EURUSD Bearish forces on the drivers seat - Natixis
Micaella Feldstein, Research Analyst at Natixis, suggests that the break below 1.1075 (monthly Bollinger moving average) for EURUSD has affected markedly her view for a new rise of the cross to 1.1280-1.13 (daily Bollinger upper band).?The emergence of downside bubble on the daily chart and the sell signals on the weekly indicators add weight to our bearish view.Against this backdrop, we recommend keeping a lookout at 1.0972-1.0980 (weekly Bollinger lower band). The break of these supports would trigger a new decline to 1.09 ahead of 1.0860 (Fibonacci extension) and 1.0810 (monthly parabolic). The resistances stand at 1.1075, at 1.1119, at 1.1170- 1.1190, at 1.1280-1.13 and at 1.1368.?

GBP/USD recovery faces rejection near 1.2200 mark
The GBP/USD pair filled weekly bearish gap opening and jumped to 1.2200 neighborhood before retracing few pips to currently trade around 1.2180 level. A broad based greenback retracement helped the pair to recover from early weakness to mid-1.2100s led by weekend comments from French President Francois Hollande and German Chancellor Angela Merkel, which added to the ongoing market concerns over 'hard Brexit'. "We have based just in front of the short term 23.6 Fib level of 1.2124....Because we have based short term there is scope for a recovery today....The recovery is I think just going to present better levels to sell and therefore we cannot get carried away with the fact that we should see rallies...."Today's US economic docket features the release of Empire State Manufacturing Index, Capacity Utilization Rate and Industrial Production data. Later during NY trading session, speeches from BOE Deputy Governor Ben Broadbent and Federal Reserve Governor Stanley Fischer might provide some impetus for the GBP/USD traders.Harmer further writes, "Now we do have small resistance at 1.2215 today and really it is only above 1.2230 where it may get a small reprieve and then post rallies to 1.2280 area....again we are sellers on strength to here and we would only be looking to reverse if above 1,2330....""Now what happens if below 1.2120....well we know that the previous reaction low was 1.1973... The market held 1.1973 and rallied higher...so we have to use this a a benchmark for re-selling Cable...If we do lose 1.1960 then I think we will see further declines and 1.18 would be the initial target....Bear in mind we still have 1.15 as a viable targeted area...."

NZD/USD clings to gains back above 0.7100 handle
After an initial drop below 0.7100 handle, the NZD/USD pair recovered the lost ground and is now extending its recovery momentum to currently trade at a fresh session high around 0.7110-15 region.The US Dollar price dynamics remains the sole driver of the pair's near-term trajectory and a broad based greenback retracement helped the pair to regain control over 0.7100 handle, erasing Friday minor losses. The current bullish momentum, however, runs the risk of a sudden reversal amid diverging monetary policy expectations from RBNZ and the Federal Reserve. The New-Zealand central bank (RBNZ) is expected to cut rates at its November meeting, while the Fed is seen moving towards raising interest rates by the end of this year. Later during the day, US manufacturing data that includes - Empire State Manufacturing Index, Industrial Production and Capacity Utilization Rate, would be looked upon for short-term trading opportunities. On Tuesday, quarterly CPI print from New-Zealand during early Asian session and GDT Price Index will be in focus and help investors to determine the next leg of directional move for the pair.From current levels 0.7133 (Friday's swing high) seems to act as immediate resistance above which the pair seems to head back towards 100-day SMA important support break, now turned strong resistance near 0.7165-70 region.On the downside, sustained weakness below 0.7100 handle, leading to a break below 0.7075 support (session low region), is likely to drag the pair immediately towards 0.7050 region below which the pair might turn vulnerable to break below 0.7000 psychological mark and aim towards testing the very important 200-day SMA support near 0.6950 region.

USD/CHF aiming for a fresh break-out above 0.9900 handle
A fresh bout of US Dollar buying interest emerged during early European trading session and helped the USD/CHF pair to erase all of its early losses to session low near 0.9885 level.Currently hovering around 0.9900 handle, the pair last week jumped to 11-week high level amid increasing odds of an eventual Fed rate-hike action by the end of this year. Spot prices, however, struggled to clear a strong hurdle near 0.9900-0.9910 supply zone and seem to have entered consolidation phase before the next leg of directional move in either direction.In absence of any relevant economic data during European session, broader sentiment surrounding the greenback would be the sole driver ahead of Empire State Manufacturing Index, Capacity Utilization Rate and Industrial Production data from the US later during NA trading session. On a sustained move above 0.9900 handle, the pair seems all set to aim towards July monthly high resistance near 0.9950 region before making an attempt towards reclaiming parity mark. On the downside, weakness below 0.9880 support (session low) is likely to get extended towards 0.9855 horizontal support, which if broken is likely to drag the pair immediately towards 0.9820 support ahead of its next major support near 0.9800 handle.

AUD/USD bounces off lows, still weaker around 0.9600 handle
The AUD/USD pair's reversal from Friday's 8-day high extended on Monday and the pair touched a session low of 0.7580 before retracing few pips to currently trading around 0.7590-95 region.The pair, on Monday, snapped three-days of winning streak and has now reversed part of Friday's strong gains led by upbeat Chinese inflation data. The greenback continues to gain traction as market participants now seemed convinced that the Fed would go ahead and raise interest rate, with the CME group FedWatch Tool indicating 64% probability of such an action in December. Moreover, a cautious investor sentiment around equity market is also denting demand for higher yielding currencies - like Aussie, and exerting selling pressure around the major. Later during NA trading session, US manufacturing data would provide immediate impetus for short-term traders ahead of RBA Governor Philip Lowe's speech and RBA's latest monetary policy meeting minutes during early Asian session on Tuesday.Immediate downside support is pegged at 0.7580 (session low) below which the pair seems to accelerate the slide immediately towards 100-day SMA support near 0.7540 region. On the upside, recovery back above 0.7600 handle might now confront resistance near 0.7615 level, which if cleared should now assist the pair to surpass 0.7645-50 horizontal resistance and aim towards 0.7685-90 resistance area.

Gold confined in a short-term trading range around $1250
Gold maintained its near-term range bound trading action and is now heading back towards the lower end of the trading range. Currently trading around $1252 level, the ongoing bullish sentiment surrounding the greenback is restricting any swift recovery for the dollar-denominated commodities - like gold. Further downside, however, remained limited, despite of the recent greenback appreciating move, as some analyst now think that the Fed might deliver a dovish hike in December. Given that the precious metal has held up again a broadly stronger greenback, a minor US Dollar retracement would now favor bulls and could assist the metal to move back above 200-day SMA."Gold has made a small pennant within a bear run...Now as this is a continuation pattern we have to assume Gold is taking a breather...and will start to move lower within the prior trend which is currently lower....We will know if this pennant fails to follow through if we break above 1265...Only if we do that will the market have the legs to trade higher and then we would be looking at/ 1272."Today manufacturing data from the US might provide some short-term momentum play, while the greenback price dynamics might continue to be the key determinant of the commodity near-term trajectory. Harmer further notes, "currently the pattern is a continuation bearish pattern with the break point at 1245...If therefore we break 1245 it will fulfil the pattern and break to 1172 as the measured target.....Now as you know....measured targets are great...but you have to be aware of quite major chart points....and the weekly chart point is 1210....from the weekly fib levels.....and also 2 intersecting trendlines...so you are going to see short covering and fresh buyers coming in at the lower levels looking to defend the 1200 roundfigueitus number....Now spookily 1172 is the weekly 61,8 Fib...so please...all shorts are to be covered and longs re-instated down at these lower levels...."

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