[Week 34 - 2022] Trades Recap and Trade Setups

Updated: Jan 20, 2023

Hey Traders,

Last week, China, EU and the UK showed signs of slowdown in the economy due to inflation, rising yields and the Ukraine war. Risk off tone was heavy throughout the week, pushing the Dollars towards the upside while US indices closed off the week in the red.

Upcoming Economic Release:

Weekly Economic Calendar for Week 34 — Credit: ForexFactory.com Time: +8 GMT

Dollar Index (DXY)

Bullish price movement of the Dollar Index

As we mentioned on the prior week, a breakout confirmation of the 106.8 resistance level which was tested numerous times, can push price higher, which was exactly what happened last week, with the Dollar breaking out of the resistance and closing the week at an extended level. Expect some retracement this week.

Spot Gold (XAU/USD)

Gold slipped due to the strength of the Dollar

The rise in the Dollar resulted in the drop in Gold. Price closed the week on the minor support level. A break of the resistance level at 1771.5 can push price back towards recent high while a break of the support level at 1732.6 can push price back towards recent low, or key support level at 1680 region.

Trade Recap

NZD/CAD (Analysis 33-1)