USDJPY Fills the Gap. Forex Trading GBPUSD on Higher Tax Rates. Dow Jones Industrial Average at Support.

In today’s GCI Market Outlook let’s take a look at Forex Trading on Gold (XAUUSD), the Dow Jones Industrial Average, EURUSD, EURGBP, GBPUSD, GBPCHF, and USDJPY.

We spotted this gap on all JPY pairs and, sure enough, price action filled the gap.

Will JPY continue stronger?

On USDJPY we see confluence on the stochastic oscillator and support just below so we will watch of a break or a bounce.

The first UK Labour budget came out with big tax rises which always drives a currency higher.

The most noticeable were GBPUSD and GBPCHF we will watch price action for possible reversals.

If you want to trade on the technicals be careful.

For example, we see a range trading opportunity on GBPUSD with the stochastic oscillator heading into overbought territory on the one-hour chart, but the contrary on the four-hour chart.

We see the same contradictions on all GBP pairs including EURGBP.

We promised to take a look at USD pairs ahead of tomorrow’s Non-Farm Payrolls but, to be honest, not much is happening ahead of the US general election next week.

Let’s see if the NFPs or the elections can help or hurt the US Indices with all of them falling.

The Dow Jones Industrial Average has fallen to support.

Last time we noted that gold was heading back up and it didn’t disappoint.

Are we finished?

Join us again on Monday.

That’s all for now.

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