Gold & Crude Oil Surge Again! Iran Tensions, Weak USD & US CPI in Focus | Forex Trading

Both WTI and Brent have returned to inflated levels again as traffic in the Strait of Hormuz grinds to a halt.

There seems to be no end in sight to the war, and many economies are reporting diminishing reserves of crude.

In today’s GCI Market Outlook, let’s take a look at Forex trading on GBPUSD, Gold, XAUUSD, Silver, XAGUSD, AUDUSD, USDCAD, USDJPY, WTI and Brent Crude Oil.

Just a reminder that these videos are intended as educational, we are only observing current market conditions, and these are not to be considered as trading advice.

We see some technical signs on WTI with price at the upper trend line in this bearish channel and the stochastic oscillator overbought.

But this is by no means a technical trade, as only peace talks and negotiations about the passage of tankers will affect the price of crude oil.

All JPY pairs are turning bullish as the intervention by the US Treasury only seems to have had a short-term effect, as we discussed in an earlier video:

Why USDJPY Suddenly Fell | US Intervention Explained | Will the NASDAQ Catch Up? #marketoutlook

But, as we pointed out, Scott Bessent said he might buy a few more billion dollars worth of yen, if necessary, so we may get to witness temporary JPY strength and bearish price action on pairs like USDJPY.

Check all your favourite JPY pairs as they all look roughly the same.

Last week the US saw a dreadful Non-Farm Payrolls report, meaning that the US Federal Reserve will likely not raise interest rates next month, driving USD weaker.

The Canadian figures, on the other hand, were much better than analysts’ expectations, driving CAD stronger.

These factors, with the rising price of crude, saw price action on USDCAD falling to a key level with bearish technicals.

We will now watch for a break below support and a long way to fall before the next key levels.

Be aware that tomorrow we have US CPI, which is the key measure of inflation for the Fed, so anything can happen.

Another USD pair we will be watching is AUDUSD, which has retraced from the news and has fallen to this lower trend line on the 4-hour.

The weaker USD has gold and silver climbing again, but our stochastic oscillator looks like it might turn down; keep an eye on the economic and geopolitical news.

We are seeing a descending triangle in the UK’s FTSE100 index, and price is stalled at support.

A fall in crude oil prices may also have a negative effect on the FTSE, and GBP will usually influence it.

We can see on the GBP charts that the Pound has short-term strength against all others except CAD and NZD.

That’s all for now.

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