Daily Market Charts and Analysis

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Here are the latest market charts and analysis for today. Check them out and know what’s happening in the market today.

Charts

AUDUSD

The pair is seen rising to their monthly high after breaking a resistance level at the 0.69436 level, converging with the 50-day moving average and poised to continue to go up. This comes ahead of the US-China meeting set to happen during the G20 summit, which is scheduled in Osaka, Japan later this week. The AUDUSD pair continues to retrace its steps after the Reserve Bank of Australia (RBA) rate cut from earlier this month. The decision emphasizes the dovish forward guidance for monetary policy. It also appears that RBA’s Governor Philip Lowe is buying some time until the July 2 meeting, saying that “it’s a legitimate question to ask how effective further monetary easing would be.” There is also the possibility of the RBA’s reverting back to a wait-and-see approach as US President Donald Trump is set to meet Chinese President Xi Jinping at the G20 summit. The AUD can be supported by efforts to hammer out a trade agreement.

Charts

AUDCAD

The AUDCAD pair is continuing a rebound from the last week’s low, climbing up to the 0.91834 level, although the 50-day moving average is still looking for a downward trajectory. The Canadian dollar is largely driven by the interest rates differentials with the United States and its trade balance that is influenced greatly by hard commodities prices. While the Canadian dollar is strengthening against its US counterpart, it is weakening against the Australian dollar, which is broadly bullish, thanks to the RBA’s decision on interest rates as well as the prospect of the US and China meeting during G20 summit. The Canadian dollar, meanwhile, is supported by the rise in the prices of oil, which is the country’s major export. Oil prices extended their large gains last week as the tensions between the US and Iran continued to heat up. The US has announced new sanctions against Iran last Monday.

Charts

AUDCHF

The pair experienced a pullback from the current levels as the Swiss franc managed to gain some strength against the Aussie, thanks to continuing trade tensions  between the US and China and the heating up dispute between the US and Iran. After the confirmation of the death cross last May, the pair continued to creep down the lower levels on the daily chart, weakening the AUD and boosting the CHF. At the time of writing, safe haven assets like the Swiss franc outperform other assets as the greenback remained shackled by the speculations of monetary easing by the Federal Reserve. Among other safe haven assets are the Japanese yen and gold, which are also showing stronger performance, benefitting from geopolitical tensions in the US, in the Middle East, in Asia, and even in Europe. Overall, the pair could continue the pullback but will probably be stopped at the nearest resistance level.

Charts

GBPJPY

The pair is treading its support level at 136.006 levels, still trading within the trading channel on the daily charts. This pair still remains under pressure, though. Releases overnight supported the safe haven Japanese yen. The latest Bank of Japan Core CPI printed higher-than-estimate results. According to the last central bank meeting minutes, BoJ policymakers believe that the current policy path was still good for the current and expected fiscal conditions. Traders ought to look at the latest global sentiment since it is apparently poised to remain the key market driver behind the force of the safe have yen, revolving around the tensions between the US and China and the tensions between the US and Iran. To activate the risk-on sentiment, a breakthrough in the US-China trade talks is necessary. However, the simmering tensions on the Middle East side will probably continue to prevent investors from investing in riskier assets.

Charts

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