USOUSD Plummets Out Of The $80 Per Barrel Range

• 5 Nov 2021

USD/JPY

The USDJPY has begun to pullback and may now float back towards the 113.21 support line. Selling pressure has begun to rise in recent trading which may be the first signs of a potential reversal. The current trading range has remained intact since October, as there appears to be little appetite to drive price action.

 

 

 

 

GBP/USD

The GBPUSD pair has plummeted back towards a recent low at the 1.341 support line, having broken a key support line at the 1.361 price level. Long-term bearish sentiment is well-established and the latest sell-off confirms this trajectory.   

 

 

 

 

EURUSD

The EURUSD is once again testing the 1.153 support line which could indicate a break is imminent, especially considering the number of recent tests and the apparent lack of conviction from buyers. The current trend has been established since May and shows no sign of abating.     

 

 

 

 

USDCHF

The USDCHF pair has begun to climb, tracing the ascending trendline upwards. Bullish conviction remains low as denoted by the small-bodied candles in the current move. The trajectory suggests an end to the sell-off in recent trading. Momentum indicators are undergoing reversals.   

 

 

 

 

USDCAD

The USDCAD pair has finally broken out of range, moving passed the 1.243 resistance line. The move takes the pair back to a longer-term consolidation range with the 1.282 price line representing the ceiling of the range. The break will test buyers’ conviction and their ability to sustain the bullish momentum.   

 

 

 

 

XAUUSD

The XAUUSD will make another attempt at the upper bound of the descending triangle. Buying activity spiked in yesterday’s trading, yet bullish conviction has so far been insufficient in driving a break of the trendline. Momentum indicators have flattened in neutral/bullish territory. 

 

 

 

 

USOUSD

The USOUSD has dropped towards the 75.74 support line, as heavy selling pressure in the last two trading sessions drove price action out of the $80 per barrel range. How long this bearish momentum will last remains to be seen, demand for the commodity remains high.