Market Analysis: Gold and Commodity Currencies Resume Their Decline

Despite the fall in the US CB Consumer Confidence Index for September and the decline in new home sales for August yesterday, one could observe a strengthening of the dollar in major currency pairs. It is worth noting that in addition to the decline in the euro and pound, commodity currencies with precious metals are also approaching current annual minimums.

USD/CAD

The US dollar/Canadian dollar currency pair yesterday managed to gain a foothold above the important level of 1.3500. If today dollar buyers manage to gain a foothold above the alligator lines on the daily timeframe, a test of the upper fractal at 1.3690 is possible. In case of a rebound from 1.3520-1.3540, the price may test the lower fractal at 1.3380.

Important for the pair’s pricing will be today’s publication of basic orders for durable goods in the US for August, which is scheduled for 15.30 GMT+3. It is also worth paying attention to weekly data on crude oil inventories in the United States, the publication of which is due at 17.30 GMT+3.

AUD/USD

Despite the slowdown in the Chinese economy, the AUD/USD pair remains confidently in the range of 0.6400-0.6500. For more than six weeks, Aussie buyers have been holding the area of 0.6400-0.6350 as important support; if, in the coming trading sessions, the price updates the current annual low, the beginning of another downward impulse in the direction of the extremes of 2020-2022 is possible. Cancellation of the downward scenario can be considered if there is a confident consolidation above 0.6600.

Early tomorrow morning, we are waiting for data on retail sales in Australia for August. Analysts predict an increase in the indicator, which could lead to a corrective pullback in the pair.

XAU/USD

A repeated test of resistance at 1947.00 with the XAU/USD pair contributed to the formation of a sell reversal bar on the daily timeframe. At the moment, the signal is being processed; the price has gone below the alligator lines. In the case of a positive news driver for the American currency, we can expect a test of the recent low at 1884.00. Tomorrow’s news on US GDP for the second quarter will be important for the pair’s pricing.