FX Trade Ideas: GBP/USD, USD/JPY, AUD/USD And Gold
GBP/USD – Sterling/dollar remains above key support level The GBP/USD has been in a trading range in recent months, between 1.2100 and 1.2760 area. The area we referred to last week, near 1.2400 – 1.2435, is still relevant and critical this week. There was an inside bar breakout near that 1.2400 level; this is the ‘line in the sand’ for buyers; if we hold there, we could see prices move back up to the top of the range near 1.2700 area. However, we expect this pair to be somewhat volatile this week and undergo potentially large swings. We favor the upside here, but if price closes under that 1.2400 level it would open the door for lower prices.
GBP/USD Daily Chart
USD/JPY – Dollar/yen sitting at key support level, will it fall?
The USD/JPY downtrend we have seen recently remains intact. Price is sitting atop a key support level near 112.50 and threatening to break under it. We can see short-term resistance up near 113.80 and while prices remain below that we can look to sell. If prices break under 112.50 it’s safe to assume they will drop further in the near-term, down to the next major support around 110.90 area.
USD/JPY Daily Chart
AUD/USD – Aussie/dollar bullish momentum continues but resistance approaches
Price continued moving higher last week in the AUD/USD after breaking up from an inside bar pattern, taking out the key level at 0.7606 with ease. The lows from last week, down near 0.7520 – 0.7540 are important right now because buyers have control whilst we stay above those lows. Price could easily move up into key resistance overhead near 0.7735 before experiencing any serious selling. This week, traders could look to buy from down near 0.7520-40 support and look to sell from 0.7735-0.7800 region.
AUD/USD Daily Chart
Gold – Gold could breakout this week
Over the last two weeks, gold has found a bottom down near $1180.00 and now prices are trying to break above $1220.00 key resistance. Price should remain firm and we could see more upward movement this week, to potentially test $1250.00 or even $1300.00 in coming weeks. This market looks to have enough upward momentum to move $50 to $100 higher in a short period of time. Whilst prices remain above recent lows at $1180.00, traders can look to buy on any dips lower if possible this week.
Gold Daily Chart
Original article source – LearnToTradeTheMarket.com