Brad Alexander
FX Large Limited
Analysts and investors are thinking now that the US Federal Reserve may be done hiking rates for a while so the USD is weaker.
And, the conflict in Israel is strengthening the value of gold.
We see price action approaching this key level around $1888 with the next level above at $1900.
The stochastic oscillator is overbought but, don’t forget, in times of war we cannot always rely on technical indicators as the fundamentals, good news and bad news, are more important.
The USD is weaker against every pair except the JPY.
We would like to see EURUSD break this key level of resistance before we open another long position.
It’s the same with GBPUSD with several key levels above.
The US Indices are also responding to the idea that Interest Rate rises might be paused.
We See price action bouncing off the 200-Day Moving Average and moving higher with several key levels above.
For the US indices, USD and Gold, we will be watching today's inflation numbers with the US CPI release.
We spotted lots of price action gaps on Monday and the gaps on Crude Oil seem to be filled as we see WTI break this consolidation pattern to the downside.
GBP is generally stronger on most pairs.
GBPCAD also filled the gap that we spotted on Monday.
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