Gold Pull-back At The Start Of The Trading Week

• 20 Apr 2020

USD/JPY

The 107.93 price level continues to be a hurdle for the USD/JPY pair, as price action has failed to clear the resistance area. A trading range between the 107.93 and 110.19 price levels would represent the return to a more stable price range. Momentum indicators have flattened in neutral/bearish territory. 

 

 

 

 

EUR/USD

The Eurodollar has failed to move beyond the 1.089 price level, as buyers appear to lack the conviction to drive a trend change. Oscillations are narrowing which suggests that a breakout could be on the cards. Both MACD and RSI have flattened in bearish/neutral territory.  

 

 

 

 

GBP/USD

The GBP/USD pair has been unable to push beyond the 1.251 price line, with buyers and sellers tussling for control. Price action may remain in this price range going forward unless there are new developments in the virus situation.  Momentum indicators reflect the bullish sentiment, with MACD on the verge of a bullish break of the zero line.

 

 

 

USD/CHF

USD/CHF price action appears to be narrowing between the 0.964 and 0.973 price levels, perhaps indicating some stabilisation. A moderate U.S. dollar recovery did not result in the pair returning to a previous trading range therefore, horizontal price action may continue. Momentum indicators are neutral. 

 

 

 

USD/CAD

The USD/CAD is forming a moderate downtrend, with price action continuing to hug the descending trendline. Despite attempts from buyers, sellers have dominated the near-term direction for the pair. Momentum indicators have stalled in neutral/bullish territory. 

 

 

 

SILVER

The Silver rally has stalled mid-rally as buyers reach exhaustion and price action begins to turn back towards the 14.30 support line. The metal has failed to reach the 16.14 support level as sellers returned. Momentum indicators are mixed; with MACD maintaining an upward trajectory and RSI has beginning a descent.  

 

 

 

GOLD

The gold rally has reverted as price action has now returned to the 1600 range. The next target is the 1660.59 support level as price action returns to a more stable trading range. Momentum indicators suggest the metal is oversold with RSI pulling away from the 70 resistance level. 

 

 

 

 

OIL

WTI has failed to clear the $30 per barrel mark as sellers return to the metal. This may be another new normal for the commodity as price action has now returned to the 22.70 support level once again. Momentum indicators have stalled in bearish territory.