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Lots of moves BUT watch for any pause. ECB in focus too.

June 4, 2020

Every trading instrument I monitor is on the move, even Gold has joined the throng, BUT traders should be cautious and watch for any pause, especially on the AUD pairs. As I always warn: trends don’t travel in straight lines forever. The move on the EUR/USD will be in greater focus today given the ECB rate update.

 

Data: Watch today with AUD Trade Balance & Retail Sales data and the ECB rate update:

 

Earnings:

 

DXY daily: the shift lower continues so watch for any push to 95 S/R:

 

Trend line breakouts:

Gold 4hr: This new TL b/o has yielded up to $25 pips BUT watch for any pause now that price is at a the support of $1,700.

 

AUD/USD 4hr: This TL b/o has yielded up to 280 pips BUT watch for any pause now that price is at a major resistance level AND this run has extended for 11 weeks. A pause or pullback could be on the cards:

 

AUD/JPY 4hr: This TL b/o has yielded up to 370 pips BUT, as with the AUD/USD, watch for any pause now that price is at a major resistance level AND this run has extended for 11 weeks. A pause or pullback could be on the cards:

 

EUR/USD: caution is needed trading this pair today given the ECB rate update.

EUR/USD 4hr: This TL b/o has yielded up to 260 pips BUT watch for any pause given this run has extended for around 3 weeks. A pause or pullback could be on the cards here too. There is the ECB rate update to keep in mind today:

 

EUR/USD daily: all whole-number levels feature as S/R and the 1.13 level is no different:

 

NZD/USD 4hr: This TL b/o has yielded up to 180 pips BUT watch for any pause now that price is at a previous resistance level AND this latest run has extended for 3 weeks. A pause or pullback could be on the cards:

 

GBP/USD 4hr: This TL b/o has stalled at 280 pips SO watch for any pause now that price is at the recent resistance level of 1.265. A pause or pullback could be on the cards here again:

 

USD/JPY 4hr: This TL b/o has yielded up to 110 pips BUT watch for any pause now that price is at the recent resistance level of 109:

 

S&P500 4hr: the move up from the 3,050 level continues so watch for any push to 3,400:

 

ASX-200 4hr: This bounce off TL support has yielded up to 200 points BUT watch for any pause now that price is at the major 6,000 resistance level. A pause or pullback could be on the cards:

 

Oil daily: This TL b/o has stalled at $11: