AUDUSD on the comeback trail
The AUDUSD looks to break out of its stiff consolidation as the greenback’s momentum continues. This week’s business confidence data and the next round of central bank meetings will be crucial for determining the pair’s next direction. With uncertainties persisting around domestic activity and inflation, the Aussie could be in for a rough ride ahead. Prices bounced at 0.6560, confirming a firm support level, with 0.6700, the recent peak, being the first resistance.
XAUUSD hits another record
Gold is testing a key resistance level as it pushes above its all-time highs. The precious metal is seeing solid bullish momentum as the Fed all but confirms two more rate cuts before the end of the year. With the gold rally expected to continue, traders are convinced that the $ 4,000 level is a comfortable support. As this week’s inflation data is expected to hit 3%. 4100 is the first resistance ahead, and 3950 remains the support level.
SPX 500 Trump sinks the stock market
Indices shifted lower after a rapid decline on Friday. Following President Trump’s threat of higher tariffs on China. As $2 trillion of value was wiped off stocks, there was a ray of light at the end of the tunnel over the weekend as the Vice President said they are willing to renegotiate. As stocks, cryptos and oil all felt the brunt of the ongoing trade conflict, the S&P looks to turn around the 3% decline with 6400 remaining the closest support, and the recent peak of 6800 the next target.
Great breakdown on AUDUSD and gold. What I’m curious about is how the global economic outlook will shape market sentiment for both. If inflation data stays sticky, could we see more volatility in the markets?