USD/CAD remains within a downtrend. As a result, selling the pair as it turns down from resistance is the best strategy. Support lies at 1.3125.
GBP/USD became more stable
Information is not investment advice
The British pound has found some grounds versus the greenback during the last two weeks. Firstly it formed a “harami” pattern near the support line on W1, then the pattern was confirmed by another bullish weekly candlestick. Yesterday GBP/USD found the support of the weekly pivot point at 1.2213. As long as the pair remains above this point, it has a chance to test higher levels. The declining 200-period MA on H4 at 1.2270 looks like an obstacle for buyers, but a break above this level will open the way up to 1.2335 (23.6% Fibo of the March-August decline) and 1.2362 (first weekly pivot resistance). On the other hand, if the pair turns down from 1.2270, it will mean a short-term top. The decline below 1.2210 will make the pair slide to the support at 1.2170.
EUR/AUD formed a candlestick with a long upper shadow on the D1. The pair is currently testing levels below the 50- and the 100-period moving averages.
USD/JPY has recently formed a higher low at the end of last week. Today the pair is testing levels above the 50-day MA.
U.S. stock markets are set to open with a modest bounce after their worst day in over a month on Monday.
Asian equity markets resumed the weak performance seen across global peers which culminated in Wall St’s worst day in over a month
Surging coronavirus cases and a stalemate in Washington over the next fiscal aid bill darkened the economic outlook in the run up to Nov. 3 presidential elections.