Precious Metals Struggle To Find Support

• 15 May 2018

GOLD

GOLD is testing a significant previous support level at the 1310.50 price line and a break would provide weight to the sustained downtrend. Momentum indicators support bearish price action, with further downside potential.

Impact event: U.S. Retail Sales data will be released at 15:30 GMT+2 and will impact all USD pairs.

SILVER

Silver price has broken the 16.56 price level which represented a moderate resistance level for the metal. At the same time, Silver has also broken the 20 period EMA to the downside. Momentum indicators highlight a bearish bias.

USD/JPY

The USD/JPY pair has broken the high price SMA and is approaching a previous market top at the 110.12 price level. Price action has reached overbought conditions according to RSI and MACD has flattened in bullish territory; which may signal the start of a trend change.

GBP/CAD

The GBP/CAD pair is recovering from an extended sell-off which began mid- March. The pair is testing the 1.735 price level and a break would provide weight to the uptrend. MACD has decelerated and RSI has recovered from oversold conditions.

Impact event: U.K. Average Earnings Index is at 11:30 GMT+3 and will give indication of the U.K. Employment situation, impacting all GBP pairs.