, but that’s not to say the economy will...
USD/JPY registers a fresh monthly low (130.42) following the Federal Reserve interest rate decision, with US Treasury yields reflecting a similar behavior as the 10-Year yield gives back the rebound from the yearly low (3.29%).
In turn, the correlation coefficient now stands at +0.95 and the indicator may continue to reflect a significant relationship as market...
The price of gold continues to pullback from a fresh yearly high ($2010), with bitcoin reflecting a similar behavior as it trades within the previous day’s range.
The correlation coefficient may mirror the readings from earlier this year as it turns positive, with the indicator approaching more significant levels as it climbs to +0.76.
Gold Price Outlook
The...
Gold prices have reversed off uptrend resistance ahead of tomorrow's highly anticipated FOMC interest rate decision.
Look for initial support along that parallel on a stretch deeper here.
USD/JPY trades to a fresh monthly low (130.54) while the price of gold registers a fresh yearly high ($2010) amid the ongoing weakness in US Treasury yields.
The inverse relationship between USD/JPY and the price of gold may gain increased attention as the correlation coefficient falls to -0.92 from a less significant reading of -0.58 earlier this month.
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• Gold and silver have been boosted on haven flows, falling yields
• Fed’s rate decision key risk event for metals
• Higher high above $22 means path of least resistance to the upside
The precious metals rally has taken a pause for breather. But I don’t think they are done just yet. Gold remains on course to potentially hit a new all-time high above $2075, after...
