Market Update - 03 October 2023

USD/CHF receives downward pressure due to the Soft Swiss inflation data. Economic indicators suggest bullish momentum in the price movement. The major level at September’s high emerges as the immediate barrier, aligned to 0.9250 major level. (FXStreet)

USD/CAD retreats a few pips from over a six-month high touched earlier this Tuesday. Rebounding Oil prices and a modest USD pullback from the YTD top act as a headwind. The fundamental backdrop and technical setup seem tilted in favour of bullish traders. (FXStreet)

GBP/USD loses momentum and holds below the mid-1.2000s on Tuesday. The pair holds below the 50- and 100-hour EMAs with an oversold RSI condition. The immediate resistance level is seen at 1.2107; 1.2050 acts as an initial support level. (FXStreet)

USD/JPY trades below the highest level in eleven months. Traders watch for BoJ’s intervention, which could limit the losses of the Japanese Yen. US Treasury yields elevate, providing support to the US Dollar. (FXStreet)

EUR/USD loses traction below the 1.0500 psychological mark on Tuesday. The major pair holds below the 50- and 100-hour EMAs on the four-hour chart amid the oversold RSI condition. The key support level is seen at 1.0400; the immediate resistance level will emerge at 1.0577. (FXStreet)

The index accelerates its upside beyond the 107.00 hurdle. Higher US yields underpin the strong rally in the greenback. JOLTs Job Openings next on tap in the US docket. The USD Index (DXY), which tracks the greenback vs. a bundle of its main rival currencies, extends the robust uptrend above the 107.00 barrier to print new 2023 peaks on turnaround Tuesday. (FXStreet)

EUR/GBP extends gains for a second successive month. BoE’s decision to pause the rate-hiking cycle weakens the Pound Sterling. Investors await ECB officials to deliver speeches during the week, seeking fresh cues on the ECB’s stance. (FXStreet)

NZD/USD attracts some sellers near 0.5938 amid the USD demand. US ISM Manufacturing PMI (Sep) came in at 49.0 vs. 47.6 prior, stronger than expected. The Reserve Bank of New Zealand (RBNZ) is likely to hold the interest rate unchanged at 5.5% on Wednesday. (FXStreet)

AUD/JPY hovers around 95.05 following the Reserve Bank of Australia (RBA) rate decision. RBA decided to hold the rate unchanged at 4.1%, as widely expected. BoJ Governor said there was a long way to go for BoJ before exiting its ultra-loose monetary policy. The attention will shift to the Australian PMI ahead of the Trade Balance. (FXStreet)

USD/INR receives upward support due to the Fed’s hawkish tone. RBI is expected to maintain its current interest rates at 6.50% in the upcoming meeting. US Dollar surges on the back of elevated US Treasury yields. (FXStreet)

WTI prices extended the corrective decline on Monday, closing below the key $90.00 mark per barrel. The daily downtick, however, was on the back of declining open interest and volume and suggests that further retracements seem not favoured in the very near term. In the meantime, the $88.00 region per barrel emerges as quite a decent support for the time being. (FXStreet)

Prices of natural gas dropped to multi-day lows at the beginning of the week. The continuation of the leg lower came in tandem with rising open interest and volume and exposes a deeper decline in the very near term. On the upside, the $3.00 mark per MMBtu continues to be a solid resistance for bulls for the time being. (FXStreet)

Gold price drifts lower for the seventh day and drops to a near seven-month low on Tuesday. The Fed’s hawkish outlook, elevated US bond yields and a bullish USD weighs on the XAU/USD. The US Dollar enters a bullish consolidation phase and lends some support to the XAU/USD. (FXStreet)

Silver price can find some support near the $21.00 mark on Tuesday. The upbeat US data lifted the USD broadly and weigh on the XAG/USD. The first resistance level is seen at $21.68; $20.65 acts as an initial support level. (FXStreet)

Source: FXStreet

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