Forecasts & Analysis | Fundamental, Page

The short-term range is $2.135 to $2.745. If sellers can take out $2.532 this week with conviction then look for a two to three week break with $2.440 to $2.368 the next likely downside target.

The primary concerns for traders this week will be whether Saudi Arabia will be able to repair its damaged oil production facilities in a timely manner and whether they can protect their production facilities and oil fields from further attacks.

The news from Friday that Chinese officials went home without visiting U.S. Farms was not a major event. So prices could retreat early in the week since this is what triggered Friday’s late short-covering rally in gold.

Both the Aussie and the Kiwi are likely to start the week under pressure as investors continue to price in future rate cuts by the RBA and the RBNZ. The big event this week will be the RBNZ interest rate decision and policy statement on September 25.

The Japanese Yen was one of two currencies to close higher against the U.S. Dollar last week. This trend is likely to continue because of uncertainties over U.S.-China trade relations, a potential escalation of tensions in the Middle East, the U.S. money market squeeze and the Fed’s rate cut.

After surprising traders with a 50 basis point rate cut in August, many traders thought the RBNZ would pass on a September 24 rate cut and trim on November 12 instead. However, this week’s price action indicates that traders aren’t taking any chances with another surprise and have already begun

Storms continue to linger

Trade issue buoy gold prices

Continuing to trade inside the $2.585 to $2.691 retracement zone will indicate the bulls and the bears are somewhat balanced.

The Canadian, Mexican and British currencies are trading sideways on Friday. With no U.S. fundamental releases on the schedule, I expect an uneventful North American session.

Dovish Fed speaker comments could be supportive for gold. Hawkish comments could put pressure on gold. Ultimately, however, it all depends on which way the wind blows the U.S. Dollar on Friday. Low volume could hold prices in a range.

Before the market can really become stable, Saudi inventories are going to have to return to pre-attack levels, the damaged facilities are going to have to be repaired and working at full capacity and further threats will have to be prevented. Since the risk is to the downside, the markets

There were no major economic reports out of Japan overnight and there aren’t any from the United States on Friday. However, several Fed speakers are on tap and they could move the Forex pair especially since the Federal Reserve was unclear about future rate cuts.

Based on the price action this week and the current price at 7944.00, the direction of the December E-mini NASDAQ-100 Index the rest of the session on Friday is likely to be determined by trader reaction to the 50% level at 7883.25.

The British pound is set to post the largest weekly gain among its major currency counterparts as progress towards an EU exit continues to head in a positive direction.

EUR/USD made another attempt at a critical resistance area in early trading on Friday but sellers jumped in to hold the pair within a range.

It’s been a sleepy start to the Friday session, with little movement from the Australian, NZ or Chinese currencies. With no fundamentals on Friday for the markets to chew on, I expect a quiet trading day as we wrap up the week.

Jobless claims rose less than expected

The jet stream has kept storms away from natural gas installations

The risks are for more geopolitics which could buoy gold