Author: admin

While the central bank is more likely to hold rates than not, it’s not a given, according to economists.

There is just one to take note of on the day, as highlighted in bold below.

That being for EUR/USD at the 1.1500 mark. That could yet keep price action more limited and centered around the figure level in the session ahead. However, just take note that we are also seeing price move back to test the 100-hour moving average of 1.1512. That’s a key near-term level that will become more of a focus in European trading, with a break back above that allowing for the near-term bias to become more neutral. That especially after the pair snapped five straight days of declines in trading yesterday.

For more information on how to use this data, you may refer to this post here.

Head on over to investingLive (formerly ForexLive) to get in on the know!

This article was written by Justin Low at investinglive.com.

Australian Dollar (AUD) advances against the US Dollar (USD) on Thursday, after registering more than 0.25% gains in the previous session. The AUD/USD pair remains steady following the release of Australia’s Trade Balance data.

After the Tuesday drop, gold is seen picking itself back up again in the past few sessions as it nudges back to around $3,980-90 levels. That being said, the price momentum seems to be falling short of contesting the $4,000 mark. So, what gives?

Looking at the near-term chart, we can see that the key hourly moving averages are still being very much respected for now. Sellers are holding the line, quite literally, and that’s keeping any further rebound in gold in check for now.

The confluence of the 100 (red line) and 200-hour (blue line) moving averages is seen around $3,989-94 and that is holding price action from extending higher for now. Keep below that and sellers will continue to hold near-term control but break above the key levels as well as the $4,000 mark, then buyers will seize back the near-term bias in their favour.

In the bigger picture, one key development to watch out for this week is the bond market. 10-year Treasury yields jumped up yesterday to a one-month high around 4.16% and that could yet keep the dollar in a better spot while also weighing on gold sentiment if yields continue to climb towards the 100-day moving average of 4.21%.

It is evidently clear that the bond market is starting to do its own thing now, with somewhat better US private economic data perhaps having the potential to influence the Fed to not cut rates in December. For the time being, traders are still pricing in ~61% odds of a 25 bps rate cut but it definitely doesn’t feel like a given.

So, any shifts to that pricing will also play a key role in impacting gold sentiment in the weeks ahead. That before we start to consider the more bullish seasonal period between December to January for the precious metal.

This article was written by Justin Low at investinglive.com.

The NZD/USD pair posts modest losses near 0.5660 during the early European session on Thursday. The New Zealand Dollar (NZD) weakens against the US Dollar (USD) as the downbeat jobs report supported the case for a rate cut from the Reserve Bank of New Zealand (RBNZ) this month.