The USD/JPY pair has rebounded from the descending trendline, which is currently acting as a support level. The return of buyers, however, was shortlived. Whether sellers have the conviction to break the trendline remains to be seen, yet there is a recent price floor exists at the 104.77 support level. Momentum indicators appear to be making a moderate bullish recovery.
The Euro has made a recovery off the back of dollar weakness, taking price action to spike through the 1.123 resistance line. If buyers have the appetite to drive prices higher, a new trading range may be established. Momentum indicators support the bullish reversal.
The GBP/USD pair also appears to be making a recovery as a series of doji candles represent a deceleration in the sell-off. A moderate recovery is underway though buyers currently lack the conviction, as the pair continues to be impacted by political developments. Momentum indicators have flattened in negative territory, with RSI bouncing along the 30 support level.
The 0.971 support level remains intact for the USD/CHF pair taking it to test the descending trendline, as the downtrend gathers weight and oscillations begin to narrow. Momentum indicators remain bearish extending into bearish territory with RSI approaching oversold conditions.
The USD/CAD pair continues to extend its position and is now heading towards the 1.330 resistance line as buyers appear to be gathering momentum. There is currently no clear long-term direction for price action. Therefore a break of the resistance line may establish a longer-term rally. Momentum indicators are sharply bullish with MACD breaking the zero line to the upside and RSI approaching overbought conditions.
Silver is testing the 16.78 resistance line which is a recent price high, however, there are signs of exhaustion in the rally despite the push higher. A pause in price action before the current bullish move was the first indication of a slowdown. Momentum indicators also show a slowdown in bullish momentum, with MACD assuming a downward trajectory and RSI breaking the 70 resistance line.
Gold has broken the 1448.10 price level to the upside and is now heading towards the ascending trendline, taking the metal to new highs. Bullish price action will likely continue given the current momentum in price action. Momentum indicators are turning more bullish as MACD extends into bullish territory and RSI approaches overbought conditions.
WTI has rejected the 58.14 resistance line and has now broken the 54.92 support level and the descending trendline to the downside. The next target for sellers is the 51.26 support level and the question remains whether sellers have the conviction to push prices lower. Momentum indicators are bearish, with MACD breaking the zero line to the downside and RSI heading into the bearish channel, flattening above the 30 support level.
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