Gold Soars As Risk Off Sentiment Prevails

• 9 Mar 2022

USD/JPY

USDJPY price action has broken out of the current range as bullish momentum takes the pair back towards the 116.15 resistance line. In the past, this resistance line has been an obstacle for rallies with bearish reversals, therefore strong bullish conviction will be required to drive the break   

 

 

 

 

GBP/USD

The GBPUSD pair has stalled at the 1.310 support line as another sell-off takes the pair to new recent lows. A stall in the trend could merely be a resting period before further downside which will ultimately be governed by fundamentals.  

 

 

 

 

EURUSD

The EURUSD is beginning to pull away from the 1.085 support level as buyers appear to have returned to the pair in the last few trading sessions. Sellers were still active in yesterday’s trading therefore, any rally attempt will still need to overcome residual bearish sentiment.  

 

 

 

 

USDCAD

The USDCAD has broken the consolidation channel that had contained price action since January, with price action driving through the 1.282 resistance line. The next target is the 1.293 price ceiling. Momentum indicators have upward trajectories, extending into bullish territory. 

 

 

 

 

XAUUSD

The XAUUSD rally has blitzed through the 1998 price line as strong bullish conviction drives price action beyond $2000 per ounce level. The rally continues to sharpen its exponential and therefore it will take a huge shift in sentiment to reverse the current trajectory. 

 

 

 

 

JP225

The JP225 index has bounced off the 24,674 support level with a moderate return of buyers. Selling activity persists which may indicate difficulty in forming a bullish reversal. Momentum indicators are undergoing bullish reversals with RSI returning from oversold conditions.  

 

 

 

 

U500

The US500 is testing the 4145 support level and even with the retirn of buyers in the early Asian trading session, a bearish bias dominates in both long-term and short-term horizons. Given the lack of support for buyers, a break seems inevitable.