Daily Commentary

GBP/USD- Cable has took quite a hit today, falling about 75 pips from it highs and lows of today, after we saw a wedge form. It bounced three times off of each side, then broke finally today on the downside. We had UK data out today, that being manufacturing production, with it coming out at 0.4% as expected, this wasn’t the main reason for the fall as far as I am concerned. As there is quite a large downtrend line which was recently touched at 1.68443, this may have caused the pair to fall.

EUR/USD- A further fall today with euro dollar, all the way down to 1.35321. It seemed to stall down here as this is where the movement from the ECB press conference closed. It has been slowly traversing since, looking fairly oversold now. No big euro data out today so this move on the downside was a little unexpected especially after the fall during yesterdays session. With it now sitting in a region where we have seen some previous congestion, and with it being sold greatly recently, potentially a move on the upside may be present.

AUD/USD- Aussie dollar making a steady climb on the upside, holding consistently well above its 100 EMA on the H1, hitting recent highs of 0.93830. This is an area where it edges close to some big levels, so it seemed to bounce off this number, but not for long as it is still on its way up. Looking like it may be overbought now after all this buying with aussie dollar, and with it being near this level, a move on the downside may occur.

GOLD- A big move on the upside from gold, hitting the highest its been since way back in may! With it reaching recent highs of 1263.53, it bounced off here slightly as there is some previous confusion around this level. With yields very low, and negative deposit rates, this gold buying trade becomes all the more attractive. This move up would also probably be to do with the big fall we saw back from late may, with it reaching oversold conditions, this move on the upside was expected.