EURUSD bouncing back
The dollar has not been the most favourable currency to trade with recently, as the rally that started in September has come to a halt. Sellers have continued to close their positions as the price spikes higher, clawing back some losses. As federal agencies begin to reopen after the longest government shutdown in history, the dollar could rebound and regain its competitiveness against its rivals. 1.1550 is the first support, with 1.1700 the next target higher.
XAUUSD falls away from another record
As Gold hit another fresh high last week, recent rumours that the Fed might be a bit more hesitant in next month’s meeting caused a major pullback in price action. Sentiment might still struggle to attract sellers below 4000, as this price now becomes a critical level of support. But if sentiment shifts even further on the dwindling hopes of a December rate cut, the precious metal could sink lower. On the upside, gold is targeting 4200 to sustain the rally and move towards another record
SPX 500 finds support
Indices slid lower on the recent news of the Fed’s potential rate cut at their next meeting, even though a series of economic data supported a solid American stock market. A steady labour market in recent weeks, combined with a progressive earnings season in which AI and tech have led the way, has caused the index to find some support after its 200-point drop on Friday. The quote is hovering above 6600, and 6900 is a key resistance level ahead.
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The post The Week Ahead – Decisions, Decisions for the Fed appeared first on Orbex Forex Trading Blog.