U.K. Election Ignites The Pound

• 13 Dec 2019

USD/JPY

 

The USD/JPY pair has made a recovery to break the ascending trendline to the upside once again. Heavy buying pressure has taken the pair through a series of resistance levels to test the 109.61. Price action has failed to break this price area on previous occasions and therefore buyers’ conviction will be tested. Momentum indicators have sharp upward trajectories. 

 

    

 

 

 

EUR/USD

 

The Eurodollar has also found support with price action moving beyond the 1.112 resistance level. The next resistance level is the 1.116 price area, where bearish rebounds have tended to occur. Overall, the trend is bullish. Momentum indicators support bullish sentiment with sharp upward trajectories. 

 

 

 

 
 GBP/USD

 

The GBP/USD pair has broken recent price highs as political developments unfold. The current price level has not been reached since mid-May of 2018. Optimism may not continue, given the fact that the pair has entered into overbought conditions. Momentum indicators are bullish yet RSI has extended beyond the 70 resistance line indicating that a reversal may be imminent.  

 

 

 

USD/CHF

 

The USD/CHF continues to be plagued by bearish sentiment, however there are signs that bearish momentum is beginning to stall. A series of small-bodied candles have taken price action back towards the 0.985 resistance line. Momentum indicators have stalled in bearish territory.  

 

 

 

 

USD/CAD

 

The USD/CAD pair remains volatile, with buyers and sellers tussling to dominate price action. Sellers have had the edge recently taking the pair back towards the 1.314 support line. A break of the ascending trendline to the downside provides further weight to the recent bearish move. Momentum indicators have bearish trajectories. 

 

 

 

SILVER

 

Silver has failed to move beyond the 16.85 support level for any extended period of time. A brief break saw the metal rebounding from the 16.55 price level. Overall the trend is descending, as denoted by the trendline. Any rise in price action will likely result in a bearish rebound. Momentum indicators remain in bearish territory, yet have upward trajectories.  

 

 

 

 

GOLD

 

Gold price action appears to be moving horizontally in recent trading as a rebound from the descending trendline took price action back towards the 1468.50 support level. The metal will likely hug this support level until fundamental factors inspire traders to drive price action. Momentum indicators have bullish trajectories. 

 

 

 

 

OIL

 

WTI price action has simmered down resulting in a series of small-bodied candles as the commodity fails to move beyond the 59.18 resistance area. Yet, neither buyers nor sellers are dominating price action. The $60 per barrel range is the target. Momentum is beginning to wane and indicators have flattened in bullish territory.