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Maxain Morning Analysis 19/09/2024

EUR/USD

Trend Theme:EUR/USD flattens post-Fed rate cut

Trend Review:

EUR/USD climbed on reaction to first Fed rate cut since March of 2020.Fed delivers a surprise 50 bps rate cut out of the gate.Fed dot plot eases lower in September, unemployment forecast ticks slightly higher.

Today Advise:Bullish

Key Levels:

PPResistance*1.1173*1.1227**1.1266***
1.1135Support*1.1081*1.1042**1.0988***

Weekly forecast

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USD/JPY

Trend Theme:USD/JPY whipsaws after Fed delivers 50 bps rate cut

Trend Review:

USD/JPY dipped on reaction to 50 bps Fed rate cut before recovering extra ground.Fed’s dot plot on rate outlook also declined.Fed Chair Powell assuages initial market jitters in press conference.

Today Advise:Neutral

Key Levels:

PPResistance*143.18*144.08**145.45***
141.81Support*140.91*139.54**138.64***

Weekly forecast

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WTI

Trend Theme:Crude Oil sticks to $70 with even commodity traders on edge of the upcoming Fed meeting

Trend Review:

Crude Oil flat while nervous traders look towards the Fed decision on interest rates on Wednesday.Overnight API US weekly crude oil stockpile data was a surprise build against all expectations. The US Dollar Index remains under pressure, trading at the lower boundary of September’s range.

Today Advise:Neutral

Key Levels:

PPResistance*70.07*71.03**71.79***
69.30Support*68.34*67.58**66.61***

Weekly forecast

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XAU/USD

Trend Theme:Gold hovers round $2,550 post FOMC decision

Trend Review:

Gold prices fall following a 50 bps Fed rate cut; officials project fed funds rate to reach 4.4% by 2024.Fed expresses confidence in nearing 2% inflation target, despite economic uncertainties and balanced mandates.US Treasury yields climb to 3.67%; US Dollar Index dips 0.54% to 100.49, hitting new yearly low of 100.24.

Today Advise:Neutral

Key Levels:

PPResistance*2590.61*2622.03**2643.88***
2568.76Support*2537.34*2515.49**2484.07***

Weekly forecast

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