Gold surged on Friday, thus prolonging a winning streak to three days in a row.
The USD/JPY currency pair remained relatively unchanged over the weekend, whereas attempts of breaking out of the triangle were made.
As was anticipated, the Cable's decline was limited by the support cluster around 1.5516, despite initial signs of a further rally.
EUR/USD failed to extend gains on Friday and failed at the May high of 1.1466.
The Kiwi disregarded the ‘sell' signals sent by the technical indicators and refused to go lower.
Yesterday, despite high activity of the bears USD/CAD took notice of the cluster around 1.3150, which unites the monthly PP, 55-day SMA and weekly S1, and it is thus unlikely to give in easily.
The Aussie-Dollar pulled back to the falling trend-line and acknowledged it as a new support. The situation therefore warrants a bullish outlook.
Despite the fact that EUR/JPY has broken through important resistance at 136.74/64 (monthly PP and 100-day SMA) the bias remains negative.
As expected, gold prices advanced after the Fed decision to maintain the current stance of monetary policy.
USD/JPY has fallen from the upper trend-line of the triangle the currency pair has been forming since the last days of August.
Yesterday the Cable broke through the 61.8% Fibonacci retracement of the drop observed during the last week of August.
After the Fed decided to keep interest rates on hold, EUR/USD skyrocketed up to the 1.14 level where it consolidated by the end of yesterday.
So far this week the Kiwi has been trading flat with a slight bullish bias. The monthly PP at 0.6375 is expected to act as a ceiling and limit potential gains
Just like AUD/USD the Dollar-Loonie pair also refused to respect the borders implied by the channel, in this case of an upward one.
AUD/USD did not behave as expected—the pair closed above the upper trend-line that forms the channel.
EUR/JPY did not post a third red day in a row but bounced off of the weekly pivot point at 135.60.
The precious metal decided to act decisively one day before the Federal Reserve makes a decision on interest rates.
Unlike in the pair with the British Pound the Dollar appreciated versus the Yen yesterday.
Despite the bearish signals the Cable jumped more than 170 pips yesterday on poor US and strong UK data.
Bears were dominating the development of the EUR/USD currency pair for the most part of Wednesday.
The NZ Dollar is about to post a third day of gains in a row.
USD/CAD refuses to leave the vicinity of the recently formed up-trend, which adds to the pressure on 1.3245/36 and thus increases the probability of a bearish break-out.
So far today AUD/USD has been bullish—the currency pair has already negated yesterday's losses.
Although at some point EUR/JPY fetched some 60 pips below the weekly PP yesterday, the immediate support at 135.60 was left intact.