AUDUSD Continues Higher, EURUSD Breaks Above 1.11

Asian indices finished higher today on signs of progress in US-China trade talks and a stimulus delivered from ECB helped eased global growth concerns. The Hang Seng trading 0.46 per cent higher at 27,221, the Nikkei225 in Japan is 0.99% higher at 21,976. The Shanghai Composite trading 0.75 per cent higher to 3,031, while in Singapore the FTSE Straits Times index finished 0,39 per cent higher at 3,207. The ASX 200 in Australia trading 0.18% higher at 6,667.

European indices trading mixed for one more day, DAX30 is 0.14 per cent higher to 12,428, CAC40 is 0.17 per cent higher at 5,651 while the FTSE MIB in Milan is 0.28 per cent higher at 22,144. In London FTSE 100 is trading 0.22% lower at 7,327. UK is scheduled to leave the EU on October 31.

In commodities markets, crude oil trades 0.05 per cent higher at $55.12 as traders turn cautious on recent trade war escalation and global growth concerns. Brent oil is trading 0.71% lower at $60,38 per barrel as major oil producers have agreed to cut output. Gold trades lower at 1,497, keeping the bullish momentum as the price holds above all the major daily moving averages. On the upside, strong resistance will be met at 1,555.13 recent high while support is at 1,474 the 50-day moving average.      

In cryptocurrencies, Bitcoin (BTCUSD) trading higher at 10,312, hitting the daily low at 10,295 and the daily high at 10,450. Bitcoin short term momentum is neutral now as it trades above the 100-day moving average and below the 50-day moving average. Immediate support for BTC stands now at $9,258 the low from August 29, while next support stands at 9,000. On the upside, strong resistance now stands at 12,315 the high from August 6th, and then at 13,500 round figure. Ethereum (ETHUSD) trades higher at 178.04 with capitalization now to 19.3 billion, on the upside, the immediate resistance stands at 317 high while the support stands at 136 the low from May 6th, Litecoin (LTCUSD) trades lower at 68.71. The crypto market cap now stands above $263.4 billion.

On the Lookout: The central bank of China set the Yuan rate (USDCNY) at 7.0843 versus yesterday fix at 7.0846.

AUDUSD Daily Chart

Australia’s Westpac-Melbourne Institute Index of Consumer Sentiment came down to 98.2 in September from 100 in August. Japan BSI Large Manufacturing Conditions Index (quarter over quarter) came in at -0.2 in 3Q from the previous reading of -10.4.

Trading Perspective: In forex markets, USD index trades 0.04 per cent lower at 98.32, the Aussie dollar trades 0.08 per cent higher at 0.6870, while Kiwi trades 0.01% higher at 0.6405.

GBPUSD trades 0.14% higher at 1.2346 as we are getting closer to Brexit deadline. Major support now stands at 1.2078 recent low which if broken, might accelerate the slide further towards 1.20. On the upside, immediate resistance now stands at 1.2513 the 100-day moving average while more offers will emerge at 1.2738 the 200-day moving average.

EURUSD continues higher by 0.08% at 1.1071 after ECB cut interest rates by 10 bp at -0.50%. Immediate resistance for the pair stands at 1.1129 the 50-day moving average and then at 1.1183 the 100-day moving average. On the downside, immediate support stands at 1.1055 today’s low and then at 1.0925 YTD low.

EURUSD Daily Chart

USDJPY is trading flat at 108.10 having hit the daily low at 108.03 and the daily high at 108.25. USDJPY pair will find support at 104.44 the low from August 23rd. On the upside, immediate resistance for the pair now stands at 109.47 the 200-day moving average and then at 112.39 the high from April 2019. 

USDCAD is trading 0.11 lower at 1.3223, the pair will find immediate support at 1.3017 the YTD low while extra support stands at 1.30 round figure. On the upside, immediate resistance now stands at the 1.3356 high from September 3rd before an attempt to 1.3450 high from 31st May.