Mixed Long-Term Outlook For Major Pairs

• 2 Apr 2018

GBP/JPY

The longer term outlook for the GBP/JPY pair seems bearish. A ‘death-cross’ of the 50 day SMA over the 100 day SMA to the downside indicates the pound will come under pressure. Price action remains below moving averages which have represented a resistance area for the pair.

USD/CAD

Despite a pullback for the pair, bullish momentum seems likely to resume. The pair is currently testing the 23.6 Fibo level having broken a bullish trendline. A bullish crossover of the 50 day SMA over the 100 day SMA indicates the bearish move may be short-lived.

GOLD

Gold price has been oscillating around the 20 period EMA since early February. The metal is now testing the moving average as momentum has shifted in a more bullish direction. At the same time, MACD has broken the zero line to the upside.

GBP/USD

The 20 period EMA has acted as a resistance level for the GBP/USD in recent trading, however, the pair is now testing the moving average after a switch to bearish momentum in the last few trading sessions. MACD confirms a bearish momentum reversal.