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AUD/USD

The AUD/USD currency pair moved back and forth during the course of the trading week, as it tested the crucial 0.66 level underneath to find plenty of support yet again. Recently, the pair has been trading between the 0.66 level and the 0.68 level, and I believe it is going to continue to hang around this area. 

I would look at this through the prism of a short-term, range-bound trading environment, but I do recognize that if we see a close outside of this 200-point range, it’s likely that the pair could either go to the 0.70 level to the upside or to the 0.64 level on the downside.

USD/JPY

The USD/JPY pair has broken higher against the Japanese yen to break a major barrier at the JPY138 level. However, the market still looks set to face a lot of noise just above that level.

With that being said, this appears to be a situation where traders will continue to look at this through the prism of whether or not we have more momentum, and a break above the top of the weekly candlestick could send the dollar toward the JPY140 level. However, a pullback would offer a buying opportunity all the way down to the JPY135 level on signs of support.

GBP/USD

The GBP/USD currency pair moved back and forth against the US dollar throughout the week, as traders were attempting to figure out what they were going to do next. After all, there are many concerns when it comes to global demand at the moment, so caution may be advised. 

The 1.2650 level area above has caused significant resistance, and if there was a break above there, that would obviously be very bullish for the pound. On the other hand, if there was a break down below the 1.2350 level, there could be a little bit of a drop.

EUR/USD

The EUR/USD pair fell during most of the week, but it did recover a bit toward the end of it. It looks as though the pair may continue to sit around the 1.08 level and try to find the next move, possibly moving toward the 1.10 level above.

It’s also worth noting that the 200-week EMA is closer to the 1.11 level and appears to be dropping, so that could cause a problem. On the downside, if we were to see a break down below the 1.07 level, it could open up a move down to the 1.05 level over the longer-term.

Gold

Gold markets have fallen rather hard during the week, but they turned around to recover quite nicely on Friday. By doing so, this suggests that the market still has plenty of buyers on dips, and I would look at this as a value proposition, looking for “cheap gold” as it occurs. Ultimately, I don’t have any interest in selling gold yet, and I think that it would not be overly surprising to see the gold market return and try to reach the $2000 level.

S&P 500

The S&P 500 rallied during the better part of the week, as it continues to threaten a significant breakout. It did manage to pierce the 4200 level, but it looks like there is a little bit of pushback at that point.

With that in mind, I think it still remains more or less a “buy on the dips” market, but one that you would need to be cautious with. If we were to see a break down below the 4100 level, that could change a few things. However, all I see right now is a lot of noise just waiting to sprout, and perhaps a lot of trouble.

WTI Crude Oil (US Oil)

The West Texas Intermediate crude oil market has rallied to show signs of life during the course of the week, but there is still much noise that can be seen above. This appears to be a tentative situation due to the fact that oil is so highly sensitive to the global economy, which is all over the place at the moment. With this being the case, I think next week may see a large amount of short-term, back-and-forth volatility.

Nasdaq 100

The Nasdaq 100 has hit my target of 13,750 this past week, and now it looks as though it may continue trying to break out to the upside. Short-term pullbacks at this point may make an appearance, with the 13,200 level possibly offering support.

That being said, if it could take out the top of the candlestick for the week, then this would open up a move toward 14,000. It’s worth noting that the Nasdaq 100 has been very bullish as of late, and this past weekly candlestick was very strong.

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