EURUSD Holds Above 1.09, Gold Rebounds

Nikkei 225 benchmark in Tokyo is trading 0.48% lower at 21,781 after the ISM factory index slipped to the lowest in ten years. The Hang Seng index is trading 0.11% lower 26,066. The ASX 200 in Australia is trading 1.31% lower at 6,654.

European indices started lower during the day, DAX30 is 1.26 per cent lower at 12,109, CAC40 is 1.59 per cent lower at 5,508, while the FTSE MIB in Milan is 0.95 per cent lower at 21,718. In London, FTSE 100 is trading 1.82% lower at 7,226. The UK is scheduled to leave the EU on October 31.

In commodities markets, crude oil trades 1.36 per cent higher at $54.35 after the drone strikes in Saudi Arabia oil facilities. Brent oil is trading 0.90% higher at $59.42 per barrel as the world’s oil supply will be affected by the drone attacks. Gold rebounds higher at 1,477, as the momentum turns neutral after the price trades below the 50-day moving average. On the upside, strong resistance will be met at 1,555.13, the recent high while support is at 1,458 the recent low.       

In cryptocurrencies, Bitcoin’s (BTCUSD) bearish momentum is intact as BTC trades lower at 8,182, hitting the daily low at 8,159 and the daily high at 8,412. Bitcoin’s short term momentum is bearish now as it trades below all major daily moving averages. Immediate support for BTC stands now at $7,686, the recent low, while next support stands at 7,406, the low from June 2nd. On the upside, strong resistance now stands at 8,412, today’s high and then at the 9,000 round figure. Ethereum (ETHUSD) trades higher at 173,83 with capitalisation now to 18.98 billion, and on the upside, the immediate resistance stands at the 317 high while the support stands at 136 the low from May 6th, Litecoin (LTCUSD) trades flat at 55.73. The crypto market cap capitalization now stands above $218.21 billion.

On the Lookout: Japan September consumer confidence 35.6 vs 36.5 expected. Japan Monetary Base (YoY) came in at 3% below forecasts (3.1%) in September. 

gold rebounds
XAUUSD Daily Chart

Trading Perspective: In forex markets, USD index trades 0.16 per cent higher at 99.33, the Aussie dollar trades 0.39 per cent lower at 0.6678, while Kiwi trades 0.20% lower at 0.6231.

GBPUSD trades 0.42% lower at 1.2248 as we are getting closer to the 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 1.2447 the 100-day moving average while more offers will emerge at 1.2729 the 200-day moving average.

In Pound futures markets open interest increased by 22,500 contracts, volume decreased by around 74.000 futures contracts.

EURUSD trades 0.13% lower at 1.0917, as the pair is trapped in the descending channel that might drive the price lower. Immediate resistance for the pair stands at 1.1070 the 50-day moving average and then at 1.1154 the 100-day moving average. On the downside, immediate support stands at 1.0903, today’s low, and then at 1.0835, the low from 2017.

In euro futures markets, open interest increased by 29,600 contracts, volume increased by around 53,000 futures contracts.

gold rebounds
EURUSD Daily Chart

USDJPY is trading 0.07% lower at 107.65 having hit the daily low at 107.54 and the daily high at 107.88. USDJPY pair will find support at 104.44 the low from August 23rd. On the upside, immediate resistance for the pair now stands at 108.46 the high from September 19th, and then at 109.16, the 200-day moving average. 

In Yen futures markets open interest increased by 2,100 contracts, volume increased by around 57,000 futures contracts.

USDCAD is trading 0.22 higher at 1.3248 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.