Good evening,

Being a Sunday in Sydney, it’s time for my weekly preview with a look at the key higher time frame charts that will form the basis for my intraday trading ideas throughout the week.

Last week’s was a huge double post featuring a ton of charts, but with the higher time frame charts not changing too much (and it being late here right now after a long day), I’m going to keep today’s blog to the key #forex and #indices charts only.

Well I hope you’re still enjoying your weekend, guys!

😇.

Forex Markets

The overriding forex market theme these pastcouple of week’s, has been the unrivalled strength of the US Dollar.

As I only really trade the forex majors, I’ve gotta start with the Dollar Index chart and the key zone that has been dictating the moves we’ve been trading:

DXY Weekly

I’m definitely taking note of that weekly candle close though. You certainly can’t say that it inspires strength.

Early week’s price action is going to be telling.

One such forex market that is going to be relying on USD strength to continue on with its current bearish move, is the Aussie:

AUD/USD Weekly

As you can see, price has dropped through that weekly trend line and quite frankly, never looked like pausing.

There is just zero buying strength, but as I spoke about above, we’ll see what happens with USD into the week.

Indices Markets

With the US economy holding up well, it’s allowed the Fed to persist with their interest rate normalisation process. Yes, raising rates.

But with the higher cost of borrowing, comes a lower incentive to borrow to invest in equities and the S&P 500 index suffers as a result:

SPX Weekly

You can see that price wants to drop, rejecting off highs and remaining below that key weekly zone... Just not yet.

But while the US stock market looks like it’s hanging on for dear life, the Aussie market looks red hot:

XJO Weekly

Look at how price has bounced off that weekly trend line and the candle closing basically at its highs after a big green body looks pretty strong.

✌🏻.

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