Analytic reviews

The Australian dollar weakened in today's trading against the greenback following weak economic data and continued uncertainty in global markets.

Government data revealed that the manufacturing PMI for manufacturing activity stood at 51.3 points last month compared to the previous reading of 51.6 points.

There are conflicting signals from the United States, where US President Donald Trump stressed that his country's economy is not approaching a recession, and that trade negotiations with the Chinese side and other countries and economic blocs are going well, but at the same time the Federal Reserve demanded a significant rate cut to revive the growth.

Many central banks, including the Federal Reserve, the European Central Bank and the Reserve Bank of Australia, are moving towards further rate cuts.

Investors are awaiting the US economy to release the housing market data from the release of the New Home Sales which may reflect a 0.2% decline to 645K versus a 7.0% rise of 646K in June, in conjunction with Fed Governor Jerome's speech. Powell under the title "Challenges of Monetary Policy" during the proceedings of the Jackson Hole Symposium.

This comes hours after last Wednesday's release of the minutes of the Federal Open Market Committee meeting held on July 30-31, in which it was acknowledged to cut interest rates on federal funds for the first time in more than a decade by 25 basis points to between 2.00% and 2.25%, which was in line with expectations at the time, with the view that the reduction came to support the pace of growth and combating the weakness of inflation in the shadows of trade protectionism.

Technical Analysis

AUDUSD is attempting to break support for the symmetrical triangle, reinforcing expectations that the bearish trend will continue over the coming sessions, targeting 0.6700 as the next major stop.

SMA 50 continues to support the suggested bearish wave, which requires stability below 0.6830.

Expected trading range for today is between 0.6680 support and 0.6800 resistance.

Expected trend for today: Bearish.

EURUSD

The pair fell out of the range of 1.1070-1.1110 waiting for the J. Powell's performance in Jackson hole. If he signals about the continuation of the rate reduction cycle, the pair may grow locally. At the same time, the absence of such a signal from the Fed leader will lead to the continuation of its drop.

The price is below the middle line Bollinger band, below SMA 5 and SMA 14. RSI is below the level of 50% and gradually decreases. Stoch make an attempt to turn down.

Trading recommendations:

Wait for Powell's speech. On the negative for the dollar, buy a pair with a likely future goal of 1.1160. On the positive side, on the contrary, sell with a possible price drop to 1.1025.

Cisco shares opened the week on a bearish price gap, surpassing 51.25 support.

To return the price and rise again to the resistance 49.00

The moving averages move above the price and form resistance levels and try to prevent it from rising.

Stochastic exited the oversold area and this was reflected in the price movement upwards.

The general trend is to the downside.

The US dollar fell during the Asian session after the developments and economic data followed by the Japanese economy, the third largest economy in the world and on the eve of developments and economic data expected on Thursday by the US economy, the largest economy in the world, which includes the launch of the economic policy seminar Jackson Hole in the Kansas City Reserve Bank FEMA for three days.

At 05:54 AM GMT, the USDJPY fell 0.18% to 106.43 levels from 106.62 opening levels, after hitting a session low of 106.40, and a high of 106.65.

We followed the preliminary reading of the Markit manufacturing PMI for Japan, the third largest industrial country in the world, which showed contraction shrank to 49.5 vs. 49.4 in July, before we saw the release of the overall manufacturing activity index which showed a decline. 0.8% vs. 0.5% in May, worse than expectations for a 0.7% decline.

On the other hand, we are looking forward to the US economy for the release of the claims applications, which may show a decline of 3 thousand applications to 217 thousand applications during the past week last Saturday, before we witness the release of the preliminary reading of the manufacturing and services PMI Markit for America, Expectations were for the manufacturing sector to widen to 50.5 from 50.4 and the services sector widened to 52.9 from 53.0 in July.

Leading indicators, which may show a rise of 0.2% versus a decline of 0.3% in June, coinciding with the launch of the Jackson Hole Symposium, which is attended by global central bankers and finance ministers as well as academics and financial market participants from all over the world. Tomorrow we will see Federal Reserve Governor Jerome Powell's speech on “Monetary Policy Challenges” during the seminar.

This comes hours after the release of the minutes of the Federal Open Market Committee meeting held on July 30-31, in which it was approved to cut interest rates on federal funds for the first time in more than a decade by 25 basis points to between 2.00% And 2.25%, which was in line with expectations, with the view that the reduction came to support the pace of growth and combat the weakness of inflation in the shadows of trade protectionism.

Technical Analysis

The USDJPY has tested 106.70 and held steady below it, to start providing negative trading now, keeping the bearish scenario intact over intraday and short term, supported by stochastic negativity.

Our awaited targets start at 105.05 and then 104.60, while stability below 106.70 is an important condition to achieve.

Expected trading range for today is between 105.70 support and 107.00 resistance.

Expected trend for today: Bearish.

Gold futures fluctuated in a narrow range tilted lower during the Asian session to witness the bounce for the fifth session in eight sessions from the highest since April 12, 2013 amid the US dollar index rose according to the inverse relationship between them on the eve of developments and economic data expected on Thursday By the American economy the largest economy in the world.

At 04:09 AM GMT gold futures for December 15 delivery fell 0.07% to trade at $ 1499.20 an ounce compared with the opening at $ 1505.13 an ounce, amid the US dollar index rose 0.03% to 98.28 compared to the opening at 98.25 .

Looking ahead, the US economy is looking for a reading of the number of claims which may show a decline of 3 thousand applications to 217 thousand applications last week last Saturday, before we see the preliminary reading of the manufacturing and services PMI for the US, amid expectations of a widening The manufacturing sector expanded to 50.5 from 50.4 and the expansion of the service sector shrank to 52.9 from 53.0 in July.

Leading indicators, which may show a rise of 0.2% versus a decline of 0.3% in June, coinciding with the launch of the Jackson Hole Symposium, which is attended by global central bankers and finance ministers as well as academics and financial market participants from all over the world. Tomorrow we will see Federal Reserve Governor Jerome Powell's speech on “Monetary Policy Challenges” during the seminar.

This comes hours after the release of the minutes of the Federal Open Market Committee meeting held on July 30-31, in which it was approved to cut interest rates on federal funds for the first time in more than a decade by 25 basis points to between 2.00% And 2.25%, which was in line with expectations, with the view that the reduction came to support the pace of growth and combat the weakness of inflation in the shadows of trade protectionism.

Technical Analysis

Gold finished yesterday's trading above 1503.24, activating the main bullish scenario again, noting that the price starts today with a bearish bias to test the mentioned level, while SMA 50 is a good intraday support against the price.

From here, we believe that opportunities are available for positive trading during the upcoming sessions, with the expected targets starting at 1535.00 then 1560.00, noting that a break of 1503.24 will put pressure on the price to test 1483.60 before any new attempt to rise.

Expected trading range for today is between 1490.00 support and 1520.00 resistance.

Expected trend for today: Bullish.

The Australian dollar fell during the Asian session against the US dollar following the developments and economic data followed by the Australian economy and on the eve of developments and economic data expected on Thursday by the US economy, the world's largest economy, which includes the launch of the economic policy seminar Jackson Hole in the Kansas City Federal Reserve Three days.

At 03:14 am GMT, the AUDUSD fell 0.19% to 0.6768 levels from the opening levels of 0.6781, after the pair reached its lowest level during the session at 0.6765, while achieving the highest at 0.6787.

This was followed by the Australian economy revealed the preliminary reading of the manufacturing PMI for the month of July, which showed a shrinking widening to 51.4 vs. 52.0 last June, and this coincided with the release of the preliminary reading of the services PMI for the month which also showed The expansion narrowed to 51.9 from 52.6 in June.

On the other hand, we are looking forward to the US economy for the release of the claims applications, which may show a decline of 3 thousand applications to 217 thousand applications during the past week last Saturday, before we witness the release of the preliminary reading of the manufacturing and services PMI Markit for America, Expectations were for the manufacturing sector to widen to 50.5 from 50.4 and the services sector widened to 52.9 from 53.0 in July.

Leading indicators, which may show a rise of 0.2% versus a decline of 0.3% in June, coinciding with the launch of the Jackson Hole Symposium, which is attended by global central bankers and finance ministers as well as academics and financial market participants from all over the world. Tomorrow we will see Federal Reserve Governor Jerome Powell's speech on “Monetary Policy Challenges” during the seminar.

This comes hours after the release of the minutes of the Federal Open Market Committee meeting held on July 30-31, in which it was approved to cut interest rates on federal funds for the first time in more than a decade by 25 basis points to between 2.00% And 2.25%, which was in line with expectations, with the view that the reduction came to support the pace of growth and combat the weakness of inflation in the shadows of trade protectionism.

Technical Analysis

AUDUSD continues to fluctuate within the symmetrical triangle shown above, and the price needs to break 0.6745 to activate the negative effect of the mentioned pattern and then rush towards our first major target at 0.6700.

In general, the bearish trend will remain likely in the coming sessions, provided that the price keeps its stability below 0.6830.

Expected trading range for today is between 0.6700 support and 0.6830 resistance.

Expected trend for today: Bearish.

The single currency of the European Union fluctuated in a narrow range tilted to decline during the Asian session to witness the rebound from the highest since July 19 last for the ninth session in twelve sessions against the US dollar on the eve of developments and economic data expected on Thursday by euro zone economies The US economy is the largest in the world.

At 05:10 am GMT, EUR / USD fell 0.02% to 1.1083 levels from the opening at 1.1085, after hitting a session low of 1.1081 and a high of 1.1092.

Investors are looking ahead to the French, German and regional economies as a preliminary reading of the Markit Manufacturing and Service Purchasing Managers' Index for the month, which may reflect the shrinking service sector expansion and the contraction of the industrial sector in France, Germany and the region as a whole. The accounts of the ECB monetary policy meeting held on 25 July.

This comes before the Eurozone economies also see the release of the Consumer Confidence reading, which may reflect a stable deflation at 7, little changed from July. Otherwise, markets are looking forward to the outcome of the meeting later today for the German Chancellor. Angela Merkel and French President Emmanuel Macron with British Prime Minister Boris Johnson to discuss the Brexit file.

On the other hand, we are awaiting the US economy for the release of the index of claims which may show a decline of 3 thousand applications to 217 thousand applications during the week last Saturday, before we witness the release of the preliminary reading of the manufacturing and services PMI Markit for America, Expectations were for the manufacturing sector to widen to 50.5 from 50.4 and the services sector widened to 52.9 from 53.0 in July.

Leading indicators, which may show a rise of 0.2% versus a decline of 0.3% in June, coinciding with the launch of the Jackson Hole Symposium, which is attended by global central bankers and finance ministers as well as academics and financial market participants from all over the world. Tomorrow we will see Federal Reserve Governor Jerome Powell's speech on “Monetary Policy Challenges” during the seminar.

This comes hours after the release of the minutes of the Federal Open Market Committee meeting held on July 30-31, in which it was approved to cut interest rates on federal funds for the first time in more than a decade by 25 basis points to between 2.00% And 2.25%, which was in line with expectations, with the view that the reduction came to support the pace of growth and combat the weakness of inflation in the shadows of trade protectionism.

Technical Analysis

EURUSD has not shown any strong movement in the past sessions, continuing to fluctuate around the 1.1100 level, thus, no change to the bearish trend scenario based on stability below 1.1180, supported by SMA 50, waiting to visit 1.1000 as the next major target.

Expected trading range for today is between 1.1000 support and 1.1150 resistance.

Expected trend for today: Bearish.

Aeroflot rebounded from the 108.30 support which is the 61.8 Fibonacci retracement and returned to test the resistance of 11.0.90

The price is moving under the positive pressure of the 20-50 moving averages that move below the price and form support levels.

Stochastic is near the oversold area on a bullish path and gives a bullish signal, so the price is likely to test the resistance again.

Overall trend: Bearish.

Gold futures fluctuated in a narrow range tilted lower during the Asian session to witness its fifth session rebound in seven sessions from the highest since April 12, 2013 amid the US dollar index rose according to the inverse relationship between them on the eve of developments and economic data expected on Wednesday By the American economy the largest economy in the world.

Gold futures for December 15 delivery fell 0.64% to trade at $ 1497.30 an ounce compared with the opening at $ 1506.57 an ounce, while the US dollar index rose 0.04% to 98.21 compared to the opening at 98.17.

Investors in the US economy are awaiting the release of the housing market data with the release of the Existing Home Sales which may show a 2.5% rise to 5.41 million homes versus a 1.7% decline at 5.27 million homes in June. The minutes of the FOMC meeting were held at the end of last July.

At the July 30-31 meeting in Washington, the Fed's monetary policy makers approved the first Fed cut in more than a decade by 25 basis points to between 2.00% and 2.25%. This was in line with expectations at the time, while saying that the reduction was to support the pace of growth and to combat the weakness of inflation in the shadows of trade protectionism.

By tomorrow, we look forward to the launch of the Jackson Hole Economic Policy Symposium at the Kansas City Federal Reserve, which will be attended by global central bankers and finance ministers as well as academics and financial market participants from around the world. Jerome Powell under the title "Monetary Policy Challenges" during the seminar.

Otherwise, we followed the weekend US Commerce Secretary Wilbur Ross said that his country would postpone a 90-day ban on Huawei and a number of other Chinese companies to move forward in trade talks, while expressing concern about the Fed's approach and its impact on the strength of the Fed. The dollar, he said, is likely to recession later, but noted that the yield curve for US bonds is not an unrealistic indicator as some believe.

President Donald Trump also said on Monday that the US economy remains strong despite the vision of the Federal Reserve and its governor, Jerome Powell, and expressed the importance of cutting interest rates on federal funds at least 100 basis points while reactivating policies. Quantitative easing, explaining that America's economy will do better as interest rates decline and the global economy will benefit from it.

Technical Analysis

Gold finished yesterday's trading above 1503.24, activating the main bullish scenario again, noting that the price starts today with a bearish bias to test the mentioned level, while SMA 50 is a good intraday support against the price.

From here, we believe that opportunities are available for positive trading during the upcoming sessions, with the expected targets starting at 1535.00 then 1560.00, noting that a break of 1503.24 will put pressure on the price to test 1483.60 before any new attempt to rise.

Expected trading range for today is between 1490.00 support and 1520.00 resistance.

Expected trend for today: Bullish.

The single currency of the European Union fluctuated in a narrow range tilted to decline during the Asian session to witness the bounce for the eighth session in twelve sessions against the US dollar amid the lack of economic data from the euro zone economies and on the eve of developments and economic data expected Wednesday by the US economy largest economy In the world.

At 05:19 am GMT the EURUSD fell 0.06% to 1.1093 levels from the opening at 1.1100, after hitting a session low of 1.1091 and a high of 1.1105.

Investors in the US economy are awaiting the release of the housing market data with the release of the Existing Home Sales which may show a 2.5% rise to 5.41 million homes versus a 1.7% decline at 5.27 million homes in June. The minutes of the FOMC meeting were held at the end of last July.

By tomorrow, we look forward to the launch of the Jackson Hole Economic Policy Symposium at the Kansas City Federal Reserve, which will be attended by global central bankers and finance ministers as well as academics and financial market participants from around the world. Jerome Powell under the title "Monetary Policy Challenges" during the seminar.

Technical Analysis

EURUSD has not shown any strong movement in the past sessions, continuing to fluctuate around the 1.1100 level, thus, there is no change in the bearish trend scenario, whose next target is located at 1.1000, supported by SMA 50, which negatively presses the price, while recalling that stability below 1.1180 This is an important condition for the continuation of the expected decline.

Expected trading range for today is between 1.1000 support and 1.1150 resistance.

Expected trend for today: Bearish.