Will The Eurodollar Sell-off Continue?

• 13 Nov 2018

USD/JPY

 

The USD/JPY pair has stalled just before the 114.19 price level and sellers appear to have returned to the pair. Momentum indicators reflect the pullback in price action with MACD stalling in bullish territory and RSI pulling away from overbought conditions. A new attempt from buyers to target the 114.53 price high may come after a pause in the long- term uptrend.

 

 

 

EUR/USD

 

The EUR/USD pair has suffered from a sell-off resulting from a break of the 1.129 price level. The move represents a part of a descending trend for the pair.  Will the sell-off continue? RSI has reached oversold conditions and MACD has extended its bearish position. There may be a pullback but the Euro will likely continue its weakness against the Dollar.

 

 
 
 
 GBP/USD

 

The GBP/USD pair has broken the 1.292 price level as sellers appear to be pushing price action towards the returned to the pair towards the 1.269 price level. Momentum indicators are mixed; MACD is approaching the zero line and RSI has turned bearish. 

 

Impact event: U.K. Average Earning data will be released at 09:30 GMT and will impact all GBP pairs.

 

 

 

 

USD/CHF

 

The USD/CHF pair has extended its position beyond a previous price high at the 1.008 resistance line.  MACD has flattened in bullish territory whilst RSI continues to test the 70 resistance line. Volume has begun to decline which may suggest waning conviction from buyers.

 

 

 

 

USD/CAD

 

The USD/CAD is approaching the 1.326 price level as a short-term triangle ascending trend has developed. Momentum indicators suggest that the current bullish bias could be short-lived as RSI touches the 70 overbought area.

 

 

 

SILVER

 

Silver has broken through a recent trading range to test the 14.03 price level. Momentum indicators are bearish with MACD breaking the zero line and RSI fast approaching the zero line. The current bearish sentiment may be slowing however, as fewer sellers are coming into the market denoted by declining volume.

 

 

 

 

GOLD

 

Gold has rejected the 1231.10 price level and has now broken the 1209.70 price level. The pair is approaching the ascending trendline where a pullback seems likely. Momentum indicators have turned more bearish with MACD heading towards the zero line and RSI approaching the 30 support level.  

 

 

 

 

OIL

 

Oil price continues to break clear support levels but has now stalled at the 59.83 price level. Momentum indicators support the sell-off; with MACD extending its bearish position and RSI extending into overbought conditions with a break of the 30 support level. At the same time volume is climbing indicating significant conviction from sellers.