30 Nov, 2023
5 minutes
Daily Technical Analysis November 30th 2023
Introduction:
Welcome to our daily technical analysis of the financial markets, focusing today on USD/JPY and AUD/USD. Let's dissect the latest news, market trends, and crucial price levels to watch out for.
1. USD/JPY Analysis:
News Summary:
Although the Japanese economy would be slow down to less than 1% next year, local wages are expected to see a new round of strong growth, and coupled with improved inflation expectations, the Bank of Japan may exit its negative interest rate policy in the first quarter of next year. However, the United States starts cutting interest rates next year, it may only cut interest rates by 25 basis points every quarter, which is not enough to cause the yen to appreciate significantly.
Trend Analysis:
We can see USD/JPY touched the bottom and then returned above 147.00. The MACD double line and histogram bar began to form bottom divergence and approached the 48 hours moving average. The proper tactic is to set up buy limit currently, stop loss is necessary.
Today's Key Price Levels:
Key Support Levels: [146.00]
Key Resistance Levels: [148.70]
Pivot Points [146.50]
2. AUD/USD Analysis:
News Summary:
Excluding volatile items such as energy, Australia's core inflation rate fell to 5.1% year-on-year in October from 5.5%. The Reserve Bank of Australia announced earlier this month that it would continue to raise its interest rate. The main reason is that the central bank believes that reducing inflation rate is still very difficult, and Australian economy and labor market have shown more resilience than expected. The Australian cash rate is currently 4.35%, the highest level in 12 years.
Trend Analysis:
We can see AUD/USD peaked and then fell back and began to approach the 48 hours moving average. At the same time, the MACD double line and energy column formed a top divergence above zero axis. Whether it will be further tightening of monetary policy in the future depends on whether inflation can be achieved within a reasonable time frame, as well as important economic data trend and changing risk assessments. Consequently, the sell limit can be placed, stop loss is compulsory.
Today's Key Price Levels:
Key Support Levels: [0.6520]
Key Resistance Levels: [0.6700]
Pivot Points [0.6650]