Invest for the long haul. Don't get too greedy and don't get too scared.
USD
EUR/USD
The Single currency struggled at $1.1550 amid cautious sentiment ahead of European Central Bank President Christine Lagarde's speech and pivotal U.S Nonfarm Payrolls today.
GBP/USD
Sterling pierced to $1.3638 following President Vladimir Putin's support that Russia was boosting gas supplies to Europe and stood ready to stabilize the market.
USD/JPY
Yen nosedived to 111.90 against its U.S counterpart, as the U.S. Senate approved legislation on Thursday to temporarily raise the federal government's $28.4 trillion debt limit and pause on historic default this month, but restrict until early December a decision on a longer-lasting remedy.
USD/CAD
Loonie shot up to 1.2555 per dollar on upbeat Ivey PMI and mounting WTI prices by 0.72%.
AUD/USD
Risk-sensitive Aussie jostled to $0.7322 on global risk sentiment as China is back after a week-long holiday, coupled with hawkish Reserve Bank of Australia’s Financial Stability Review, hoping for gradual economic recovery.
USD/ZAR
South African rand firmed at 14.99 per dollar as the global mood was lifted by hopes over the U.S. debt ceiling, followed by an easing of energy prices that tempered fears over high inflation and weak global growth.
USD/MUR
The dollar-rupee stayed unchanged at 42.95(selling) on the local market.
16:30 - USD - Nonfarm Payrolls (Sep)
16:30 - USD - Unemployment Rate (Sep)
16:30 - CAD - Employment Change (Sep)
The dollar Index extends its intense rebound near the 94.00 threshold, clinching a new high for this year 2021 amid an earlier rate hike expectation and announcement of a nearing tapering asset purchase which clearly impacted the yield curves.
A tightening of monetary policy by the European Central Bank remains far in the future but ECB remains vigilant on its inflation figures yet to be released this Friday. This could give additional upward momentum on the USD in the near term and exerts additional selling pressure on the euro and the pound.
On the technical side, after a breach and close above the 100% retracement A-B-C (93.72 level) ,the greenback could easily approach the 113% level at 94.38 followed by 127% level – 94.98 level in the near term. Resistance at 96.47 (161.8%) remains key level to watch
1.3750 marked the completion of ‘wave e’ of the triangular retracement (wave B) of corrective move A-B-C for GBPUSD and abruptly, we saw fresh sellers entering the market below the 1.3600 levels yesterday.
As per Elliott wave principle, GBPUSD is battling around 1.3515 levels and higher inflation, Brexit and Petroleum concerns could exert further pressure on the pound towards 1.32 levels towards completion of wave C.
A breach and close above 1.3750 nullify this downward pattern.
