The Trading Floor
Good afternoon Forex Kings,
Market sentiment has been more positive recently, as China and the US discuss the first draft of the trade agreement. Nothing has been signed as of yet, however the market has continued to reach record highs.
We are currently holding the SP500 sell position, we will be waiting for a pull back to possibly close with a smaller loss. The index is still trading between a ascending wedge suggesting we could get a break to the downside soon.
Today we are focusing on gold and also the AUDUSD.
The AUDUSD has continued to rally as the RBA held interest rates yesterday. The RBA stated there appears to have been a gentle turn around in the Australian economy with housing prices picking up in Sydney and Melbourne. The AUDUSD however is predominately moved based on trade war news. Over the last 20 months, the AUDUSD has dropped from 0.81 to lows of roughly 0.66.
The 200 day moving average has been used as an area to sell from over the last year using the daily candles.
The AUDUSD has support at 0.6880 and resistance at 0.6950.
GOLD prices have dropped from the resistance level