UOB trade ideas for forex traders on 7th October


United Overseas Bank (UOB) shares its trade ideas for forex traders  ahead of  the key Non-Farm Payroll data from USA.  With the drop in Unemployment Claims yesterday, can markets expect more good news for the USD and a possible rate hike in Nov? Will GBP move to 1.1500?

7th October, AtoZForex – Trade ideas for forex traders shared by UOB on the AUDUSD, EURUSD, GBPUSD, NZDUSD and USDJPY pairs.

AUDUSD: Range bound 0.7750-0.7710 – Neutral bias (unchanged)

Although bias has not changed with the weak daily close yesterday, the down side move has increased. UOB added..

“…current movement is part of the consolidation in a range between 0.7750-0.7710”.

EURUSD:   Shift to Bearish bias if daily closes below 1.1120 – Neutral bias

EUR fell sharply and gaining momentum  to the down side. If the daily closes below 1.1120 then our bias shifts to the bearish side. UOB’s  view…..

“… unless EUR moves and stays above 1.1120 within next couple of days.”

Also see: Daily Free Forex Signals

GBPUSD:  Next support at 1.1500 – Bearish bias (unchanged)

The bias for GBP remains bearish, as we saw the 1.2000 breached in the Asian session. Several key support levels were taken out as the down side move continues which started in September.  The next support is viewed at 1.1500 and continued volatility is expected for this pair. UOB added…

“…  a move back to NY close of 1.2610 unlikely at this stage and as long at this level is not taken out, downside pressure is still on.”

NZDUSD: Bearish action limited to 0.7110 – Bearish bias (unchanged)

The NZD target of 0.7110 (as shared on Wednesday) is within sight. This is a strong support level and break below unlikely. UOB added..

“… only a break above 0.7205 would indicate a short-term low is in place.”

USDJPY: Next target at 104.30 – Bullish bias (unchanged)

The USD  target of 104.30 is in sight and if the level breaks the next target level would be 105.00. UOB added

“.. the start of bullish started on 5th October is still intact.”

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