Market Update - 29 November 2022

USD/JPY comes under renewed selling pressure on Tuesday amid broad-based USD weakness. Rising bets for less aggressive rate hikes by the Fed continue to weigh heavily on the greenback. A positive risk tone could undermine the safe-haven JPY and help limit the downside for the pair. (FXStreet)

EUR/GBP lacks any firm intraday direction and remains confined in a narrow trading band. Talks for more aggressive rate hikes by the ECB underpin the Euro and lend some support. Traders look to the flash German CPI and BoE Governor Bailey’s speech for some impetus. (FXStreet)

GBP/USD pares the first daily loss in three, retreats from intraday high top of late. One-week-old horizontal resistance area tests Cable buyers. RSI, MACD favor further upside, 200-HMA restricts the bear’s entry. (FXStreet)

On the daily chart, the DXY Dollar Index is starting to show early signs of a potential bullish reversal. For starters, prices left behind a Doji candlestick that then saw upside follow-through over the past 24 hours. This is as prices tested the 200-day Simple Moving Average (SMA) and positive RSI divergence emerged. The latter shows fading downside momentum which can at times precede a turn higher. Further gains would place the focus on the 20-day SMA as well as the 107.99 inflection point. (DailyFX)

USD/CAD is declining towards 1.3400 amid a sheer recovery in oil prices. The risk-off impulse has faded after china announces economic stimulus to offset the Covid-inspired volatility. Apart from Fed Powell’s speech, the US/Canada GDP data will be keenly watched. (FXStreet)

EUR/USD picks up bids to reverse two-day downtrend amid market’s cautious optimism. Retreat in China’s covid infections from record high, efforts to revive real-estate sector improved sentiment. Hawkish comments from the Fed, ECB policymakers test the pair buyers ahead of the key data/events. German HICP precedes Eurozone inflation to offer early signal, US CB Consumer Confidence will also be important for fresh impulse. (FXStreet)

AUD/USD regains positive traction on Tuesday amid the emergence of fresh USD selling. Bets for less aggressive Fed rate hikes, a recovery in the risk sentiment weighs on the buck. China’s COVID-19 woes should cap optimistic moves and act as a headwind for the Aussie. (FXStreet)

USD/CHF renews intraday low during the first negative daily performance in four Improvement in market sentiment, downbeat US Treasury bond yields weigh on the US Dollar. Swiss Q3 GDP, US CB Consumer Confidence could offer immediate directions. (FXStreet)

NZD/USD picks up bids to snap two-day uptrend, eyes the biggest daily gain in a week. NZIER forecasts highlight inflation, interest rates as key headwinds for economy. Easing Covid numbers from China, help for ailing real-estate market favor sentiment. US CB Consumer Confidence, NZ Building Permits may entertain intraday traders. (FXStreet)

USD/INR holds lower ground near intraday bottom amid mildly positive markets. Easing in China covid numbers, property market optimism weigh on the US Dollar. S&P cuts India’s economic growth forecast but Morgan Stanley stays bullish. Firmer oil prices, hawkish Fedspeak poke pair sellers ahead of India Q3 GDP, Fed Chairman Jerome Powell’s speech. (FXStreet)

Monday’s uptick in prices of natural gas was accompanied by a small drop in open interest, which could hint at the view that the uptrend could start losing momentum in the very near term. The continuation of the recovery, in the meantime, is expected to remain focused on the November peak at $7.60 per MMBtu (November 23). (FXStreet)

Gold price (XAU/USD) picks up bids to reverse the previous day’s loss, the heaviest in a week, around $1,755 during early Tuesday morning in Europe. The yellow metal’s latest gains could be linked to the mildly positive sentiment in the global financial markets, mainly led by upbeat headlines from China. However, anxiety ahead of the key events restricts the Gold price upside as of late. (FXStreet)

Silver regains strong positive traction on Tuesday and reverses the previous day’s downfall. The technical set-up favours bullish traders and supports prospects for further intraday gains. Acceptance below the $21.00-$20.90 area is needed to negate the near-term positive outlook. (FXStreet)

Prices of the WTI charted an inconclusive session on Monday, reversing an initial drop to new 2022 lows. The move was amidst shrinking open interest and a marked build in volume, exposing a probable bounce in the very near term while not ruling out further weakness in the longer run. On the latter, the $70.00 mark per barrel emerges as the immediate support. (FXStreet)

Source: FXStreet, DailyFX

Disclaimer: This information does not represent a BUY or SELL recommendation on the stock covered. Traders and Investors are encouraged to do their own analysis on stocks instead of blindly following any Trading calls raised by various parties on the Internet.