Forex Daily Forecast, Analysis and Prediction

The Japanese yen has risen to around 139.80 against the US dollar in thin trading today, Monday, hovering near its highest levels since July 2023 amid a widening divergence in monetary policy between Japan and the United States.

The European Central Bank cut interest rates by 25 basis points at its meeting last Thursday, as expected.

At the beginning of this week, the price of gold rose to around $2590 per ounce, setting a new all-time high, supported by the weakness of the US dollar and the decline in bond yields amid growing expectations of a significant cut in US interest rates this week.

During the trading session on Friday, we've seen the US dollar drop pretty significantly against the Japanese yen, dropping below the 141 yen level.

The Australian dollar pulled back just a bit during the course of the trading session on Friday but does now look as if it is trying to see a little bit of support near the 0.5650 level.

The US dollar fell again during the trading session on Friday as traders continued to short the greenback based on the idea that the Federal Reserve may cut interest rates.

In early trading this morning the USD/MXN has been able to sustain the lower elements of its near-term depths.

The natural gas markets initially tried to rally a bit only to turn around and show a certain amount of negativity as it looks like we are going to test the $2.50 level.

The USD/ZAR exchange rate is once again near important support which has been tested almost on a weekly basis since the third week of August.

The gold market rallied again during the trading session on Friday as the market broke well above the $2,580 level.

The US Dollar is weakening as markets increasingly expect a 50bps rate cut on Wednesday by the Fed, which is causing a weakly bullish technical picture here.

The GBP/USD exchange rate wavered on Monday morning ahead of a busy week in which the Federal Reserve and the Bank of England (BoE) will start to cut interest rates.

Bitcoin continued to consolidate around the $60,000 level as traders waited for the upcoming Federal Reserve interest rate decision.

While we did break above the 1.3150 level, we ended up giving back the gains and have closed the market with essentially what looks like a shooting star.

The AUD/USD pair was flat on Monday morning as traders continued focusing on the upcoming Federal Reserve and Reserve Bank of Australia (RBA) decisions.