The Forex Market Insight Report shows charts on different major currencies and commodities, with brief commentaries on how new data releases and news cause movements in the market.

Headline:

  • Markets mostly flat on Friday despite better-than-expected US jobs numbers; Monday sees risk gap higher
  • Euro sees heavy selling into Friday’s close after rejecting major resistance
  • Aussie pushes up to resistance at 1.0330 before reversing slightly
  • Gold, oil also push higher early Friday before hit by late selling
  • US sharemarkets flat on Friday
  • We have a big week from central banks, with RBA, RBNZ, BOC, ECB and BoE all meetin

AUD/USD
The Aussie pushed up to resistance at 1.0335 before reversing swiftly lower on Friday. We’ve seen a pop higher in early Monday trade and this would usually cause us to maintain a bullish bias. However, don’t forget we have the RBA decision tomorrow and this might cause some weakness with most analysts expecting another cut.

GOLD
Gold continued to push higher on Friday and this means we will maintain a cautiously bullish approach to this market. A pullback to 1735 provides a good buying opportunity.

EUR/USD
The focus remains to the downside on the Euro with the pair still obviously unable to break out of the downtrend. Sellers will now be targeting a move back to 1.3210.

GBP/USD
Cable has been dragged lower by the Euro’s weakness toward the end of last week and traders will be bearish until we see a move above 1.5780. Traders will be looking to sell on strength with the expectation of a move back to 1.5640.

USD/JPY
The dollar-yen has moved up to major resistance at 78.00/25 in a sign of strength after the US jobs report. Traders will be looking for shorts around this level in line with the overall downtrend. A move above 78.25 shifted the tone to more bullish.

SILVER
Silver’s showing some signs of strength after pushing above 33.00 again and a break above 33.75 will change the view to more bullish. A pullback to 32.35 could provide an opportunity for new longs.

USD/CHF
The dollar-Swiss bounced well from 0.9070 and this leads us to a more neutral tone. Traders will be looking to play the range in the near term.

GBP/JPY
The sterling-yen pulled back to 121.40 before bouncing again on Friday and traders will be looking to work the long side as we start the new week. A break above 122.50 will be seen as bullish.

AUD/JPY
The Aussie-yen was unable to hold levels above 80.00 and this leads us to a more bearish conclusion as we enter the new trading week. The market is likely to maintain a bearish view of this market until we break back above 80.00.

OIL
Oil’s found good support around 100.00 in recent trading and traders will be looking for longs in the near term. A move back to 100 will be seen as an opportunity to take new longs.

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