Daily Market Charts and Analysis July 30, 2020

Here are the latest market charts and analysis for today. Check them out and know what’s happening in the market today.

AUDCAD

The status of the crude oil market fails to support the Canadian dollar’s performance against the Australian dollar. Despite the incredibly alarming Australian consumer price index report earlier this week, the Australian dollar still looks stronger than the Canadian dollar. The trading pair’s prices are widely projected to gradually climb up towards their resistance level, hitting ranges last seen back in December 2018. That should further reinforce the dominance of bulls and push the 50-day moving average even higher against the 200-day moving average. According to an expert, the Australian dollar has great potential to take down Western currencies like what happened back in the Great Recession.  The beloved US dollar would weaken because of the massive budget deficit faced by the United States, which should then weaken the Canadian dollar, allowing the antipodean currency to take advantage and rally even higher.

AUDCHF

The Swiss franc sees an opening to take the Australian dollar down. Looking at it, the antipodean currency faces several major roadblocks from its economy. This vulnerability could allow the Swiss franc to steadily advance, causing the Australian dollar to Swiss franc trading pair to go down towards its support level. According to some experts, the weakness of the US dollar is causing the Swiss franc to stand out even brighter. Investors are now ditching the greenback for other safe-haven currencies. And as Australia continues to record alarming figures from its economy, it could bolster the domestic demand for other safe-haven assets like the Swiss franc. Moreover, an analyst recently said that the Reserve Bank of Australia needs to come up with new ways how to manage its economic cycle because it now faces major problems. This would include new policy tools and even setting up an independent fiscal authority.

GBPJPY

The British pound is looking to make a move. And despite the unending concerns of investors for the EU and the UK’s divorce agreement, the Japanese yen’s safe-haven appeal isn’t expected to work against it. The British pound to Japanese yen trading pair is projected to climb up towards its resistance level, possibly buoying the 50-day moving average even closer to the 200-day moving average. As of writing, the pair is technically in bearish conditions considering that the latter MA continues to move above the 50-day MA. It’s believed that the main reason for the British pound’s strength against Japanese yen is the “risk-on” behavior of the markets around the world. With the end of the month fast approaching, investors will closely watch how the Japanese yen would close its monthly run against other currencies. Unfortunately for bearish traders of the pair, its run against the United Kingdom’s sterling isn’t all that good.

CADJPY

The Canadian dollar manages to force the Japanese yen to steady after the monetary policy decision of the United States Federal Reserve. The exchange rate is forecasted to turn bearish but as of writing, bears are seen struggling to break pair current levels. The move should prevent the comeback of bullish investors and prevent the 50-day moving average from climbing past the 200-day moving average. Recent reports say that the Canadian dollar is already running on empty because the stalling recovery of the global economy could finally end the commodity market’s rally. Bankers are saying that the weak trade fundamentals faced by Canada would definitely not help its cause. And its neighbor, the US dollar, is greatly weakening now. It was just recently reported that the US Fed left its interest rates unmoved, a decision that has greatly affected the performance of the greenback and its neighbor, the Canadian dollar.