Thursday Briefing: From DXY, Gold to latest FX Headlines: Sept 15, 2022

US Dollar Index Overview

  • The DXY enjoys roller coaster movement and currently stabilizes around 109.60 mark.
  • It made intraday high at 109.92 and low at 109.42 mark.
  • A day Chart and H1 chart with triple EMA up down trend for the time being.
  • Immediate hurdles are seen at 109.85 to 109.20 mark.
  • A sustained close of either side on H1 chart requires for the further directions of the U.S. dollar.

Technical Analysis: XAU/USD (Gold)

  • Gold remains volatile after mixed economic data and currently trading around $1,688 mark.
  • The pair made intraday high at $1,697 and Low at $1,680 mark.
  • A day chart and H1 chart with triple EMA suggest down trend for the time being.
  • A sustained close above $1,694 on H1 chart requires for the upside rally.
  • Alternatively, a consistent close below $1,678 on H1 chart will test further supports.
Supports
Resistances
$1,678
$1,694
$1,672
$1,699
$1,667
$1,704
$1,662
$1,709
$1,656
$1,715

 
Key Headlines for the FX market:

  • Ukrainian President Volodymyr Zelenskiy said towns and villages recaptured from Russian forces had been devastated, while a major city stepped up efforts to repair damage to its water system from missile attacks.
  • Xi Jinping and Vladimir Putin meet today in an ancient Uzbek Silk Road city to discuss the Ukraine war, tensions over Taiwan and the deepening partnership between the rising superpower of China and the natural resources titan of Russia.
  • The world has never been in a better position to end the COVID pandemic, the head of the World Health Organization said on Wednesday, his most optimistic outlook yet on the years-long health crisis which has killed over six million people.
  • China’s exporters – the last reliable pillar of the world’s second-largest economy as it struggled with the pandemic, weak consumption and a property crisis – are warning of hard times ahead as softer overseas markets force them to shed workers, shift to lower-value goods and even rent out their factories.
  • Tesla is reevaluating the way it sells electric cars in China, its second-largest market, and considering closing some showrooms in flashy malls in cities like Beijing where traffic plunged during COVID restrictions, people with knowledge of the plans said.
  • The Ethereum blockchain has undergone a major software upgrade, drastically reducing its energy usage, its inventor and co-founder tweeted.
  • British finance minister Kwasi Kwarteng is considering scrapping caps on bankers’ bonuses to boost London’s post-Brexit competitiveness against financial capitals like New York and Hong Kong, a source familiar with Kwarteng’s thinking said.

Source: Reuters

Keep an eye open for the latest news and fundamentals affecting the FX markets.

Take a look and do trade wisely!
Good Luck