Both the United States Dollar and oil experienced a steep downside through the previous trading week. Market is increasingly optimistic that the FED is done hiking, resulting in the depreciation of the Dollar. Managed money are eyeing on selling the USD/JPY as it provides the best risk to reward ratio, but I believe it is too early to take action yet.
The upcoming schedule is packed with PMI release from EU region and the US. FOMC meeting minutes is also in the line up next week.
Upcoming Economic Release:
The S&P500 index experienced another steep upside move, looking to trade towards the recent high at 4630. Move looks unstoppable but I am always wary of steep upside movement. A shift back to bearish sentiment will only be triggered if price trades below the 4150 region.
Dollar Index (DXY)
The United States Dollar Index closed the week below the key 104.34 support (now resistance) region. Price has shifted towards bearish bias and looks to trade towards 103.12 support region. If downside momentum remains strong, price may begin consolidating or retrace from the 103.12 support region.
Gold pushed higher throughout last week, primarily due to the further weakening of the Dollar. Gold closed the week at the the resistance level at 1980 region. Trading above the 1980 region can potentially push price towards the 2000 region while trading below the 1960 region can indicate more downside.
NZD/CHF (Analysis 45-2)
Recap (Week 46 - Last Week) Take Profit - 2
High risk short at market reopening position reached Take Profit - 2 level where we announced to close fully.
WTI - Front Month (Analysis 46-1)
Recap (Week 46 - Last Week) Take Profit - 1
Long position reached Take Profit - 1 level where we announced to close / partial / risk free.
Trade Analysis / Setups
WTI - Front Month (Analysis 47-1)
Analysis: Price experienced a sharp decline and looks to trade higher. Price is trading above the minor resistance (now support) at 75.05 region. A retest confirmation can potentially push price towards the 78.65 level.
Long opportunity: Retest confirmation at 75.05 support region towards 78.65 as Take Profit - 1 level.
2023 Market Order Signal Accuracy Accuracy: 90.2% Wins: 37 Loss: 4
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