Analyzes

Notably stronger than expected Australian inflation data has pushed the Aussie firmly higher.

After posting small gains for five consecutive days, EUR/USD loses its traction in the European morning on Wednesday and trades below 1.1650. The pair’s near-term technical outlook highlights a loss of bullish momentum as investors await the Federal Reserve’s (Fed) monetary policy announcements.

Gold is replicating Tuesday’s Asian bounce toward the $4,000 mark early Wednesday as traders look to cash in on the recent sharp correction from record highs of $4,382 ahead of the critical US Federal Reserve (Fed) monetary policy decision.  

EUR/USD extended its winning streak to a fifth straight day on Tuesday, climbing back toward the 1.1670 area, roughly where its provisional 100-day SMA sits.

The Australian Dollar (AUD) carried Monday’s good mood into Tuesday, pushing AUD/USD closer to the key 0.6600 level, its highest in three weeks.

Spot Gold extended its bearish run on Tuesday, bottoming at $3,886.62 during European trading hours, then bouncing to the current $3,960 price zone. A better market mood weighed on safe-haven demand throughout the day, equally affecting the US Dollar (USD) and the precious metal.