Daily Market Commentary: August 24th 2016

EURUSD – The EURUSD weakened today as it is struggling just under 1.1400 key resistance. If prices cannot rally above that level we could see it sell-off from near current levels and re-test support down near 1.1185 or potentially lower.

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GBPUSD The GBPUSD continues to remain weak overall, despite a small rebound recently. Price is still contained well-below the nearest overhead resistance area up between 1.3375 – 1.3535 and we are continuing to look for price action selling opportunities this week on the 1 hour, 4 hour or daily chart time frame whilst prices are below that resistance zone.

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AUDUSD – After further selling overnight in the AUDUSD, we can see another small bearish pin bar formed, following the bearish tailed bars and pin bar sell signals that created a false break up above 0.7720 recently. Based on our previous comments regarding those bearish tailed bars as well as bearish pin bars on the weekly time frame, this pair is looking ripe for a move to the bottom of the range, near 0.7400 support. Until the market closes above the recent highs of the aforementioned tailed bars we have a bearish bias and will look for price action sell signals on any intra-day strength. More aggressive traders might want to get short now as prices could peel away from near current levels.

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USDJPY – The USDJPY continues to flounder near recent lows. We are bearish overall and can look to be sellers on any pockets of strength whilst under 102.75 on a price action sell signal

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Gold – Gold is still a buy above 1320.00 – 1310.00 key support zone. Also, as mentioned in our commentary last week on this market, a break above the bearish tail highs that formed recently would be a potential buy signal this week. However, a more conservative approach would be to wait for a pullback down into 1320.00 – 1310.00 key support zone and look for a buy signal there.

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