Technical Analysis

The Return Of Precious Metal Buyers

• 4 Jul 2018

 

 

 

 

USD/JPY

The USD/JPY breakout from the symmetrical triangle was short-lived; price action has fallen below the upper resistance line. It appears likely that the pair will remain in the trading range between the 109.02 and 111.04 price levels. Momentum indicators are mixed.

 

 

 

EUR/USD

The EUR/USD pair has reached the apex of a symmetrical triangle and a breakout appears imminent. Momentum indicators suggest that the breakout will be bullish despite the longer-term descending trend.

 

 

 

GBP/USD

The GBP/USD pair has broken the descending trendline on several occasions as price action bounces around this resistance area. Price action has turned more bullish and is now approaching the 1.330 price level. Momentum indicators have also turned more bullish; with MACD undergoing a momentum reversal and RSI recovering from oversold conditions.

 

 

 

 

USD/CHF

The USD/CHF pair is likely to remain in a fairly tight trading range between the 0.981 price line and the 1.003 price line. Although the pair has has broken the 0.993 price level and the descending trendline, neither buyers nor sellers are dominating price action.

 

 

 

 

USD/CAD

The USD/CAD pair is fast approaching the 1.309 price level. Momentum indicators support the strong bearish move, as RSI recovers from overbought conditions and MACD is undergoing a momentum reversal.

 

 

 

 

SILVER

Silver has stalled above the 15.69 price level as buyers managed to hold up price action before hitting the support level. Given the rise in volume and the bullish trajectory of the metal; it appears buyers have returned. Silver prices have spiked to test the 16.12 price level once again and MACD is currently undergoing a momentum reversal.

 

 

 

 

GOLD

Gold has established a long-term downtrend denoted by the descending trendline. The metal has broken the lower trendline now in a bullish move in both yesterday's and today's trading. At the same time, RSI has broken the 30 support level and MACD turns more positive. Bulls are currently dominating.

 

 

 

 

OIL

Oil has extended it rally passed the 72.62 price level, yet has so far been unable to clear the resistance area completely.  Momentum indicators are bullish and RSI indicates the commodity is oversold. Volume has begun to rise suggesting strong conviction from buyers.