Charts of the Week: The two currency pairs benefiting from increased risk appetite + Gold under pressure

AUDUSD has been benefiting from the increase in risk appetite and is now approaching the 50 % Fibo of the July-August decline. A breakout above that level could give AUD bulls more confidence, with 0.70 the next target then. The Daily RSI signals that the currency pair is not yet in overbought conditions, and could have some more room to the topside. Traders will also be keeping an eye on the 200 DMA around 0.7030.

AUDUSD
AUDUSD

USDJPY has struggled to gain significant momentum in the past few weeks, but the stock rally and breakout above 107.00 are keeping Dollar bulls hopeful. The next hurdle to clear is the 38.2 % Fibo of the April-August decline, followed by the 21 DMA at 108.

USDJPY
USDJPY

Meanwhile, Gold is struggling as demand for safe havens has waned, and bulls have decided to book some profits following a large rally. The key level to watch is $1479 support, as a break below could trigger further profit-taking and add to the negative momentum.

XAUUSD
XAUUSD

Following a period of consolidation, USOIL managed to break above the 200 DMA and Oil bulls are already eyeing $60.80 as the next target. Sentiment remains mixed however, as there are plenty of uncertainties and geopolitical risks present. To the downside, key support is seen around $56.00-56.20, followed by $54.40.

USOIL
USOIL

The information is not to be construed as a recommendation; or an offer to buy or sell; or the solicitation of an offer to buy or sell any security, financial product, or instrument; or to participate in any trading strategy. Readers should seek their own advice. Reproduction or redistribution of this information is not permitted.