We have outlooked several promising Forex pairs and the result can surprise you!
GBP/AUD: the downtrend is in place
Information is not investment advice
GBP/AUD opened the week with a gap down. Things like that have already happened before and, back then, the price continued its way down. On the W1, the pair is now below the 50-week MA at 1.8835. The further resistance lies at 1.8990 – as long as GBP/AUD is below this level, the outlook will remain negative. On the downside, targets lie at 1.8640 (December low) and 1.8450 (100-week MA). In the short term, the price can attempt to get higher, to 1.8865, but sellers will likely re-emerge between this level and 1.8990.
Trade idea for GBP/AUD
SELL 1.8930; TP 1.8640; SL 1.9000
SELL 1.8750; TP 1.8640; SL 1.8780
The first FOMC meeting comes after a buildup of anticipation from traders and investors alike, as the markets await what posture the Fed will take regarding the interest rates; would there be a hike or a cut in interest rates? Recall that the Federal Open Market Committee had previously ended the year 2022 with a 50bps hike, and an indication from Powell, the committee chairman, that the Fed could consider raising interest rates by 75bps in the course of the year 2023.
Western countries are trying to find other options for oil and gas supplies after a 10th package of sanctions, which will put more pressure on Russian oil and decrease global oil supply. Italy, for example, is in talks with Libya.
Last year was tough for the Japanese yen. USDJPY gained more than 30% over 2022, striking above 150 in October. While anticipation of slower Fed rate hikes pulled the pair below the 130 level at the start of 2023, the speculations over the destiny of BOJ’s yield control policy grabbed the attention of the Japanese assets in the middle of January. What lies ahead for traders of the Japanese yen?