WTI Buyers Have Returned

• 17 Sep 2020

USD/JPY

The USD/JPY pair has rebounded from the 104.67 support level once again as the trading range remains intact. A long-term bearish trend remains, although at a moderate pace. Momentum indicators are bearish with signs of recovery from oversold conditions.  

EUR/USD

The Eurodollar continues to oscillate between the 1.723 and 1.192 price levels. Despite several attempts to break both price levels neither buyer or sellers have been able to facilitate a trend. In this case, we fall back to the longer-term trend which is bullish. Momentum indicators have downward trajectories.

GBP/USD

The GBP/USD pair has bounced back from the 1.274 support level and continues to test the ascending trendline. The test has inspired the return of sellers in early trading, yet a break would provide weight to the longer-term uptrend. Momentum indicators are turning more bullish. 

USD/CHF

The USD/CHF revival has begun once again and has inspired by a return towards the 0.903 support level. A major obstacle for the pair remains at the descending trendline which has been a strong resistance area. A break would be significant. Momentum indicators have upward trajectories. 

USD/CAD

The USD/CAD pair continues to test both the 1.322 resistance line and descending trendline, which has proved a hurdle for buyers in the past. Another bearish rebound may be expected given the descending triangle pattern that has formed in the pair. Momentum indicators have begun upward trajectories. 

GOLD

Gold looks to be on the verge of a breakout. A series of doji candles, coupled with narrowing oscillations,are tightly trace the bullish trendline yet bullish momentum appears to be waning. A break of the trendline to the downside could spell the end of a well established long tern rally.  Momentum indicators have flattened in bullish territory. 

OIL

WTI buyers have returned with gusto, with the most activity that has been seen in the commodity in months. WTI is heading back towards the 41.69 price level and has breached the $40 per barrel range. If US Dollar weakness continues, this price range may remain intact. Momentum indicators have sharp upward trajectories.