EUR / USD ended the previous trading week on a positive note, the price rose on Friday, but buyers failed to win back all the losses of the previous week, and finally the five-day trading was closed with a minus. The fact that the sellers could not move the pair below the August lows is a certain bull’s achievement. We recall that closest local minimum for this market is located in $ 1.1380 area. On Monday, the pair is growing up and is trading around $1.1404. Thus, the pair formed a rather narrow sideway range within $1.1430-$1.1350. A break above resistance 1.1430 will mark an increase in positive sentiment in this market. Although this week the chances for the development of the correction in the American currency are quite high, we remain out of the market on Monday and expect the situation to evolve.
Trading recommendations are out of the market.
After a massive decline in the British currency over the previous week, Monday trading session starts amid sign that British currency is somewhat technically oversold. GBP / USD opens Monday trading in the area of $1.2830. The medium-term outlook certainly maintains the weakness of the British currency. However, this week we can see the technical correction of the GBP / USD pair up to the levels of 1.2920. Market support is located around the last week lows in the 1.2780 zone.
Trading recommendations - longs in the area 1.2800-1.2770
Last week, the pair failed to realize a break below support at 0.7040, so our expectations for the continuation of the next phase of the downward trend did not materialize. Looks like this week we will see some bearish sentiment in this market amid USD dollar weakness. Monday trading starts with AUD/USD retreating to the 0.7100 zone, this is a strong resistance area. Chances for a breakthrough of the market remain high, in this case the resistance will be located around 0.7140. The only question is whether the pair will be able to realize a breakthrough and move into the upper part of the formed side channel 0.7040-0.7100.
Trading recommendations – go long if markets fixes above 0.7100
Large-scale profit taking on Friday brought gold quotes down to $1234 region. On Monday, the slow decline in gold continued — the market moves lower to $1233. Strategically, there were no significant changes in the market as gold retains chances for continued growth. Moreover, the support $1229 and lower stronger support around $1225 looks stable and new long positions at this level looks attractive.
Trading recommendations - longs in $ 1229 area and below in the $ 1235 zone