Daily Insights Report 20/07/2017

• 20 Jul 2017

USD/CAD

The USD/CAD pair has experienced a mild rally in the 1-hour time frame having broken the 20-period exponential moving average, followed by several bullish bars. MACD appears to be turning more positive and RSI is approaching but some way away from the 70 overbought area. Price action has broken above a support area at the 1.261 price level with the next price target at the 1.264 price level. Volume has fallen in the recent move and a series of doji candles suggest bullish sentiment may be declining.

GOLD

According to the 1-hour chart, sentiment has turned bearish for gold as the metal has broken the 20-period exponential moving average (EMA).  Price action has approached and bounced off the 1237.75 price level and it appears that this level provide support to the metal. However both MACD and RSI have turned more negative and RSI is close to the oversold zone. Declining volume suggests that there will not be enough conviction from buyers to drive prices below the 1237.75 support level.

USD/CHF

The USD/CHF pair has hit a resistance area at 0.955 after having broken the 20-period EMA. MACD appears to be close to breaking the zero line to turn more positive and a break would suggest significant bullish momentum. RSI also has an upward trajectory. Volume has been rising into the bullish move but has tailed off at the 0.955 price level. A break of this price level is required to confirm the bullish move.

SILVER

Silver price have followed the same path as Gold in the 1-hour chart, with a fairly strong break of the 20-period EMA and is approaching a support level at 16.16. MACD appears poised to break the zero line to the downside and a bearish break would give some weight to the downtrend.  RSI also has a clear downward bias, however, is approaching the 30 support line. Volume has tailed off completely indicating a breakout in ether direction is unlikely. The pair will likely trade in range between the 16.16 price level and the 16.32 price level.