Excitement goes on sale in the first hours on Wednesday. USD initially lost, although in the last few minutes it regains vigor. The flat closure of Wall Street has given tone to the trade in Asia. Crude oil falls slightly after weaker data on China’s imports. In general, markets remain in tight zones. EUR/USD trades under 1.16, USD/JPY over 113.70.
On Wednesday, 8th of November, the event calendar is light in an important news release. Only during the US session, Canada will post Housing Starts and Building Permits data, the US will reveal Crude Oil Inventories data and late in the session, the Reserve Bank of New Zealand will make a decision regarding the interest rate.
EUR/USD analysis for 08/11/2017:
The forex trading remains negligible with periods of intermittent momentary confusion in trader’s position adjustment. Poverty in data flow after strong central bank accents in the past weeks condemns most trades in consolidation. There is no direction not only in the foreign exchange market, but also in the stock market or gold.
Let’s now take a look at the EUR/USD technical picture at the H4 time frame. The market managed to make a new marginal lower low at the level of 1.1554, but the price quickly recovered and now is testing the resistance at the level of 1.1610. The bullish divergence between the price and momentum oscillator is helping to lift the market higher, but the indicator did not break out above its fifty level yet. The market conditions remain oversold, so the upward correction might continue higher and the next technical resistance is seen at the level of 1.1662.
Market Snapshot: USD/CAD reverses lower
The price of USD/CAD tried to rally past the level of 1.2802, but it was neglected and reversed lower. The next target for bear is 50% Fibo retracement at the level of 1.2675 which is just above the technical support at the level of 1.2662. The market conditions look oversold, but the upwards momentum is diminishing.
Market Snapshot: Golds quietly breaks out above trend line
The price of Gold has broken out above the golden trend line resistance at the level of $1,274 and it is eyeing the next technical resistance at the level of $1,289. Nevertheless, the key level to the upside is still the gray resistance zone between the levels of $1,298 – $1,305.
The material has been provided by InstaForex Company – www.instaforex.com