FxWirePro: currency weekly outlook
Source: FxWire Pro - Technicals / 11 Nov 2019 02:23:52 America/New_York
US Dollar index was trading higher in the previous week and jumped more than 100 pips. The US-China trade optimism has pushed US stocks, treasury yield, and the dollar higher. The two countries have agreed to roll back tariffs in phases. The index hits a high of 97.40 and is currently trading around 97.32.
On the data front, US ISM services data came at 54.7 much better than expected compared to forecast of 53.5 and far ahead of 52.5 in Sep. Markets eye US CPI, core retail sales and Fed Powell testimony.
The Canadian economy unexpectedly lost 1800 jobs in Oct compared to a forecast of 14300, decline since Jul 2019.
The yellow metals were one of the worst performers and lost more than $50 on easing US-China trade tension. Any break below $1456 confirms bearish continuation.
US 10-year yield is trading Higher and jumped more than 15% to 1.97%. The spread between US 10-year and 2-year has widened to 26 bps.
Major trend reversal level- 1.1178
Near term support- 1.100/1.0935
Near term resistance – 1.1060/1.1100
Major trend reversal level- 109.50
Near term support- 108.60/107.80
Near term resistance – 109.50/110.60
Major trend reversal level- 1.0030
Near term support- 0.9900/0.97700
Near term resistance – 1.0030/10060
Major trend reversal level- 1.3385
Near term support- 1.3180/1.310
Near term resistance – 1.3300/1.3385
Major trend reversal level- $1456
Near term support- $1456/$1430
Near term resistance – $1500/$1525
Major trend reversal level- $58
Near term support- $55/$52.70
Near term resistance – $58/$60.50
Major Economic events for the week
US CPI- Wednesday (1:30 GMT)
Fed Powell testifies - Thursday (3:00 GMT)
US Core retail sales - Friday (13:30 GMT)© FxWire Pro 2019. All rights reserved. The FxWire Pro content received through this service is the intellectual property of FxWire Pro or its third party suppliers. Republication or redistribution of content provided by FxWire Pro is expressly prohibited without the prior written consent of FxWire Pro, except for personal and non-commercial use. Neither FxWire Pro nor its third party suppliers shall be liable for any errors, omissions or delays in content, or for any actions taken in reliance thereon.