Dear Client,

New contracts will automatically rolled-over as follows:

Please note:

• The rollover will be automatic, and any existing open positions will remain open.

• Positions that are open on the expiration date will be adjusted via a rollover charge or credit to reflect the price difference between the expiring and new contracts.

• To avoid CFD rollovers, clients can choose to close any open CFD positions prior to the expiration date.

• Clients should ensure that take profits and stop losses are adjusted before this rollover occurs.

If you have any questions, our team will be happy to answer your questions.Please mail to [email protected] or contact the service online.

Dear Client,

Warmly reminds you that the component stocks in the stock index spot generate dividends. When dividends are distributed, VT Markets will make dividends and deductions for the clients who hold the trading products after the close of the day before the ex-dividend date.

Indices dividends will not be paid/charged as an inclusion along with the swap component. It will be executed separately through a balance statement directly to your trading account, the comment for which will be in the following format “Div & Product Name & Net Volume ” .

Please note the specific adjustments as follows:

Note: The above data is for reference only, the actual execution data may be changed, please refer to the MT4 software for details.

If you’d like more information, please don’t hesitate to contact [email protected].

Dear Client,

VT Markets holds the spirit of dedicating ourselves to providing the most competitive trading environment in this industry. As the risk of trading CHF pairs gradually stabilizes, VT Markets will raise the leverage range of CHF pairs on Oct. 11, 2021.

The exact change is displayed as follows:

Kindly be reminded that the margin ratio will increase proportionally while the margin requirement of CHF pairs will reduce by five times after this change. This change will make trading accounts be with more available funds and trading spaces.

If you’d like more information, please don’t hesitate to contact [email protected].

Daily Market Analysis

Market Focus

Major indices rebounded on Tuesday following a major sell- out in the technology- centered market in the previous session. The Dow Jones rebounded 0.92%. The S&P500 climbed 1.05% while the Nasdaq rallied 1.25%, led by advances in mega- cap technology companies. However, the 10- year yield surged to 1.53%. Investors awaited the latest job data later this week, following the signal on the Federal Reserve’s next move.

The US Treasury Secretary Janet Yellen said that the economy would fall into a recession if Congress ends up failing to raise the debt ceiling before a default on the US debt. In the meanwhile, President Biden also calls on Congress to raise the ceiling this week in order to avoid the catastrophe to not pay the government’s bill. While the US has never failed to pay the bills on time, a default will have a high possibility to result in a jump in interest rates and a damage in Washington’s ability to fulfill its future obligations on time.

Oil price continues to surge, hitting multi- year highs as OPEC+ sticks to its original output plan. Early this week, OPEC+ agreed to adhere to its pact in July, rather than raising the output in the further. As a result, the fuel market is likely to be undersupplied for the next couple of months.

Main Pairs Movement:

The Japanese Yen is testing its downside a US stocks recovered and the US yields climbed as investors conern over inflation. USDJPY is trading above 111.00 level with eye on 112 region, where selling pressure is also prone to emerge.

GBPUSD climbed higher, approaching 1.3650. After dipping last week, the pound rebounded as the markets seem to have shifted the focus from the fuel shortage to the impact of the Bank of England, whether it will lead the major central banks on hiking rates.

Gold declined, trading at $1759 as the Treasury yields edged higher after US data from last week boosted optimism about the economic recovery. In the meanwhile, the decline in gold also came from the dollar rebound, pressuring bullion, which did not earn interest.

Technical Analysis:

GBPJPY (Daily Chart)

GBP/JPY has breached both the 200-DMA at 150.18 and the 50-DMA at 151.36, once bounced off the 152.00 price level, and trading at 151.90 as of writing.

If the GBP/JPY buyers would like to resume the uptrend, they would need a daily close above 152.00. in case of that outcome, it could pave the way for further gains. The first resistance level would be 152.55, the key supply zones with the confluence of the September 28 high and the 100-DMA. A breach of that level would expose the July’s top 153.50, followed by the yearly top 156.08.

On the other hand, a retreat heading to the 50-DMA could exert downward pressure in the cross-currency. The first support level would be the 50-DMA 151.30. A daily close below that level could push the price towards the 200-DMA at 150.18, immediately followed by October’s first low at 149.22.

Both RSI indicator and MACD histogram are above the middle line, supporting the upside bias, but caution is warranted as the negative macro impact looms.

Resistance: 152.55, 153.50, 156.08

Support: 151.30, 150.18, 149.22

EURUSD (4 Hour Chart)

The euro fiber pair retreated from its Monday gains, is sliding during the U.S. session, down 0.22%, trading at 1.1598 as of writing. During the day, the pair bottomed at 1.158 but bounced back on slightly greenback weakness. The U.S. dollar index is advancing 0.18% hover around 93.98, underpinned by higher U.S. 10 years Treasury yields, sitting at 1.534%.

From a technical perspective, RSI index slightly sliding to 42.8, suggesting a weakeness guidance in further market. On MACD side, indicator continuing to converge to zero horizontal.

On price action, we expect the first barricade ahead of is 1.1645, following a strong resistance at 1.168 for upside way. On contrast, we expect the immediately support will set at 1.1564 and psychological support at 1.15 follow behind. All of all, we foresee market will choppy between 1.1564 and 1.1645 consolidation channel.

Resistance: 1.1612, 1.1645, 1.168

Support: 1.1564, 1.15

USDCAD (4 Hour Chart)

Loonie was falling in the New York session, trading below 1.26, down over 0.24% in the day market at the time of writing. The market sentiment has improved throughout the day. European and U.S. shares indices are advancing between 0.8% and 1.56%, whereas Asian stocks ended the day with losses except for the Hang Seng. Meanwhile, WTI is edging higher for the fifth consecutive day, trading at $78.95 which breached seven year-highs, up almost 2%.

From a technical perspective, RSI index shows 36.7 figure which slightly improve bearish momentum, still suggesting bear movement ahead. On the other hands, MACD shows another downside guidance where figure successive print negative figure as of writing.

For the slip way, it seem doesn’t have to much downside support level where last support at 1.256, expecting effectively support will between 1.255 and 1.256. On up way, the first resistance will be psychological level at 1.26

Resistance: 1.26, 1.2638

Support: 1.256

Economic Data

Daily Market Analysis

Market Focus

The broad U.S. equity markets experienced a sell off on the first trading day of the week. The S&P 500 dropped 56.58 points to close at 4300.46, while the tech-heavy Nasdaq lost 2.1% and the Dow closed 0.9% down. Market sentiment was affected by the rising yield curve and soaring commodity prices.

Since the Federal Reserve meeting last week, the 10-year Treasury yield has jumped to around the 1.5% region. Rising bond yields are motivated by the increasingly hawkish stance that global central banks are presenting. The imminent bond tapering and possible interest rate hike has especially affected “big tech” firms. As the S&P info-tech index suffered a more than 2% drop.

OPEC+ failed to come to an agreement on raising production restriction, instead the group would stick to the previously agreed upon plan of lifting collective output by 400,000 barrels per day. Affected by the news, the WTI rose 2.3% to close at 77.62 dollars a barrel, while the Brent Crude jumped 2.5% to close at 81.26 dollars a barrel, its highest settling price in three years.

Market participants will now shift their attention to the ADP Nonfarm payroll and the U.S. initial jobless claim figures, both important gauges on economic recovery, which will be released on Wednesday and Thurday of this week, respectively.

Main Pairs Movement:

The US dollar shed some ground on Monday, but no critical level was affected. Greenback losses were limited as the market’s mood was sour, with the focus on Evergrande and China’s financial stability.

The single currency was among the worst performers against the US dollar. EUR/USD pair currently trades around 1.1620, after meeting sellers in the 1.1640 price zone. Cable regained the 1.3600 level, despite some tensions related to Brexit and fuel shortages.

The USD/JPY pair edged lower amid the poor performance of equities and lower government bond yields. The US 10-year Treasury note yield dropped below 1.50% after a breaking attempt at the start of the day. CHF appreciated sharply in a risk-off sentiment. USD/CHF settled at 0.9245. Australia has a packed macroeconomic calendar, which includes the RBA monetary policy decision.

Global indexes closed in the red, as investors eyed news coming from China. Evergrande, the troubled property giant, requested a trading halt over the announcement of a major transaction. The news suggested the company will sell a majority stake in its property management business for more than US$5 billion, a sign that the company is still working on covering its US$305 billion debt.

Technical Analysis:

GBPUSD (4 Hour Chart)

The British pound push above 1.3600 could open the door for further gains, but a daily close above the latter is required. In case of that outcome, the first resistance level would be the September 24 low at 1.3657. A breach of that level could push the pair towards key supply levels like the figure at 1.3700 and the 50-day moving average at 1.3758.

On the flip side, failure at 1.3600 would exert additional downward pressure on cable. The first demand zone would be the July 20 low at 1.3571. A break of that level would expose 1.3500, followed by the October first low at 1.3433.

The RSI indicator is at 45, and the MACD histogram is negative. Though remaining bearish both of them are with upside slopes, suggesting the sentiment is recovering.

Resistance: 1.3657, 1.3700, 1.3758

Support: 1.3571, 1.3500, 1.3433

EURUSD (4 Hour Chart)

The euro fiber pair surged up for a second consecutive day, but the advance seems lack of powerful momentum then mere correction after U.S. session, currently trading at 1.162 which after meeting seller in 1.1645 level. At the meantime, global shares indexes closed in the the red, as investors eyed news coming from China which giving support for safe-haven sentiment.

From a technical perspective, EUR/USD is trading at the edge of upper bounds of the bollinger bands that driving a downside movement. Meanwhile, RSI index has pull back from the over sought territory to neutral area at 49.7 as of writing, suggesting market is adsence the sence of market direction.

For sideway, we expect the first barricade ahead of is 1.1645, following a strong resistance at 1.168.

Resistance: 1.1645, 1.168

Support: 1.1612, 1.1564

USDCAD (4 Hour Chart)

Loonie has weakened during the last weeks despites surging energy prices. According to National Bank of Canada analysys, the correlation is unusual, and they see that energy prices should decline further or the loonie strengthen. The pair has extended the reversal from last week’s peak, at 1.2587 as of writing, to hit intraday lows at 1.2555 area so far.

From a technical perspective, RSI index show 33 figure that close to over sought area which suggest a bearish market movement at the moment. On the other hands, MACD shows another downside guidance where figure successive print negative figure as of writing.

For the slip way, it seem doesn’t have to much downside support level where last support at 1.256.

Resistance: 1.26, 1.2638

Support: 1.256

Economic Data

Daily Market Analysis

Market Focus

Volatility continued to roil risk assets, with U.S. equities notching their biggest monthly slide since March 2020.

Stocks pushed lower on Thursday even after confirmation that the House passed a nine-week spending bill to avert a U.S. government shutdown. For traders, that was just one within a litany of risks for markets. Investors are also bracing for the Federal Reserve to wind down its stimulus amid mounting fears about slowing economic growth, elevated inflation, supply-chain bottlenecks, a global energy crunch and regulatory risks emanating from China.

Political wrangling in Washington is threatening to push the U.S. into default and force President Joe Biden to scale back his spending agenda. Democratic Senator Joe Manchin wants the social spending package to cut by more than half to $1.5 trillion. House Speaker Nancy Pelosi was pressing ahead with a vote on a bipartisan infrastructure bill, even though progressive Democrats said they have the numbers to stall it until the Senate agrees on a more expansive tax and spending package.

China’s central government officials ordered the country’s top state-owned energy companies — from coal to electricity and oil — to secure supplies for this winter at all costs, according to people familiar with the matter. A severe energy crisis has gripped the country, and several regions have had to curtail power to the industrial sector, while some residential areas have even faced sudden blackouts.

The S&P 500 closed at the lowest level since July, extending its September losses to almost 5%. Economically sensitive companies like industrials and financials were among the worst performers on Thursday. The slide almost wiped out the index’s gains for the quarter.

A near-record technical streak for the S&P 500 has some bulls worried that a sharp pullback is overdue.

Main Pairs Movement:

The broad U.S. equity markets closed the third quarter of the year on a weak note. Markets were moved by growing concerns over inflation, supply chain disruptions, rising commodity prices, and the imminent lift of pandemic era monetary assistance by global central banks. Market participants are also waiting for the U.S. congress to approve raising the debt ceiling today, in order to prevent a federal government shutdown. The U.S. initial jobless claims report returned a higher than expected number, which further indicated a slowdown of the economic recovery.

The Greenback lost steam during today’s trading, thus benefitting currency pairs against the Dollar. Cable rebounded from yesterday’s fresh low, but it still remains to be seen if the Pound can stable its recent erratic price actions. USD/JPY retreated after gaining massive ground from yesterday’s trading. Gold soared as the U.S. initial jobless claims returned lower than expected figures.

Technical Analysis:

GBPUSD (4 Hour Chart)

Cable was able to recover some of the losses from yesterday, as a weaker jobless claim figure hurt the Dollar’s strength. Despite today’s mild recovery, the Pound is still plagued by three major fundamental events. First, the British furlough program is set to expire on Thurday. Around 5% of the British workforce is still supported by this program, and workers will face tremendous uncertainty as the program expires. Second, recent shortage of truck drivers has brought on an unprecedent shortage of gasoline throughout the U.K.. This event has brought on a short term supply disruption that could weigh on the near term economic recovery. Third, Brexit issues still loom as U.K. and France battle over fishing rights in the English Channel.

From a technical perspective, Cable has found support around the 1.3422 price region after falling near 0.8% during yesterday’s trading. The return towards previous level will be tough for Cable as fundamental issues still plague the Pound. As of writing, RSI for Cable is sitting at 34.2, indicating some overselling in the market. Cable is trading below its 50, 100, and 200 day SMA

Resistance: 1.355, 1.3687, 1.3717

Support: 1.3422, 1.3256

USDJPY (4 Hour Chart)

USD/JPY reversed course after gaining for six straight trading days. Momentum for the Greenback eased today; however, the short term demand for the U.S. dollar remains strong as the U.S. reported slight gains in notional GDP. Today’s price reversal could be a result of traders taking profit or market participants reacting to the weaker U.S. jobless claim figure. The fundametal side of things are still strongly in favor of the bulls.

From a technical perspective, USD/JPY hit resistance around the 111.98 price region and began its decline. However, due to the fundamental support that the Dollar enjoys, downside for USD/JPY remains limited. RSI for the pair has left over bought territory and is now settled around the 52 mark. USD/JPY is trading above the 50, 100, and 200 day SMA.

Resistance: 112

Support: 110.87, 110.32, 109.66

XAUUSD (4 Hour Chart)

Gold advanced more than 1.5% against the Dollar as the broad U.S. equity market experiences another fierce pullback. A weak jobless claim report combined with weak gains in monthly notional GDP have both propelled Gold higher against the dollar; furthermore, the retreating U.S. 10 year bond yield also helped Gold recover from a three day slump.

From a technical perspective, XAU/USD successfully defended the 1725 support level before the end of yesterday’s trading session. During today’s trading, XAU/USD reached our estimated resistance level, around the 1759 price region, but was unable to maintain its upward momentum and the pair soon began retreating. RSI for the pair sits at 58, indicating mild over buying in the market. XAU/USD is trading above its 100 and 200 day SMA, but the pair sit below its 50 day SMA. Despite short term technical indicators showing a bullish outlook for XAU/USD, the increasing hawking tone from global central banks still pose strong downward pressure on the precious metal.

Resistance: 1759.27, 1779.04, 1808.42

Support: 1725.51

Economic Data

1 October 2021, SYDNEY AUSTRALIA – VT Markets, one of the leading Forex and CFD brokers in Europe and Asia, today announce that their new office in Kuala Lumpur is now opened, to better meet the increasing needs from Malaysian clients and affiliates.

In the past seven years, VT Markets has been thriving in Asia, Oceania and Europe. However, the demands for the South-East Asia were plenty and growing. The purpose of setting up a local office in Malaysia is to provide better services, expand our scope, and enable new projects. The new office, which includes an experienced sales team and marketing team, is aiming to provide better services, expand our scope, and enable new projects. The new office will be focused on assisting with market access and Forex trade services, but mostly investment attraction into VT Market ecosystem, and service local Forex investors and affiliates.

“We are expanding globally and with the addition of our newest office in Malaysia we continue to deliver the highest levels of service to our customers while we deliver cutting edge technology to enhance their trading experience.” said Chris Nelson-Smith, Managing Director at VT Markets.

The new office is expected to start to generate sales and initiate marketing campaigns from the fourth quarter of this month. It will primarily handle customer support and affiliate inquiries from Malaysia and Indonesia region.

About VT Markets

VT Markets, based in Sydney, Australia, is a subsidiary of VT Markets LLC (VIG), and leverages more than 10 years of experience and expertise in global financial markets to offer easy and transparent market access and help our clients pursue their financial goals. Founded in 2016, VT markets has applied advanced technical support in the retail FX market to provide clients with superior trading experience.

For inquires, please contact [email protected]

Dear Client,

Warmly reminds you that the component stocks in the stock index spot generate dividends. When dividends are distributed, VT Markets will make dividends and deductions for the clients who hold the trading products after the close of the day before the ex-dividend date.

Indices dividends will not be paid/charged as an inclusion along with the swap component. It will be executed separately through a balance statement directly to your trading account, the comment for which will be in the following format “Div & Product Name & Net Volume ” .

Please note the specific adjustments as follows:

Note: The above data is for reference only, the actual execution data may be changed, please refer to the MT4 software for details.

If you’d like more information, please don’t hesitate to contact [email protected].

Daily Market Analysis

Market Focus

There were both ups and downs for US stock on Wednesday, as the decline in technology stocks weighed on equity markets and pared most of their gains into the close. Markets focus on the ongoing debt ceiling debate in Washington, where President Joe Biden tries to break a impasse among Democrats and hope to avoid a government default before Treasury potentially runs out of capacity. Nevertheless, the stock market did not mind amid the risks of negotiation failures on Capitol Hill over funding the government.

The benchmarks, the S&P 500 and the Dow Jones both advanced on Wednesday. The S&P 500 was up 0.2% on a daily basis, finishing in positive territory for the first time this week. Dip buyers helped push the index higher. The material sectors continued its bearish momentum, losing 0.39% on Wednesday. The utilities and consumer staples sectors are the best performing among all groups, climbed 1.30% and 0.87%, respectively. The Nasdaq, on the contrary, declined for the third straight day and posted a 0.2% loss for the day.

On top of that, the high inflation is also harming market sentiment, as investors worry that the high figure will persists. But Fed Chair Jerome Powell, who joined other central bankers at a European Central Bank event, seems optimistic about the issue and said that supply-chain disruptions lifting inflation would ultimately prove temporary. The concerns about slowing growth and elevated levels of inflation may continue for a while, furthermore, the US debt ceiling discussions will also be a critical issue for investors.

Main Pairs Movement:

Lead by technology firms, who suffered yesterday due to rising short term bond rates, the broad U.S. equity markets were able to recover slightly on Wednesday’s trading. The yield on a 10-year Treasury note dropped back to 1.51%, compared to 1.534% yesterday, snapping a six-day gain streak. Rising yields and rising commodity prices still pose enormous threat to the short-term outlook of equities and foreign exchange markets.

Technical Analysis:

GBPUSD (4 Hour Chart)

The Sterling continued to depreciate against the Greenback for the second straight day; in fact, Cable has dropped to a fresh low for the year. As of writing, Cable is trading at 1.3422, below the year long support level of 1.3446. Fed chair Jerome Powell’s speech on late Wednesday of the North American trading session boosted the Dollar further, as the Dollar index gained more than 0.2% post Powell’s speech. Supply chain disruption in the U.K. further added to the selling pressure on Cable.

From a technical perspective, Cable has broken through our previously estimated support level of 1.35281; furthermore, the key support level of 1.3446 has also been broken as the Dollar continues to surge. RSI for the pair has dropped through to over sold territory and is indicating 21, as of writing. Cable is trading well below its 50, 100, and 200 day SMA.

Resistance: 1.3687, 1.3717

Support: 1.3256

USDJPY (4 Hour Chart)

USD/JPY rose to new heights as the Dollar continues to rally after Fed chair Jerome Powell’s speech. Recent U.S. bond yield rally has widened the nominal yiel difference between the U.S. and Japanese government bonds, thus posing as head wind for the short term outlook for the Yen. The Bank of Japan’s yield curve control has worked against the Yen as global central banks eye on lifting pandemic era monetary measures and prepare for rate hikes.

From a technical perspective, USD/JPY posted an annual high today as the pair trades at 112, as of writing. RSI for USD/JPY has reached over baught territory and is currently at 75.36. With 2020’s annual high of 112.22 in sight, USD/JPY faces minimal headwind as there are no significant resistance levels above 112 until . USD/JPY is currently trading above its 50, 100, and 200 day SMA.

Resistance: 114

Support: 110.43, 109.67, 109.21

XAUUSD (4 Hour Chart)

XAU/USD continues to slide lower as the Dollar gains strength. Gold was able to gain during the Asia and Europe trading hours, but the pair was unable to hold on to gains as investors turned their attention to Fed chair Jerome Powell’s speech. The pull back on U.S. Treasury bond yields have limited the downside for XAU/USD. Energy crisis in China has helped the Greenback gain back its global reserve currency status. Today’s “risk on” sentiment, evident from the rebound of U.S. equity markets, have also limited any gains for XAU/USD.

From a technical perspective, XAU/USD has dropped below our previously estimated support level of 1725.51, following Fed chair Jerome Powell’s speech and the subsequent Dollar rally. If XAU/USD breaks below the 1725.51 support level, the pair will struggle to find support until around the 1680 price region. RSI for the pair is at 34.8, indicating modest over selling in the market. As of writing, XAU/USD is trading below its 50, 100, and 200 day SMA.

Resistance: 1759.27, 1779.04, 1808.42

Support: 1742.39, 1725.51

Economic Data

Daily Market Analysis

Market Focus

US stock tumbled on Tuesday, dropping the most since May. The concern over the debt-ceiling deadlock in Washington had accelerated the selloff in risk assets. Republicans blocked a Democratic move in the senate to raise the debt limit, even though it’s only less than three weeks before the Treasury potentially runs out of capacity around October 18. Therefore, a government shutdown is a risk factor that investors will be watching in the coming days and weeks.

The benchmarks, the S&P 500 and the Dow Jones both declined on Tuesday. The S&P 500 was down 2% on a daily basis, extending its September selloff. The energy sectors continued its bullish momentum, rising 0.46% on Tuesday. The info tech and communication service sectors are the worst performing among all groups, dropped 2.98% and 2.8%, respectively. The Nasdaq, in the same way, declined the most since March and posted a 2.8% loss for the day.

In addition to the concern about a federal payments default, US senator Elizabeth Warren said that Fed Chair Jerome Powell is a dangerous man and she’ll oppose his renomination, this also weighed on the market sentiment. On top of that, US consumer confidence fell in September for a third straight month, showing that people still worried about the delta variant. Higher prices also continued to hurt sentiment. The surging energy prices keep heating up the inflation and implicate the economic recovery.

Main Pairs Movement:

The broad U.S. equity market experienced a pullback due to rising short term bond yields and markets participants reacting to the worse than anticipated consumer confidence report. Short term bond yields have been affected by a potential delay of payment as Treasury Secretary Janet Yellen told Congress that the government could reach its borrowing limit by October 18^th. Rising bond yields, in theory, should strengthen the U.S. dollar; in fact, the DXY, which measures the dollar against a basket of major currencies, has risen for the third consecutive day.

Most currencies declined against the Dollar as the Greenback gained strength on the back of brewing “risk off” sentiment and rising yields. Cable struggled as domestic woes continue and the Dollar gained strength throughout the trading day. GBP/JPY dropped to a fresh weekly low as the Pound suffered. Gold continues to decline as the Greenback comes out ahead as the safe haven asset of choice.

Technical Analysis:

GBPUSD (4 Hour Chart)

Cable tumbled during Tuesday’s trading. Sterling lost more than 1% against the dollar as the Greenback gained strength amid soaring short term U.S. bond yields. Cable dropped to its lowest level since July and is trading at 1.3536, as of writing. Concerns for the Pound’s short term outlook has been exacerbated due to the recent supply disruption of fuel in the U.K.. It is also important to note that BoE’s Governor Bailey’s speech, yesterday, sheds light on the concerns over a slower than expected recovery of the labour market, thus the BoE’s recent hawkish tone could, again, turn dovish if recovery signals shows signs of weakness.

On the technical perspctive, Cable has broken through the two levels of support, at 1.3665 and 1.3603. As of writing, the pair seems to have found support around the 1.352 price region. RSI for the pair sits at 27, indicating strong over selling. Cable is trading below its 50, 100, and 200 day SMA.

Resistance: 1.3687, 1.3717

Support: 1.35281, 1.3446

GBPJPY (4 Hour Chart)

Risk averision sentiment has helped propelled the Yen against the Sterling; however, speculators are now betting on the BoE’s hawkish stance and a possible rate hike ahead of the U.S. Fed. Potential rate hike and a hawkish BoE has helped contain losses in the pair. On the other hand, strong headwinds persist for the Pound. A combination of feul supply disruption and intensifying enery crisis in Europe and China has hindered upward movement of the Pound.

On the technical perspective, GBP/JPY wiped out most of yesterday’s gain and currently trading near the key support level of 150. RSI for the pair sits at 46.4, indicating a neutral market. GBP/JPY is trading below its 50, 100 day SMA but above the 200 day SMA.

Resistance: 151.356, 152.555, 153.2886

Support: 150.602, 150.168, 149.129

XAUUSD (4 Hour Chart)

XAU/USD suffered on Tuesday’s trading as the Dollar continues to gain strength on the back of rising U.S. bond yields and a hawkish Fed. XAU/USD fell, as much as, 0.8%, intraday, attributed to weak Gold buying, market sentiment turning slightly “risk off”, and investors rushing to the safe haven Dollar as short term bond yields increase. Investors will be looking out for Fed Chair Jerome Powell’s speech, scheduled for later tomorrow, as it could bring further volatility to XAU/USD.

On the technical perspective, XAU/USD has dropped below our previously estimated support level of 1742.39, and the pair is trending lower towards the next immediate support level of 1725.21. RSI for the pair sits at 37, indicating bearish buying sentiment. XAU/USD is trading below its 50, 100, and 200 day SMA.

Resistance: 1759.27, 1779.04, 1808.42

Support: 1742.39, 1725.51