AUD/USD: The Australian currency is testing 0.6600
The AUD/USD posted a weak strengthening in an attempt to recover losses incurred from an earlier correction, where the AUD/USD updated to a local low on Nov. 11. The asset is trading at 0.6620, supported by a technical factor.
Investors took wait-and-see attitude, wishing to evaluate the final minutes of U.S. Federal Reserve officials meeting, announced for Wednesday. The market expects the financial authorities to lower the rate of interest rate hike, but statements of the Board members will be no less important. During the afternoon session, investors expect statements from the chairman of the RBA (Reserve Bank of Australia), where they will be able to adjust forecasts regarding the prospects of tightening monetary parameters in the future. Statistics with economic fundamentals is announced for Wednesday of this week. Among other things, economists want to assess business activity from the Commonwealth Bank and S&P Global in November. The current expectations are for the service sector to drop to 49.1 points from 49.3 points and for manufacturing to drop to 52.4 points from 52.7 points.
- Resistance levels are 0.6650, 0.6700, 0.6750 and 0.6800.
- Support levels: 0.6583, 0.6520, 0.6450, 0.6400.
USD/CHF: Investors await the outcome of the US Federal Reserve meeting
The American currency is trading unsteady lower near the local high reached earlier on November 11. Traders refrained from excessive activity on the markets wishing to get acquainted with the outcome protocols of the U.S. regulator; besides the block of macroeconomic indicators on durable goods orders in October and PMI in November is of interest to them. Please be reminded that experts place their bets on slowdown in monetary policy tightening by the US financial authorities. According to insiders, during the December summit the Fed may soften the hawkish rhetoric and the interest rate will be raised only by 0.50% against the usual 0.75%. However, the upper bound on the target correction may also be revised upward because consumer price pressures are above the 2.0% target.
- Resistance levels: 0.9600, 0.9650, 0.9700, 0.9762.
- Support levels: 0.9550, 0.9478, 0.9400, 0.9350.
Read more: USD/CHF: forex signals, online trading forecasts for today, characteristics & features
USD/CAD: The "bulls" lost the advantage at 1.3475
The upward movement of the trading instrument to 1.3475 is due to the weakness of the Canadian currency because of the "black gold" WTI quotations slump, which decreased from 94.00 to 75.80. In the course of two weeks the asset losses reached 19.4%.
The energy carrier correction the day before was 5% amid The Wall Street Journal report about the OPEC's intention to increase production by 500.0 thousand barrels a day to compensate for a possible decline of raw materials in Europe, but the information was denied by participants of the organization, after which the "black gold" resumed its positions at the opening session level earlier this week, and trading instrument USD/CAD retreated from its peak at 1.3475, preparing to develop a downward trend.
The long-term prospect of the price movement remains for the "bears" in the market. The day before the investors had no success in testing the resistance levels of 1.3530-1.3475. It is likely that further decline will help the asset to update the minimum at the levels of 1.3250-1.3200, and after the retreat from the threshold of 1.3200, the negative dynamics will strengthen and the testing of the value 1.2970 will follow.
- Resistance levels: 1.3475, 1.3530.
- Support levels: 1.3250, 1.3200.
Gold price
The price of the precious metal is correcting in a downtrend, testing the level of 1744.00.
The upward trend of the asset ended, after which the "bears" regained the asset advantage due to the alarming news background from China, which has already confirmed the death of its citizens, who were infected with the Covid-19 infection. Authorities have now begun closing industrial centers, raising fears of a complete lockdown in the provinces, which may increase pressure on the gold position.
China held the leading position among consumers and miners of the asset, which is only confirmed by updated data from processing centers in Switzerland. For October, the country exported 159.57 tons of bank metal, the bulk of which was shipped to China, accounting for a share of 43.7 tons. This level is slightly lower than the 44.02 for September, reflecting lower demand due to increased quarantine measures in some provinces of the Celestial Empire. Turkey, according to the statistics, holds second place, as gold shipments to Ankara for October totaled 31.4 tons, behind September imports of 32.2 tons, confirming a trend of locally lower metal consumption.
- Support levels: 1725.0, 1665.0.
- Resistance levels: 1780.0, 1850.0.