Having provided solid support over the last three months, the 0.6850 level may now offer some resistance should the AUDUSD rally. Only a week before the strong fall, the AUDUSD surged strongly back up to the current key level of 0.7050 as it then looked poised to threaten this level and possibly move higher.
We also covered the US30 index which spent the remainder of the week dropping back towards 25000 again before rallying well to finish the week. In the last two weeks the US30 Index has rallied a little back above the key 26000 level after it suffered its largest falls this year dropping sharply from near its all time highs down to its lowest levels in two months near 25000 a week earlier. It does look likely to struggle to return to its previous highs, although it has become quite volatile in the last two weeks trading around 26000. Prior to the fall and for the last few weeks, the US30 index remained close to its all time high set several weeks ago, after it has surged higher throughout June.
Last week XAUUSD continued to edge ever so slightly higher as it remains near six year highs. In the last week or so, gold has been content to trade in a narrow range resting on some support at $1500, after three weeks ago, gold surged higher off support at $1400 towards the recent six year high. It was well supported by the $1400 level for the last month or so, and any time it has moved lower, it has been quickly bought up and supported, pushing it back above this level. If gold was to decline from its current highs, you could reasonably expect it to receive support from $1400 again. The $1350 level is also likely to offer support to gold should it decline from its current levels.
To finish out the week we covered the EURUSD, which finished the week trading at a two week low below the key 1.11 level.It was most likely expecting support at that 1.11 level after trying to push beyond the key 1.12 level for the entire week prior.The numerous doji and pin bar candlesticks showed how enthusiastic the selling was during that period repelling buying above 1.12.For the last four months the EURUSD has enjoyed a lot of support from the 1.11 level so it is likely to rebound a little off this level.Throughout July however the EURUSD fell sharply from above 1.14 down through the support at 1.11 and fall to its lowest levels in more than two years.After enjoying some support from 1.12, as expected this level stepped in as some resistance thwarting attempts to regain lost ground.
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