Gold XAUUSD at Resistance! Brent Crude Triangle & Fed Rate Outlook | Forex Trading

Good day, Team GCI.

This week we saw a couple of major news events.

One was close to analysts' expectations, and one was a big miss.

So, how do we trade these?

In today’s Market Outlook, let’s take a look at Forex trading on the S&P 500, the Dow Jones Industrial Average, EURAUD, Gold, XAUUSD, Brent Crude Oil, USDCAD, and GBPUSD.

Just a reminder that these videos are intended as observational and educational, and are not to be considered as trading advice.

We all know that USD has been much stronger lately as the Fed was considering raising interest rates in a couple of weeks.

However, the opinion is that they may hold for now.

This Wednesday’s CPI figures were in line with their thinking even though they were close to analysts’ expectations.

After the event, as expected, price action went in the direction of USD: almost 130 pips in the case of GBPUSD.

The trick is finding the reversal point.

This takes patience and discipline not to enter the buy trade too soon.

As the US is the largest economy in the world, we have to respect the fact that USD will not just turn around after the news, even though the figures were not severe.

In this case, we used our News Catalysts Fade, but we had to wait for confirmation on the one-hour chart, not any sooner.

Therefore, the two signals we want, a downturn in the DI- on ADX and an upturn of the stochastic oscillator, occurred almost 5 hours after the news.

And you can see the results: 155 pips if you caught the top and bottom.

The same thing happened with almost every pair, with the DI+ and the stochastic oscillator turning down on USDCAD on the one-hour chart.

And on Gold, we had to wait for the signals on the four-hour chart in this case.

While we are here, we see price at the upper trend line, and any more talk about raising rates should see XAUUSD fall.

We also had Australian news this week with employment change and the unemployment rate, and we saw a huge miss!

On EURAUD, for example, we had to wait for a full day on the four-hour chart to get a proper signal.

On Brent Crude, we are seeing price action in an ascending triangle, but watch for news on Middle East aggression or peace talks for some real movement.

Last time we were looking at a possible recovery of the Dow Jones Industrial Average, and it did, but it still followed the news and recovered to this key level of resistance.

Same with the S&P 500, after price action broke this double top, but the signals were much clearer.

Price has returned to the neckline.

Again, the best entry required patience, as this occurred almost a day after the event.

That’s all for now.

CFDs and FX are leveraged products, and your capital may be at risk.