Weekly Market Commentary: October 3rd to 7th 2016

The EURUSD moved sideways last week as it continued to consolidate just below 1.1300 near-term resistance. This pair is stuck within a larger trading range between 1.1400 and 1.0900, and we can look for price action signals to sell near resistance levels or buy near support levels. But for now, we will remain on the sidelines until clearer price action clues develop.


GBPUSD – The GBPUSD continues to grind sideways to lower within the structure of the overall downtrend. As we have been for weeks and months, we remain bearish on this pair and can watch for 1 hr, 4 hr or daily chart price action sell signals on any strength.


AUDUSD – The AUDUSD tested a key overhead resistance zone up at 0.7700 – 0.7760 area last week. However, price could not muster the strength to close within that zone, a sign that bears are still containing price.In addition to the nearby resistance at 0.7700 – 0.7760, the line in the sand for sellers is 0.7830 key resistance, and we are short biased until a convincing close above that resistance. Look for short-selling opportunities in the near-term.


S&P500 – The S&P500 basically moved sideways last week but has showed some buoyancy the last two weeks following a recent pullback to support down near 2105.00. We remain potential buyers of this market, as the overall trend is still up and price is still respecting support levels. This week, we can look for price action signals to be a buyer on weakness whilst above 2105.00 key support level.


Oil – Crude Oil recently broke up above resistance near 46.40, easily closing above that level last week. This market is looking like it has found some new strength and we could see it continue higher this week. We can look to be buyers on a pullback to support this week, potentially targeting 51.65 key resistance area or just below.


Gold – Gold prices continue to remain above 1300.00 key support. However, at this point, we really need to see a price action confirmation signal (no blind entry) near 1310 – 1300 to get long as prices have been lackluster as of late.