When we realize that every mind is valuable, we create a world where no mind is limited.
USD
EUR/USD
The single currency fizzled out from $1.1610 to $1.1575 amid growing fears of reflation, and after European Central Bank President Christine Lagarde said on Friday that rising energy prices and supply disruptions in Europe could hold back growth.
GBP/USD
The British pound soared to $1.3695, on growing expectations that the Bank of England could raise interest rates to curb soaring inflation, as Bank of England Governor Bailey warned of a potentially "very damaging" period of inflation unless policymakers take any action.
USD/JPY
Japanese yen nosedived to a 2-1/2-year high at 112.72 per dollar, although downbeat non-farm payrolls data as the U.S. economy created the fewest jobs in nine months in September.
USD/CAD
The Canadian dollar vaulted to a two-month high of 1.2451 per dollar, buoyed by surprisingly Canadian solid payrolls data and lofty oil prices.
AUD/USD
Risk-sensitive Aussie jostled to $0.7330 on the back of higher commodity prices together with easing of coronavirus restrictions in the country's most populated state New South Wales.
USD/ZAR
The South African rand firmed at 14.97 against the dollar on a mixed U.S. jobs report on Friday, which could prevent the Federal Reserve from starting to taper its asset purchases as early as November.
USD/MUR
The dollar-rupee rallied to 43.05(selling) in the wake of the Bank of Mauritius' intervention to sell U.S dollars on Friday, 10 cents higher than its last intervention.
The dollar Index extends its intense rebound near the 94.00 threshold, clinching a new high for this year 2021 amid an earlier rate hike expectation and announcement of a nearing tapering asset purchase which clearly impacted the yield curves.
A tightening of monetary policy by the European Central Bank remains far in the future but ECB remains vigilant on its inflation figures yet to be released this Friday. This could give additional upward momentum on the USD in the near term and exerts additional selling pressure on the euro and the pound.
On the technical side, after a breach and close above the 100% retracement A-B-C (93.72 level) ,the greenback could easily approach the 113% level at 94.38 followed by 127% level – 94.98 level in the near term. Resistance at 96.47 (161.8%) remains key level to watch
1.3750 marked the completion of ‘wave e’ of the triangular retracement (wave B) of corrective move A-B-C for GBPUSD and abruptly, we saw fresh sellers entering the market below the 1.3600 levels yesterday.
As per Elliott wave principle, GBPUSD is battling around 1.3515 levels and higher inflation, Brexit and Petroleum concerns could exert further pressure on the pound towards 1.32 levels towards completion of wave C.
A breach and close above 1.3750 nullify this downward pattern.
