During the Asian session on Wednesday, the USD/CAD pair rebounded after two days of losses, reaching around 1.3590. This uptick is fueled by a stronger US dollar and lower crude oil prices, which put pressure on the Canadian dollar. The decline in Western Texas Intermediate (WTI) oil prices to approximately $80.70 is attributed to...
AUD: Trade Ideas
2024-02-19 • Updated
Last Tuesday, the Australian dollar experienced its steepest drop of the year, falling by 1.18%, following higher-than-expected US inflation figures, which boosted the US dollar. However, the Aussie has since rebounded and is now trading at a two-week high against the US dollar. Investors are eagerly awaiting the release of the Reserve Bank of Australia's meeting minutes on Tuesday, after the RBA opted to maintain the cash rate at 4.35% in February. Despite speculation about future rate cuts, the RBA has expressed concerns about persistent inflation not reaching the target range of 2%-3% until 2025. With last week's employment report disappointing expectations, attention now turns to Wednesday's wage price index report, which could influence the likelihood of RBA interest rate hikes.
GBPAUD - H4 Timeframe
GBPAUD has recently been rejected off the supply zone on the weekly timeframe, and following this, the price action has created a break of structure to the downside. In light of this, I will be waiting for the price action to complete a retest of the trendline, and then the bearish move can resume. The Fibonacci retracement levels and the trendline resistance are my confirmations for this sentiment.
Analyst’s Expectations:
Direction: Bearish
Target: 1.90905
Invalidation: 1.95313
EURAUD - D1 Timeframe
EURAUD has just been rejected from the 76% of the Fibonacci retracement level, with the trendline resistance serving as additional confirmation for the bearish direction. I expect to see price drop all the way to 23% as the initial target for this sentiment.
Analyst’s Expectations:
Direction: Bearish
Target: 1.62871
Invalidation: 1.67623
AUDCHF - D1 Timeframe
AUDCHF on the daily timeframe is currently approaching the 76% Fibonacci retracement level. The notable confluences in this case are the trendline resistance, supply zone, as well as the 200-day moving average resistance. My initial target here is the 23% of the Fibonacci retracement.
Analyst’s Expectations:
Direction: Bearish
Target: 0.56816
Invalidation: 0.58681
CONCLUSION
The trading of CFDs comes at a risk. Thus, to succeed, you have to manage risks properly. To avoid costly mistakes while you look to trade these opportunities, be sure to do your due diligence and manage your risk appropriately.
You can access more of such trade ideas and prompt market updates on the telegram channel.
Similar
The Australian Dollar (AUD) rebounds on Monday, despite a slight dip in the US Dollar (USD) and higher US Treasury yields. Investors are eyeing Australian monthly Consumer Price Index (CPI) data for February and US Gross Domestic Product (GDP) for Q4 2023. The AUD gains momentum as the ASX 200 Index rises, especially in mining and energy sectors. Additionally, the Aussie...
Gold prices rose on Monday as the US Dollar weakened amidst speculation about potential Federal Reserve rate cuts starting in June. This weakened Dollar was partly due to improved risk sentiment pushing US Treasury yields lower. Despite facing challenges from declining yields, gold prices recovered to nearly $2,170 per troy ounce, driven by the Dollar's weakness. Federal Reserve Chair...
Latest news
Jerome H. Powell, the Federal Reserve chair, stated that the central bank can afford to be patient in deciding when to cut interest rates, citing easing inflation and stable economic growth. Powell emphasized the Fed's independence from political influences, particularly relevant as the election season nears. The Fed had raised interest rates to 5.3 ...
Hello again my friends, it’s time for another episode of “What to Trade,” this time, for the month of April. As usual, I present to you some of my most anticipated trade ideas for the month of April, according to my technical analysis style. I therefore encourage you to do your due diligence, as always, and manage your risks appropriately.
Bearish scenario: Sell below 1.0820 / 1.0841... Bullish scenario: Buy above 1.0827...