The US dollar is likely to remain strong in the near term due to hawkish Fed expectations and weak economic data in other regions. Currencies like EUR, GBP, and AUD face headwinds due to domestic uncertainties and potential delays in rate cuts. The Japanese Yen is under pressure due to the widening interest rate differential with the US. Gold may experience short-term volatility but could see upside potential if PCE data weakens the dollar. Markets are waiting for key data releases like PCE inflation to get a clearer picture on future monetary policy decisions.

British Pound (GBP/USD):

• Technical Outlook: Bearish with a chance for a corrective bounce. Price is testing support at 1.2623. Intraday buys possible up to 1.2664 if US data is weak.
• Key Levels:
  • Support: 1.2623, 1.2602, 1.2566
  • Resistance: 1.2664, 1.2693, 1.2735
• UK Elections: Snap elections impact on GBP.
• Trading Recommendations: Intraday buy opportunities at 1.2648 with a target of 1.2680, then sell. Intraday sell opportunities below 1.2633 with a target of 1.2605, then buy.

Japanese Yen (USD/JPY):

• Technical Outlook: Bullish medium-term, but short-term correction possible. Price is testing support at 160.43. Divergence on MACD indicates potential downside.
• Key Levels:
  • Support: 160.00, 159.00, 158.23
  • Resistance: 160.70
• Japanese Intervention: BoJ may intervene again to weaken the yen’s decline.
• Trading Recommendations: Limited opportunity for buying due to strong price deviation. Consider selling at 160.70 if there’s a reaction.

Australian Dollar (AUD/USD):

• Technical Outlook: Uncertain, possibly forming a sideways wedge pattern. Price tested resistance at 0.6685 earlier. Potential upside towards 0.6730.
• Key Levels:
  • Support: 0.6635, 0.6591
  • Resistance: 0.6685, 0.6729
• Australian Inflation: Higher than expected inflation data raises concerns about rate hikes, impacting AUD.
• Trading Recommendations: No clear recommendations due to uncertain situation.

Gold (XAU/USD):

• Technical Outlook: Bullish short-term, but needs to break above $2400 or fall below $2300 for continuation. Price surged to $2330 after yesterday’s selloff.
• Key Levels:
  • Support: $2300
  • Resistance: $2326, $2350, $2370
• US Data: PCE data release tomorrow could impact gold prices.
• Trading Recommendations: No clear recommendations due to potential volatility from PCE data release and US presidential debate.