The Reserve Bank of Australia (RBA) will hold a meeting and announce changes to the monetary policy on August 3, at 07:30 MT time (GMT+3).
Trade ideas on May 29
Let’s look at main movements on the market.
USD/JPY fell down
Investors are waiting for Donald Trump’s response to China’s security law in Hong Kong. As a result, the market uncertainty pushed up the Japanese yen. The USD/JPY is headed down to the support line at 107.1. If the price manages to cross it, it will pave the way towards the next support level at 106.8. Resistance levels are at 107.45 and 107.725.
Stocks dipped on risk-off sentiment
S&P 500, Dow Jones, Nasdaq dipped today. Today the focus of investors has shifted from optimistic prospect of reopening economies to the US-China tensions. China’s parliament on Thursday insisted on the new security legislation in Hong Kong that raised a lot of questions about its future freedom and economic functioning. Everybody’s waiting for the US reaction today. Inevitably, the US-China relationship will get worse. Just yesterday S&P 500 passed the 3060 mark, unseen since March. Support levels are at 3000 and 2960.
Gold is moving up
The gold price rose on the market uncertainty and falling USD. It’s headed up to the retracement level at 1730. If it breaks through it, it will possibly jump up to 1750. Support levels are 1700 and 1680. Most analysts have bullish forecasts for gold as it always sticks to the long-term trend.
AUD/USD surged on weak USD
The Australian dollar went up as the US dollar fell. AUD has been climbing since March 20. Today it has met with a 200-day moving average at 0.6665. If it breaks through it, it will go up to the next resistance level at 0.675. Support lines are 0.66 and 0.65.
What events to follow and how to trade during the week of July 2-6?
EUR/USD retraced to 1.1870 after breaking out this level. It should be just a natural sell-off ahead of the further rally up.
Read a short market wrap before trading today!
The United States will publish the non-farm employment change, also known as non-farm payrolls or NFP at 15:30 MT (GMT+3) time on August 6.
Our analyst discusses the latest news and shares his trade ideas on gold, EUR/USD, and S&P 500. Jump in!