Pound Reaches Key Support Level

  • 18 Jul 2018

 

 

 

 

USD/JPY

Sentiment for the USD/JPY has turned significantly bullish, with the pair fast approaching the 113.26 market top of late 2017. Despite an initial retracement, the pair has turned bullish once again. At the same time, RSI has broken through the 70 resistance area indicating the pair is overbought. MACD has extended its bullish position. The question is whether the pair will break the 113.26 price level.

Impact event: A speech from the Federal Reserve Chairman Powell  at 17:00 GMT+3 may impact U.S. Dollar pairs.

 

 

 

 

EUR/USD

The EUR/USD pair has rejected the 1.173 price level as sentiment has turned sharply bearish. Momentum indicators however are mixed; MACD is on the verge of a bullish break of the zero line and RSI has a downward trajectory.

Impact event: Eurozone CPI data will be released at 12:00 GMT+3 and will impact all Euro pairs.

 

 

 

 

GBP/USD

The rally which took the GBP/USD pair towards the 1.330 price line was short-lived; as price action rejected and fell back from this resistance area. The pair stopped just short of the 1.306 support level, so clearly a break would be significant. RSI has reached oversold conditions.

Impact event: U.K. CPI data will be released at 11:30 GMT+3 and will impact all GBP pairs.

 

 

 

 

 

USD/CHF

The USD/CHF pair has broken the upper trendline to test the 1.00 price level to the upside. U.S. Dollar strength was pared at this resistance level as RSI fell short of breaking the 70 resistance line.

 

 

 

 

 

USD/CAD

The USD/CAD pair has rejected the 1.309 price level and has once again turned bullish. A series of doji candles does indicate some indecision for the pair which will likely trade between the 1.309 and 1.334 price levels. Momentum indicators indicate there is a bullish bias.

 

 

 

 

SILVER

A tussle between buyers and sellers appears to be over in Silver's price action; where sellers appear to be dominating in the long- term trend for the metal. Price action has broken the 15.69 price level which appears to be a significant support level. MACD has extended its bearish position.

 

 

 

 

 

GOLD

Gold has established a long-term downtrend denoted by the descending trendline. The metal has broken the trendline to the downside extending the bearish move. Momentum indicators support bearish sentiment; as RSI indicates the metal has reached oversold conditions.

 

 

 

 

 

OIL

Oil suffered from a significant sell-off in recent trading which has resulted in a bearish break of both the 68.84 and the 67.32 price levels. Oil is now testing the 66.13 price level, however RSI looks on the verge of a reversal.  Volume has spiked during the bearish move and MACD is approaching the zero line.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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