Source: PaxForex Premium Analytics Portal, Technical Insight

Fed chief Powell: the time to raise rates will not come soon:

• The Fed does not stick to any formula about the target level of inflation;

•  In order to reach the 2% inflation target, the average inflation rate needs to be 2%;

•  We agree to let the 2% target be exceeded so that the average inflation rate is 2%;

• Flexible inflation targeting means that we are not tied to a mathematical formula;

• We would like to limit inflation expectations to the 2% mark;

•  Since we announced the policy change, there has been evidence that market expectations have come into alignment;

• We do not plan to raise rates to avoid the theoretical risks associated with inflation and imbalances.

AUD/USD, 30 min

Pivot: 0.7690

Analysis:

Provided that the currency pair is traded below 0.7720, follow the recommendations below:

• Time frame: 30 min
• Recommendation: short position
• Entry point: 0.7690
• Take Profit 1: 0.7655
• Take Profit 2: 0.7640

Alternative scenario: 

In case of breakout of the level 0.7720 follow the recommendations below:

• Time frame: 30 min
• Recommendation: long position
• Entry point: 0.7720
• Take Profit 1: 0.7740
• Take Profit 2: 0.7760

Comment:

RSI shows the possibility of descending momentum during the day.

Key levels:

AUD/USD, D1

Pivot: 0.7683

Analysis:

While the price is above 0.7395, follow the recommendations below:

• Time frame: D1
• Recommendation: long position
• Entry point: 0.7683
• Take Profit 1: 0.7880
• Take Profit 2: 0.7990

Alternative scenario:

If the level 0.7395 is broken-down, follow the recommendations below.

• Time frame: D1
• Recommendation: short position
• Entry point: 0.7395
• Take Profit 1: 0.7220
• Take Profit 2: 0.7090

Comment:

RSI shows a bullish sentiment.

Key levels:

We also advise you to pay attention to the following currency pairs for intraday trading:

EUR/USD - sell below 1.2100 with 1.2040 and 1.2020 targets as Take Profit. Alternative scenario - if the level 1.2100 is broken-out, buy with the TP 1.2115 and 1.2135.
GBP/USD – sell below 1.3615 with 1.3540 and 1.3520 as Take Profit targets. Alternative scenario - if the level of 1.3615 is broken-out, you should consider buying with the targets 1.3635 and 1.3660 as Take Profit.
USD/CHF - long positions above 0.8890 with 0.8940 and 0.8955 targets as Take Profit. Alternative scenario - if the level of 0.8890 is broken-down, sell with the targets 0.8875 and 0.8860 as Take Profit.