Is A Gold Reversal On The Cards?

• 27 Apr 2020

USD/JPY

The USD/JPY pair has essentially flattened just below the 107.93 resistance area as neither buyers nor sellers have any conviction to drive price action. New macroeconomic developments will likely be required to break the current horizontal move. Momentum indicators have flattened in neutral/bearish territory. 

 

 

 

 

EUR/USD

The Eurodollar has dropped back to the 1.078 price level, as sellers begin to dominate price action. The pullback was met with a rise in buying activity preventing the break of the support line. The next target appears to be the 1.089 resistance area. Momentum indicators have flattened in bearish/neutral territory.  

 

 

 

 

GBP/USD

The GBP/USD pair has bounced back from the 1.216 support area, as buyers begin to return to the pair. The pair will likely remain in range between the 1.216 and 1.251 price levels in the near-term. Momentum indicators are neutral if slightly bearish.

 

 

 

USD/CHF

USD/CHF price action indicates that buyers dominance is waning at the 0.973 price level. Selling pressure has taken price action below the resistance area as a new trading range may be established. Momentum indicators have flattened in bullish territory. 

 

 

 

USD/CAD

The USD/CAD pair has been pushed back from the 1.423 price line, yet, despite selling activity the pair has been held up before a break of the 1.397 support level. A new range has been established between the 1.397 and 1.423 price levels. Momentum indicators have stalled in bullish territory. 

 

 

 

SILVER

Silver has reverted back to the 14.50 support level and despite a spike down, price action remains above this support level. Activity in the metal remains subdued as buyers appear to lack the appetite to drive a trend change. Momentum indicators are bullish; with MACD testing the zero line.

 

 

 

 

GOLD

Gold volatility continues with price action now testing the 1728 price ceiling. However, this price level has been a hurdle for buyers. Doji candles indicate a trend change or at the least, a pullback. Momentum indicators have flattened in bullish territory indicating there is room for further upside. 

 

 

 

 

OIL

WTI appears to be climbing again after testing the 14.03 support level. The next target is the 22.76 resistance level which was previously a key support area. Momentum indicators have stalled in bearish territory yet RSI is beginning  to recover from oversold conditions.