Technical Analysis

AUDUSD, USDCAD and USDJPY remains caught within broader range themes into early November in the wake of the late October FOMC meeting. Although in the very near term, the tone is positive for these currencies versus the US Dollar (USD negative); a more forceful break from the broader ranges is needed for a clearer directional picture.


Notable losses through midweek below .7179, .7162/47 and .7097 (as predicted), but a rebound Friday from .7063 support (from .7064), to leave a positive tone Monday.

This maintains the broader range theme into early November.

For Today:

  • We see an upside bias for .7159; break here aims for .7196, which we would look to cap.
  • But below .7100 opens risk down to .7064/63.

Short/ Intermediate-term Range Parameters: We see the broader range defined by .6936 and .7382.

Range Breakout Challenge

  • Upside: Above .7382 aims higher for .7440/99 and .7681.
  • Downside: Below .6936 sees risk lower for 6894, .6857 and .6645.

Daily AUDUSD Chart



A significant setback through the latter part of last week, below 1.3129 and 1.3086 supports leaves a more negative tone for Monday.

However, the previous uptrend from mid-October, signalled a shift to a broader range into early November.

For Today:

  • We see a downside bias for 1.3036; break here aims for 1.3000/1.2989.
  • But above 1.3140 opens risk up to 1.3193.

Short/ Intermediate-term Range Parameters: We see the range defined by 1.3457/62 and 1.2828.

Range Breakout Challenge

  • Upside: Above 1.3457/62 aims higher for 1.3819 and 1.4000/4030.
  • Downside: Below 1.2828 sees risk lower for 1.2656 and 1.2304.

Daily USDCAD Chart



A dip and a bounce Thursday and a rally and setback Friday, reinforces a neutral tone into Monday.

The mid-October push above the 121.24 level set a broader range theme for late October, whilst the dip and bounce Wednesday, sees risk again of bullish shift (above 121.75/77).

For Today: We see a neutral tone between 121.49/54 and 119.99/79 (with a negative bias)

  • Break above 121.49/54 aims for key 121.75/77 and maybe 122.47, which we would look to try to cap.
  • Break below 119.99/79 aims for 119.10/118.88, which we would look to try to hold.

Short/ Intermediate-term Range Parameters: We see the range defined by 121.75/77 and 118.03.

Range Breakout Challenge

  • Upside: Above 121.75/77 aims higher for 123.08 and 124.16.
  • Downside: Below 118.03 sees risk lower for 116.14.

Daily USDJPY Chart


Risk Statement: Trading Foreign Exchange on margin carries a high level of risk and may not be suitable for all investors. The possibility exists that you could lose more than your initial deposit. The high degree of leverage can work against you as well as for you.