(SPX 500) The S&P 500 inches lower
(SPX 500) The S&P 500 remained subdued even after a decent reading from the latest earnings report. As the index flirts with the 6900 level, the market is looking ahead to this week’s interest rate decision. Further selling could be expected as buyers could look to take some chips off the table while sellers await to see if there will be another test at 6800. 7000 is the target ahead if price action can break away from 6900 to set another record.
AUDUSD holds onto gains
The Australian dollar edged higher after the latest break to the upside tested the 0.6920 level. A decisive bounce above 0.6900 was a major hurdle to overcome, so the recent bullish trend could continue. However, a near-term pullback cannot be ruled out, allowing buyers to consolidate their gains before they push for a new high above 0.6950. Firstly, 0.6840 is an important level to maintain momentum, with 0.6800 as critical support.
EURGBP bounces back
The Euro looks to turn things around after a recent bounce. The price has previously hit bottom around 0.8650 numerous times and seems to have found strong support, leading to a bullish breakout that could prompt more sellers to cover their positions. Sentiment has remained optimistic and could pave the way for a sustained recovery towards this month’s peak at 0.8735, which in turn could prove a heavy resistance.