Not only I’m wearing yellow in today’s video, but also I’m talking about the US dollar retreat which led to gold’s biggest gain yesterday.
We are looking at the major currencies and in the focus in Ms. USA who’s been shining on the forex dance floor. The Non-Farm Payrolls report showed a 248,000 increase in employment for September, higher than the estimated 216,000 gain and enough to bring the jobless rate down from 6.1% to 5.9% – its lowest level since July 2008.
While the U.S. economy has a long way to go before achieving its employment goals, it remains at the head of the pack in comparison to the rest of the major economies. With that, the US dollar could continue to outpace her counterparts as Fed policy diverges from most of the central banks, particularly those that are open to further quantitative easing and money printing. With all the recent rise though, on Monday the Ms. USA appeared to stumble and move back again catch her breath.
USD/CHF also has a bit more to reach our bullish target of 0.9751 and a break below 0.9452 would change our outlook to bearish with 0.9225 as first alternative target.
Supports and resistances:
0.9751
0.9452 pivot point
0.9225
USD/CAD failed to reach the previous top of 1.1277 but remains on a general uptrend above the Ichimoku cloud with the RSI above the neutrality area.
Supports and resistances:
1.1500
1.1277
1.10263
1.0948 pivot point
0.0871
AUD/USD reached our second bearish target of 0.8659 so congratulations on your earned pips.
Supports and resistances:
0.9081
0.8981 pivot point
0.0.8830
0.8659
GBP/USD corrected its brief rebound and trying to break below the 50% Fibonacci level at 1.6044. A confirmation of this could open doors for more drops towards 1.5742 and 1.5487 in extension.
Supports and resistances:
1.6285
1.6044 pivot point
1.5742
1.5487
On Wednesday we will hear more from the Fed with FOMC minutes so stay tuned for more updates at investdiva.com, share this video with your friends, and check out our Learn to Trade section if you need to learn more about trading,.
Intraday Forex Technical Levels
EUR/USD 4-hour: Rebounding.
Invest Diva Likes: Short positions below 1.2600 with targets at 1.2509 and 1.2385 in extension.
If Pair Goes Nuts: Above 1.2600 look for further upside towards 1.2666 and 1.2763.
What’s up on the Forex Dance Floor: The pair is on an overall downtrend and is now rebounding from the lower boundary of Ichimoku’s cloud after moving up from the previous bearish target at 1.2509. The RSI is heading down at the neutrality area.
Supports and Resistances
1.2763
1.2666
1.2600 Pivot Point
1.2509
1.2385
USD/JPY 4-hour: Brokebelow the Ichimoku’s cloud.
Invest Diva Likes: Short positions below 109.17 with target at 108 and 106.71 in extension.
If Pair Goes Nuts: Above 109.17 look for further upside towards 110.08 and 110.52.
What’s up on the Forex Dance Floor: The pair is on an overall uptrend but is now showing a possible pullback as it broke down the Ichimoku’s cloud and seems to be forming a Double Top pattern. A break below the neckline of the Double Top at 108 would confirm our bearish outlook. The RSI is below the neutrality area.
Supports and Resistances
110.52
110.08
109.17 Pivot Point
108
106.71
NZD/USD 4-hour: Consolidating.
Invest Diva Likes: Short positions below 0.7816 with targets at 0.7707 and 0.7633 in extension.
If Pair Goes Nuts: Above 0.7816 look for further upside towards 0.7969 and 0.8074.
What’s up on the Forex Dance Floor: The pair is on an overall downtrend but is now consolidating around the level at 0.7816. Also the pair entered the Ichimoku’s cloud with the RSI at the neutrality area, which means consolidation may continue.
Supports and Resistances
0.8074
0.7969
0.7816 Pivot Point
0.7707
0.7633
EUR/JPY 4-hour: Continue moving down.
Invest Diva Likes: Short positions below 137 with target at 136.63 and 135.70 in extension.
If Pair Goes Nuts: Above 137 look for further upside towards 137.80 and 138.45.
What’s up on the Forex Dance Floor: The pair is on an overall downtrend below the Ichimoku’s cloud with the RSI heading to the oversold zone. It has just broken below a resistance level.
Supports and Resistances
138.45
137.80
137 Pivot Point
136.63
135.70
Intraday Commodities Technical Levels
Dow Jones Intraday: bullish bias above 16775.
Invest Diva Likes: Long positions above 16775 with targets at 17070 and 17150 in extension.
Alternative scenario: Below 16775 look for further downside with 16585 and 16455 as targets.
Gold spot Intraday: the upside prevails.
Invest Diva Likes: Long positions above 1180 with targets at 1215 and 1225 in extension.
Alternative scenario: Below 1180 look for further downside with 1160 and 1140 as targets.
Crude Oil Intraday: bullish bias above 88.2.
Invest Diva Likes: Long positions above 88.2 with targets at 91.85 and 93 in extension.
Alternative scenario: Below 88.2 look for further downside with 87 and 85.5 as targets.
