Continued declines in key commodity prices continue to hurt the aussie, .8215 last.
Market Summary
Further selling pressure was heaped on the Aussie today in Asian trade as it fell to .8205 lows on the back of a combination of a continued decline in key commodity prices (WTI Crude Oil ~$56.25 lows), deteriorating risk currency sentiment, and an unfolding hostage drama in Sydney. The JPY was again volatile after Japanese P.M. Shinzo Abe’s ruling coalition cruised to a large election win on Sunday. (117.80 highs against the USD, 118.80 last). The Euro trades at 1.2450 currently, off 1.2485 highs. October Eurozone IP data released on Friday saw a 0.1% (MoM) rise against expectations of 0.2%.
Pre-European Open, Technical Analysis
The commentary below represents our opinion on the state of the markets and our hypothetical trading strategies. This commentary is not a recommendation or advice. Please refer to the disclaimer below for further guidance. Please note that market volatility may have voided some scenarios.
EUR/USD Intraday: THE EURO ADVANCE PAUSES AHEAD OF 1.2490
Pivot: 1.24442, R1 1.25037, R2 1.25453, R3 1.26465, S1 1.24025, S2 1.23430, S3 1.22418 (Al pivots are daily 5pm NY).
Support Levels: Minor/Medium 1.2355/70 zone, Very Minor 1.2290/95.
Resistance Levels: Extremely Minor 1.2485/90, Medium 1.2495/10 zone, Very Minor 1.2530/35.
View: We mildly favour shorts overall with res. lvls near 1.2500 capping, first downside support is near 1.2370.
Technical Comment: The dailies are slowly firming (the Stochs are strong, the ADX is still low), the 4H's are firm but drifting (the Stochs are easing), the 1H's are soft.
GBP/USD Intraday: MUTED TRADE IN THE CABLE, 1.5746 HIGHS.
Pivot: 1.57205, R1 1.57458, R2 1.57719, R3 1.58233, S1 1.56944, S2 1.56691, S3 1.56177.
Support Levels: Very Minor 1.5690/00, 1.5645/55.
Resistance Levels: Minor 1.5755/65, 1.5825/40 zone.
View: We favour more lack-lustre trade today within 1.5690-1.5760, no bias. Further support lies around 1.5650 on the downside.
Technical Comment: The dailies are mainly drifting higher (the Stochs are o/bght, the ADX is declining), the 4H's are mainly firm (the Stochs are heavy, the RSI is declining), the 1H's are weak.
USD/JPY Intraday: P.M. ABE SECURES ELECTION VICTORY
Pivot: 118.667, R1 119.285, R2 119.823, R3 120.978, S1 118.130, S2 117.512, S3 116.356.
Support Levels: Extremely Minor 117.75/80, Minor 117.40/45, 117.00/20 zone.
Resistance Levels: MInor 119.05/15, Minor/Medium 119.45/60 zone.
View: We favour shorts overall and expect to see more volatile trade, shorts could target first res. near 119.10, stops above 119.65, demand should reside in the 117.45/80 zone.
Technical Comment: The dailies are sliding lower (the Stochs have ticked up a touch though), the 4H's are mixed, the 1H's are edging higher.
AUD/USD Intraday: COMMODITIES CONTINUE TO WEIGH HEAVILY ON THE AUSSIE.
Pivot: .82577, R1 .82881, R2 .83294, R3 .84011, S1 .82164, S2 .81860, S3 .81143.
Support Levels: Minor/Medium .8200/10, Minor .8150/60.
Resistance Levels: Extremely Minor .8280/85, .8300/05, Minor/Medium .8370/80.
View: Whilst shorts are heavily favoured we wouldn't initate until .8195/.8200 breaks. First real res. should lie in the .8280/.8300 zone. Longs could stop under .8195.
Technical Comment: The dailies continue to trade poorly with a high ADX, the 4H's are soft (the ADX is lifting), the 1H's are weak
For the fully Dail Score with currency heat maps and economic calendar please click here.
Market Summary
Further selling pressure was heaped on the Aussie today in Asian trade as it fell to .8205 lows on the back of a combination of a continued decline in key commodity prices (WTI Crude Oil ~$56.25 lows), deteriorating risk currency sentiment, and an unfolding hostage drama in Sydney. The JPY was again volatile after Japanese P.M. Shinzo Abe’s ruling coalition cruised to a large election win on Sunday. (117.80 highs against the USD, 118.80 last). The Euro trades at 1.2450 currently, off 1.2485 highs. October Eurozone IP data released on Friday saw a 0.1% (MoM) rise against expectations of 0.2%.
Pre-European Open, Technical Analysis
The commentary below represents our opinion on the state of the markets and our hypothetical trading strategies. This commentary is not a recommendation or advice. Please refer to the disclaimer below for further guidance. Please note that market volatility may have voided some scenarios.
EUR/USD Intraday: THE EURO ADVANCE PAUSES AHEAD OF 1.2490
Pivot: 1.24442, R1 1.25037, R2 1.25453, R3 1.26465, S1 1.24025, S2 1.23430, S3 1.22418 (Al pivots are daily 5pm NY).
Support Levels: Minor/Medium 1.2355/70 zone, Very Minor 1.2290/95.
Resistance Levels: Extremely Minor 1.2485/90, Medium 1.2495/10 zone, Very Minor 1.2530/35.
View: We mildly favour shorts overall with res. lvls near 1.2500 capping, first downside support is near 1.2370.
Technical Comment: The dailies are slowly firming (the Stochs are strong, the ADX is still low), the 4H's are firm but drifting (the Stochs are easing), the 1H's are soft.

GBP/USD Intraday: MUTED TRADE IN THE CABLE, 1.5746 HIGHS.
Pivot: 1.57205, R1 1.57458, R2 1.57719, R3 1.58233, S1 1.56944, S2 1.56691, S3 1.56177.
Support Levels: Very Minor 1.5690/00, 1.5645/55.
Resistance Levels: Minor 1.5755/65, 1.5825/40 zone.
View: We favour more lack-lustre trade today within 1.5690-1.5760, no bias. Further support lies around 1.5650 on the downside.
Technical Comment: The dailies are mainly drifting higher (the Stochs are o/bght, the ADX is declining), the 4H's are mainly firm (the Stochs are heavy, the RSI is declining), the 1H's are weak.

USD/JPY Intraday: P.M. ABE SECURES ELECTION VICTORY
Pivot: 118.667, R1 119.285, R2 119.823, R3 120.978, S1 118.130, S2 117.512, S3 116.356.
Support Levels: Extremely Minor 117.75/80, Minor 117.40/45, 117.00/20 zone.
Resistance Levels: MInor 119.05/15, Minor/Medium 119.45/60 zone.
View: We favour shorts overall and expect to see more volatile trade, shorts could target first res. near 119.10, stops above 119.65, demand should reside in the 117.45/80 zone.
Technical Comment: The dailies are sliding lower (the Stochs have ticked up a touch though), the 4H's are mixed, the 1H's are edging higher.

AUD/USD Intraday: COMMODITIES CONTINUE TO WEIGH HEAVILY ON THE AUSSIE.
Pivot: .82577, R1 .82881, R2 .83294, R3 .84011, S1 .82164, S2 .81860, S3 .81143.
Support Levels: Minor/Medium .8200/10, Minor .8150/60.
Resistance Levels: Extremely Minor .8280/85, .8300/05, Minor/Medium .8370/80.
View: Whilst shorts are heavily favoured we wouldn't initate until .8195/.8200 breaks. First real res. should lie in the .8280/.8300 zone. Longs could stop under .8195.
Technical Comment: The dailies continue to trade poorly with a high ADX, the 4H's are soft (the ADX is lifting), the 1H's are weak

For the fully Dail Score with currency heat maps and economic calendar please click here.