FxWirePro: currency market weekly outlook
Source: FxWire Pro - Technicals / 07 Oct 2019 03:47:04 America/New_York
US dollar was trading extremely weak previous week and lost more than 100 pips from high of 99.67. The decline was mainly due to worst US economic data especially US ISM manufacturing PMI. It is currently trading around 98.87.
The ISM manufacturing PMI came at 47.1% lowest level since 2009 and services PMI dropped to 52.6 well below expectations of 55. US economy has added 136000 jobs in Sep and the unemployment rate around 3.5%.
The precious metal recovers more than $50 from the low of $1458 on economic slowdown and US-EU trade war and is hovering around $1506.
The Brent crude oil prices are trading lower for 3rd consecutive week and lost more than 19% from the high of $69.64. It is currently trading around $58.32.
US 10 year bond yield lost more than 20% and is currently trading at 1.518%. The yield curve inversion between US 10 year and 2-year has gone and spread widened to 12 bps from 2 bps.
Major trend reversal level- 1.1000
Near term support- 1.0900/1.0830
Near term resistance – 1.1000/1.1030
Major trend reversal level- 108.50
Near term support- 106.40/105.80
Near term resistance – 107.40/108
Major trend reversal level- 1.0030
Near term support- 0.9900/0.97700
Near term resistance – 1.0030/10060
Major trend reversal level- 1.3380
Near term support- 1.3180/1.3135
Near term resistance – 1.3300/1.3380
Major trend reversal level- $1460
Near term support- $1480/$1460
Near term resistance – $1525/$1555
Major trend reversal level- $57
Near term support- $50/$46
Near term resistance – $54/$57
Major Economic events for the week
Fed Chair Powell Speaks - Monday (17:00 GMT)
US CPI m/m - Tuesday (12:30 PM GMT)
Canada employment Change - Friday (12:30 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.