By Orbex
USDCAD breaks higher
The Canadian dollar slipped after the BOC kept interest rates unchanged. Its US counterpart found support at 1.2560 after a brief pullback.
An oversold RSI attracted some bargain hunters. The current rebound is a sign that there is a strong interest in pushing for a bullish reversal. 1.2700 is a key supply zone as it coincides with the 30-day moving average.
A breakout would definitely turn sentiment around and trigger a runaway rally. In turn, this sets the daily resistance at 1.2810 as the next target.
NZDUSD continues lower
Free Reports:
Get our Weekly Commitment of Traders Reports - See where the biggest traders (Hedge Funds and Commercial Hedgers) are positioned in the futures markets on a weekly basis.
Sign Up for Our Stock Market Newsletter – Get updated on News, Charts & Rankings of Public Companies when you join our Stocks Newsletter
The New Zealand dollar steadied after the Q4 CPI beat expectations.
However, the pair is still in bearish territory after it broke below the lower end (0.6750) of the flag consolidation from the daily time frame. The RSI’s oversold situation brought in a buying-the-dips crowd around 0.6660 but its breach indicates a lack of buying interest.
The kiwi is now testing November 2020’s low at 0.6600. The bears could be waiting to fade the next bounce with 0.6700 as a fresh resistance.
XAUUSD pulls back for support
Gold tumbled after the US Fed signaled it may raise interest rates in March. The rally stalled at 1853 and a break below the resistance-turned-support at 1830 flushed some buyers out.
1810 at the base of the previous bullish breakout is a second line of defense. The short-term uptrend may still be intact as long as the metal stays above this key support.
A deeper correction would drive the price down to the daily support at 1785. The bulls need a rebound above 1838 to regain control of price action.
Article by Orbex
Orbex is a fully licensed broker that was established in 2011. Founded with a mission to serve its traders responsibly and provides traders with access to the world’s largest and most liquid financial markets. www.orbex.com
- Investors’ main focus today is on the NonFarm Payrolls report. Iran is preparing for a new attack on Israel Nov 1, 2024
- AUDUSD holds near August lows: US dollar pressure remains strong Nov 1, 2024
- Stock indices under pressure ahead of US elections. Oil strengthened due to lower inventories Oct 31, 2024
- Australia has seen a sharp decline in inflationary pressures. Silver rose to $34 an ounce Oct 30, 2024
- AUD/USD Continues Downward Spiral Amid Economic Concerns Oct 30, 2024
- GBPUSD could be in for mid-week “sneaky surprise” Oct 30, 2024
- Bitcoin has reached the $70,000 mark. The Canadian dollar fell to last year’s lows Oct 29, 2024
- Brent Crude Oil Experiences Sharp Price Decline Oct 29, 2024
- EUR/USD Weakens Amid Global Economic Uncertainty and Strong US Dollar Oct 28, 2024
- Oil, Yen tumble after weekend turmoil Oct 28, 2024
