Weekly Market Commentary: September 6th to 9th 2016

EURUSD In our previous EURUSD weekly commentary, we talked about looking to sell the pair on strength last week whilst under overhead resistance near 1.1340 – 1.1400. You will notice that on Friday a large bearish tailed bar / pin bar formed as price reversed into the week’s close. This shows us again that bears are controlling this pair and could push prices lower this week. Traders can look to get short this week on any early strength, targeting support below 1.1045 area.


GBPUSD – In recent weeks we have been talking about looking to sell the GBPUSD from the resistance zone up between 1.3375 – 1.3538 area. We can see last week price retraced up to just below this resistance area and is currently trading just below it. We will watch closely for price action sell signals within that resistance zone this week in order to trade in-line with the overall downtrend from value / resistance.


AUDUSD –As we discussed in our previous AUDUSD commentary, we are bearish on this pair and looking to sell it whilst under key resistance up near 0.7676. We can see in the chart below that price retraced to the upside late last week but backed off the highs Friday to form a bearish tailed bar / pin bar. As we have discussed looking to sell on strength recently, Friday’s price action could be a potential selling opportunity that could lead to lower prices this week, down to 0.7400 support area.

USDJPY –We see resistance from 103.80 to 106.70 in the USDJPY and you will notice price kept moving higher on Friday despite the small pin bar from Thursday. Looking at the chart below, prices could swing up to 106.70, so just be careful. However, even if prices break higher we would still look for another shorting opportunity with the long-term downtrend.


S&P500 –The S&P500 remained above 2150.00 near-term support last week, a level we have been talking about looking to buy from in recent commentaries. Our views have not changed on this market; we are still looking to be buyers on weakness, ideally with a price action signal as confirmation, but more aggressive traders may consider getting long on a blind entry at or close to 2150.00 or 2120.00.


Gold – Gold bounced up from 1300.00 – 1310.00 key support zone late last week, a support area we had been talking about looking to buy from for weeks now. Anyone not already long can look to be a buyer on any early weakness this week whilst prices are above 1300.00 key support, also notice if you look at the weekly chart time frame a bullish pin bar reversal formed from that support zone last week.

Oil –Crude Oil sold-off last week after reversing up near 48.50 area and forming a bearish pin bar there. We see this market as a likely sell under resistance, see the core resistance zone marked below, we will be waiting or a price action sell signal within that zone to get short, either on the 1hr, 4hr or daily chart.