Updated: Jan 20
Last Friday was the main highlight of the week. The PCE came in better than expected but the Revised UoM Consumer Sentiment and Powell speech in Jackson Hole came in stronger with potential increase in rates. Recall during prior rate rise, Powell was using UoM numbers as a guidance. Next week's CPI and PMI will be the key news to note.
Upcoming Economic Release:
Dollar Index (DXY)
As mentioned on our previous post, as price for the Dollar is extended to the recent high, we expect some retracement this week. On Friday, the Dollar recovered most of the retracement due to the Revised UoM Consumer Sentiment. A break of the recent high at the 109.0 region can push the Dollar higher.
Spot Gold (XAU/USD)
Last week, we have identified the 1732.6 as the support level to look out for. Price reversed once support is reached supported by the extended price fall. Price reversed back towards the 50EMA and got rejected as the Dollar recovered in strength. A breakout of the 1732.6 support region will can push price back towards recent low, or key support level at 1680 region.
NZD/CAD (Analysis 33-1)
Recap (Week 34 - Last Week) Take Profit - 4
Short at market position reached Take Profit - 4 level where we announced to close fully.
Corn - Front Month Contract (Analysis 34-1)
Recap (Week 34 - Last Week) Take Profit - 2
Long at market reopening position reached Take Profit - 2 level where we announced to close / partial.
Trade Analysis / Setups
USD/JPY (Analysis 35-1)
Long opportunity: Break and retest confirmation at 137.639 region towards 138.868 as Take Profit - 1 level.
Short opportunity: Break and retest confirmation at 136.503 region towards 135.443 as Take Profit - 1 level.
WTI - Front Month Contract (35-2)
Long opportunity: Retest confirmation at 92.54 region towards 93.86 as Take Profit - 1 level.
Cheers to all our member who managed to pack some profits this trading week.
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Stay safe out there and safe trading!