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For the 24 hours to 23:00 GMT, the USD slightly rose against the JPY and closed at 113.22.

In the Asian session, at GMT0400, the pair is trading at 113.29, with the USD trading 0.06% higher against the JPY from yesterday’s close.

The pair is expected to find support at 113.13, and a fall through could take it to the next support level of 112.98. The pair is expected to find its first resistance at 113.39, and a rise through could take it to the next resistance level of 113.50.

The currency pair is trading above its 20 Hr and 50 Hr moving averages.

For the 24 hours to 23:00 GMT, the USD slightly rose against the CHF and closed at 1.0044.

In economic news, Switzerland’s total sight deposits eased to a level of CHF577.5 billion in the week ended 02 November, from CHF578.0 billion in the previous week.

In the Asian session, at GMT0400, the pair is trading at 1.0050, with the USD trading 0.06% higher against the CHF from yesterday’s close.

The pair is expected to find support at 1.0031, and a fall through could take it to the next support level of 1.0012. The pair is expected to find its first resistance at 1.0069, and a rise through could take it to the next resistance level of 1.0088.

The currency pair is showing convergence with its 20 Hr moving average and trading above its 50 Hr moving average.

For the 24 hours to 23:00 GMT, the USD marginally rose against the CAD and closed at 1.3109.

In the Asian session, at GMT0400, the pair is trading at 1.3114, with the USD trading slightly higher against the CAD from yesterday’s close.

The pair is expected to find support at 1.3085, and a fall through could take it to the next support level of 1.3055. The pair is expected to find its first resistance at 1.3130, and a rise through could take it to the next resistance level of 1.3145.

Trading trend in the Loonie today is expected to be determined by Canada’s building permits for September, scheduled to release later in the day.

The currency pair is trading above its 20 Hr and 50 Hr moving averages.

For the 24 hours to 23:00 GMT, the AUD rose 0.42% against the USD and closed at 0.7215.

LME Copper prices declined 0.3% or $16.0/MT to $6239.0/MT. Aluminium prices rose/declined 0.4% or $8.0/MT to $1959.0/MT.

In the Asian session, at GMT0400, the pair is trading at 0.7211, with the AUD trading 0.06% lower against the USD from yesterday’s close.

The Reserve Bank of Australia, in its November monetary policy meeting, opted to leave its interest rate unchanged at 1.50%, as widely expected, amid sluggish wage growth and weak domestic spending.

The pair is expected to find support at 0.7189, and a fall through could take it to the next support level of 0.7168. The pair is expected to find its first resistance at 0.7226, and a rise through could take it to the next resistance level of 0.7242.

Moving forward, investors would await Australia’s AiG performance of construction index for October, slated to release later in the day.

The currency pair is showing convergence with its 20 Hr and 50 Hr moving averages.

For the 24 hours to 23:00 GMT, Gold marginally declined against the USD and closed at USD1233.00 per ounce, ahead of the US congressional elections.

In the Asian session, at GMT0400, the pair is trading at 1230.80, with gold trading 0.18% lower against the USD from yesterday’s close.

The pair is expected to find support at 1227.43, and a fall through could take it to the next support level of 1224.07. The pair is expected to find its first resistance at 1235.13, and a rise through could take it to the next resistance level of 1239.47.

The yellow metal is showing convergence with its 20 Hr and 50 Hr moving averages.

For the 24 hours to 23:00 GMT, Silver declined 0.41% against the USD and closed at USD14.65 per ounce, tracking losses in gold prices.

In the Asian session, at GMT0400, the pair is trading at 14.63, with silver trading 0.14% lower against the USD from yesterday’s close.

The pair is expected to find support at 14.56, and a fall through could take it to the next support level of 14.49. The pair is expected to find its first resistance at 14.73, and a rise through could take it to the next resistance level of 14.83.

The white metal is trading below its 20 Hr and 50 Hr moving averages.

For the 24 hours to 23:00 GMT, Crude Oil rose 0.19% against the USD and closed at USD62.79 per barrel.

In the Asian session, at GMT0400, the pair is trading at 62.97, with oil trading 0.29% higher against the USD from yesterday's close.

The pair is expected to find support at 62.33, and a fall through could take it to the next support level of 61.69. The pair is expected to find its first resistance at 63.87, and a rise through could take it to the next resistance level of 64.78.

Crude oil is trading below its 20 Hr and 50 Hr moving averages.

Daily Pivots: (S1) 0.7188; (P) 0.7203; (R1) 0.7224; More...

AUD/USD is staying in tight range below 0.7258 temporary top. Intraday bias remains neutral and outlook is unchanged. With 0.7159 minor support intact, another rise is in favor. Current development argues that a medium term bottom might be in place at 0.7020. On the upside, above 0.7258 will target 0.7314 key resistance. Firm break of 0.7314 will confirm this bullish case and target 38.2% retracement of 0.8135 to 0.7020 at 0.7446 next. However, sustained break of 0.7159 will turn focus back to 0.7020 low instead.

In the bigger picture, as long as 0.7314 resistance holds, fall from 0.8135 is tentatively treated as resuming long term down trend from 1.1079 (2011 high). Decisive break of 0.6826 will target 0.6008 key support next (2008 low). However, firm break of 0.7314 will suggest that whole decline from 0.8135 has completed. And, the corrective pattern from 0.6826 (2016 low) is extending with another rising leg towards 0.8135 before completion.

Australian Dollar trades broadly higher today after RBA stood pat but raised growth forecast a little. Though, it's being held below last week's high against both Dollar and Euro. More evidence is needed to prove its strength. Sterling, on the other hand, shows a bit promises by extending recent rebound. Brexit noises continued to float around but there isn't anything concrete regarding the progress of negotiation. New Zealand Dollar is trading as the weakest one for now, followed by Yen and then Swiss France. Dollar is mixed while the Americans are busy with their mid-term elections.

US markets closed mixed overnight after some dull trading. DOW gained 0.76%, S&P 500 rose 0.56% but NASDAQ dropped -0.38%. 10-year yield retreated slightly by -0.013 to 3.201. 30-year yield dropped -0.021 to 3.432 but stayed above recent resistance at 3.424, which it broke last week. In Asia, Nikkei rebounds today and is trading up 1.08%. But Hong Kong HSI, Shanghai SSSE and Singapore Strait Times are all in red.

Technically, the levels to watch remain unchanged in a slow market. Break of 113.38 in USD/JPY will resume rebound from 111.37. EUR/GBP is heading to 0.8722 and break will resume whole decline from 0.9097. Though, one development to note is that GBP/CHF, yesterday's top mover, breached 1.3115 resistance already. It should be resuming whole rise from 1.2457 for 1.3413 projection level.

RBA kept cash rate at 1.5%, raised growth forecast a little

RBA left cash rate unchanged at 1.50% as widely expected. Overtone is affirmative but as the improve in wages growth and inflation would be gradual, RBA is in no rush to raise interest rate. The central bank provided a glimpse of the new economic forecasts in the statement. We'll have to wait for the full Monetary Policy Statement on Friday for the details.

RBA noted that GDP growth forecasts for 2018 and 2019 were "revised up a little" to around 3.5%. GDP growth would slow in 2020 due to "slower export growth or resources". Growth in household consumption is "one continuing source of uncertainty" due to low income growth, high debt levels and some decline in asset prices. Stronger than expected terms of trade are expected to "decline over time" but stay at relatively high level.

Labor market outlook "remains positive" and unemployment rate is expected to drop further to around 4.75% in 2020. Rise is wages growth is "still expected to be a gradual process". Inflation outcomes were inline with expectations. CPI is expected to pickup over the next couple of years, gradually. CPI is forecast to be at 2.25% in 2019 and a bit higher in 2020.

Eurozone finance minister rejected Italy budget, new or revised DBP a necessity

Eurozone finance ministers showed united stance against Italy's budget in the meeting in Brussels yesterday. In a statement, they said "we agree with the Commission assessment" on Italy's draft budget plan (DBP). And, the group "look forward for Italy and the Commission to engage in an open and constructive dialogue and for Italy to cooperate closely with the Commission in the preparation of a revised budgetary plan which is in line with the SGP (Stability and Growth Pact)."

At the post meeting press conference,  Commissioner for Economic Affairs Pierre Moscovici reiterated that a "new" or "revised" DBP was requested by November 13, and "that is a necessity".

However, Italian Economy Minister Givoanni Tria said after the meeting that the his government wasn't in the process of changing the budget. Instead, he added, "We hope that the spread will narrow when the market understands our strategy."

European Parliament Trade Committee approved EU-Japan trade deal

Yesterday, the European Parliament's international trade committee voted 25-10 today to approve the EU-Japan trade deal signed back in July 17, 2018. The deal could now be sent to the full chamber for a vote in December plenary session. And, if it's approved, the deal could enter into force as soon as the Japanese Diet ratifies it.

In short, the EU-Japan trade deal will create a trade zone of 600m people, covering a third of of global GDP and around 40% of global trade. Eventually, the deal will remove almost all customs duties, worth roughly EUR 1B annually on European products and services exported to Japan.

The European Parliament's Trade Committee MEPs emphasized that the agreement "represents a timely signal in support of open, fair, values-based and rules-based trade, while promoting high standards, at a time of serious protectionist challenges to the international order".

European businesses increasingly desensitized to China Xi Jinping's constant repetition of empty promises

The European Chamber of Commerce in China blasted Chinese President Xi Jinping's speech regarding opening up the markets yesterday. In the keynote speech at the China International Import Expo (CIIE), Xi introduced five initiatives, including stimulating potential for imports, broadening market access for foreign investment, creating a world-class business environment, exploring new horizons of opening up, and promote international cooperation multilaterally and bilaterally.

In a statement, the Chamber criticized that much of the content delivered by Xi just "echoed" what was previously announced at Boao in April. And, this was just "constant repetition", without "sufficient concrete measures or times lines". And Xi has left the European business community "increasingly desensitized" to these kinds of promises.

Chinese VP Wang: Ready to work for trade solution with US

The US and China will hold a top-level security meeting on Friday in Washington. Secretary of State Mike Pompeo, Defense Secretary Jim Mattis, Chinese politburo member Yang Jiechi and Defense Minister Wei Fenghe will be involved in the meeting. And it's generally seen as a sign of warming-up ahead of the meeting between Trump and Xi in the upcoming G20 summit later in the month.

Talking about the Trump-XI meeting, Chinese Vice President Wang Qishan said in Singapore today that "both China and the U.S. would love to see greater trade and economic cooperation." Wang added "the Chinese side is ready to have discussions with the U.S. on issues of mutual concern and work for a solution on trade acceptable to both side."

On the data front

Japanese household spending dropped sharply by -1.6% yoy in September versus expectation of 1.6% yoy. UK BRC retail sales monitor rose merely 0.1% yoy in October. German factory orders will be released in European session. Eurozone will release PMI services final and PPI. Later in the day, Canada will release building permits. The US calendar is empty for mid-term elections.

AUD/USD Daily Outlook

Daily Pivots: (S1) 0.7188; (P) 0.7203; (R1) 0.7224; More...

AUD/USD is staying in tight range below 0.7258 temporary top. Intraday bias remains neutral and outlook is unchanged. With 0.7159 minor support intact, another rise is in favor. Current development argues that a medium term bottom might be in place at 0.7020. On the upside, above 0.7258 will target 0.7314 key resistance. Firm break of 0.7314 will confirm this bullish case and target 38.2% retracement of 0.8135 to 0.7020 at 0.7446 next. However, sustained break of 0.7159 will turn focus back to 0.7020 low instead.

In the bigger picture, as long as 0.7314 resistance holds, fall from 0.8135 is tentatively treated as resuming long term down trend from 1.1079 (2011 high). Decisive break of 0.6826 will target 0.6008 key support next (2008 low). However, firm break of 0.7314 will suggest that whole decline from 0.8135 has completed. And, the corrective pattern from 0.6826 (2016 low) is extending with another rising leg towards 0.8135 before completion.

Economic Indicators Update

The European Chamber of Commerce in China blasted Chinese President Xi Jinping's speech regarding opening up the markets yesterday. In the keynote speech at the China International Import Expo (CIIE), Xi introduced five initiatives, including stimulating potential for imports, broadening market access for foreign investment, creating a world-class business environment, exploring new horizons of opening up, and promote international cooperation multilaterally and bilaterally.

The Chamber criticized that much of the content delivered by Xi just "echoed" what was previously announced at Boao in April. And, this was just "constant repetition", without "sufficient concrete measures or times lines". And Xi has left the European business community "increasingly desensitized" to these kinds of promises.

Here is the full statement of the Chamber.