In the week ahead, the global financial market will shift their focus to Thursday’s U.S Federal Reserve Rate Decision. Central banks meetings in Australia as well as in New Zealand will be in focus. Before we continue, let’s take a quick look at the U.S dollar index…
U.S Dollar Index: Still Faces Pullback Threats!
As long as 96.95 resistance holds on a daily closing basis, the U.S dollar index remains in a pullback mode. But corrective pullback below 96.95 should be contained well by 95.70/95.18 levels where rebound is likely. However; below 95.18 will reverse risk to the downside to 94.58 levels, further down, support comes at 94.14 ahead of 93.85 levels.
On the upside, immediate resistance comes at 96.50 level. A break will recapture 96.95. Above that level will restore the upside momentum and aim 97.30 level, further upside, resistance comes at 97.70 level.
Conclusion: The U.S dollar index still faces pullback threats below 96.95 level.
Support: 96.05, 95.70, 95.18, 94.58, 94.15
Resistance: 96.50, 96.95, 97.30, 97.70, 98.20
Tuesday, November 6
The Reserve Bank of Australia will announce its benchmark interest rate and publish a rate statement at 03:30 GMT. No change in policy is expected. (A buying opportunity is likely for AUDUSD).
Wednesday, November 7
Canada will report on Ivey PMI at 15:00 GMT. The forecast is to rise 50.9, from 50.4 a month earlier.
The Reserve Bank of New Zealand will announce its latest monetary policy decision and hold a press conference at 21:00 GMT. No change in policy is expected. (A buying opportunity is likely for NZDUSD).
Thursday, November 8
The U.S will publish the weekly report on initial jobless claims at 13:30 GMT. Later in the day, the Fed will announce its latest monetary policy decision and publish its rate statement.No change in policy is expected.
Friday, November 9
The UK will release data on GDP growth and manufacturing production.
The U.S will report on producer price inflation at 13:30 GMT. The forecast is to rise 0.3%, from 0.2% in the preceding month.
You can follow the rest of the week’s economic events by visiting: