27.11.2019

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FX Brief:

Price Action:

• DXY: This week has provided a spinning top Doji and bearish inside day on the daily charts below 98.45 resistance, which feeds into the potential for mean reversion from current levels. Still, with it being a quiet week data-wise, it could simply consolidate around current levels without a catalyst and we’d revisit the potential for a bullish break.
• AUD/USD: The dovish forecasts from Westpac has seen sellers return so support around 0.6700 is back within focus. A clear downside break of this level brings 0.6750 and 0.6723 support into view for bears.
• USD/JPY: Yesterday’s candle is reminiscent of a bearish hammer, although the body is wider than textbooks would like. Yet with it closing beneath 109.76 resistance, there’s still potential for a swing high to form. It all comes down to a trade deal – if markets believe one will materialise, expect USD/JPY to head for 109.47, whereas if it appears dead in the water (again), then we’ll get the bearish catalyst.

Matt Simpson and Kelvin Wong both contributed to this article
Data from Refinitiv. Index names may not reflect tradable instruments and not all markets are available in all regions.

Original from: www.forex.com