1. Forex Market Insight
The euro continued to fall and was the worst performing G -10 currency of the day. It fell by 0.16% in late trading to 1.1580, having earlier touched its lowest since July 2020 at 1.1563.
The euro was weighed down by cross-selling pressure from the pound, the yen, and the monthly hedging transactions. In September, the euro fell by 1.94% against the dollar and 2.34% in the third quarter.
(EUR/USD 1-hour chart)
Today, pay attention to the 1.1622-line. If it runs stably below the 1.1622-line, pay attention to the support of the 1.1554-line. If the euro rises above the 1.1622-line again, it will open up further room for rebound. At that time, pay attention to the suppression of the 1.1663 and 1.1708 positions.
GBP Intraday Trend Analysis
Even if the dollar retreats further in the near term, it is expected to regain its recent gains in due course. While long bond yields have risen in most major economies, U.S. bond yields have risen more than most public bonds. And importantly, their gains have been driven in large part by higher real yields, reflecting expectations of tighter monetary policy. With this, the market is digesting expectations of a rate hike by the Bank of England.
(GBP/USD 1-hour chart)
The pound today pays attention to the 1.3409-line. If it falls below the 1.3409-line, it will remain bearish. At that time, pay attention to the support at 1.3302 and 1.3186. If it is above the 1.3409-line, pay attention to the strength of its rebound. With this, pay attention to the suppressive strength in two positions at 1.3574 and 1.3669.
2. Precious Metals Market Insight
Gold prices rose more than 2% yesterday. Earlier, the dollar fell owing to discouraging weekly U.S. jobs data. However, the Federal Reserve will soon begin to taper its expectations of economic support, driving gold prices to fall recently, which is set to record a quarterly decline.
The data released yesterday showed an increase in initial jobless claims last week, potentially raising concerns about a weaker labor market. In return, this has also led to uncertainty about the Fed tapering its bond purchases as they look to the possibility of delaying in tapering could be beneficial to gold prices.
(Gold 1-hour chart)
Gold is paying attention to the 1760-line today. If the price of gold breaks through the 1760-line, it will open up room for further upside for the price of gold. At that time, pay attention to the suppression of the two positions of 1768 and 1782.
3. Commodities Market Insight
WTI Crude Oil
Oil prices hovered around 75.45 yesterday. The oil prices closed up by nearly 10% in September, after a turbulent final trading session. The U.S. oil was down by 0.3% and Brent was down by 0.2%.
On that basis, news emerged during the session that Asian powers had ordered several of the country’s largest state-owned energy companies to secure supplies this winter. Meanwhile, the White House reiterated concerns about rising prices, offsetting prices from an unexpected rise in U.S. crude inventories and a stronger dollar pressure.
(Crude oil 1-hour chart)
Today, oil prices pay attention to the 75.69-line. If the oil prices are running below the 75.69-line, pay attention to the support at the 75.04 and 73.90 positions. Once the oil price breaks through the 75.69-line, it will open up further upward potential. At that time, pay attention to the suppression at the 76.89-line.
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