Oil Buyers Dominate Price Action

• 2 Oct 2018

 

 

USD/JPY

The USD/JPY pair has continued the bullish run and is approaching a long-term resistance level at 114.19. Momentum indicators remain bullish with RSI moving beyond the 70 resistance level.

Impact event: Fed Chairman Powell will speak at 16:45 GMT and comments will likely impact all USD pairs.

 

 

 

 

 EUR/USD

The EUR/USD pair has retraced back below the 1.164 price level and is heading towards the 1.153 price level which represents a strong support level for the pair. At the same time, momentum indicators are bearish; with MACD approaching the zero line.

 

 

 

 

 GBP/USD

The GBP/USD pair is testing the 1.306 price level and is approaching the ascending trendline. Previous tests of the ascending trendline have resulted in a bullish retracement. Momentum indicators have turned bearish.

 

 

 

 

USD/CHF

The USD/CHF pair is testing the 0.981 price level which represents a long term support level. Momentum indicators are bullish with MACD approaching the zero line, however, RSI appears to have stalled just below the overbought area.

 

 

 

 

USD/CAD

The USD/CAD has pulled back to break the 1.287 price level after a strong bearish move in recent trading. There may be a reversal before price action reaches the 1.275 price level, as a doji candle experienced a gap open, separate from the bearish trend. RSI is approaching oversold conditions and MACD has extended its bearish position.

 

 

 

 

SILVER

Silver has broken the 14.41 price level in an apparent bullish move which may send price action towards the 14.91 resistance line. MACD has turned sharply bullish and is heading towards the zero line. Volume has declined in recent trading indicating there buyers’ conviction may be waning.

 

 

 

 

GOLD

Price action has taken a more bearish turn after rejecting the 1209.70 support level. Momentum indicators have turned bearish with MACD now pulling away from the zero line. RSI is in neutral but slightly bearish territory.

 

 

 

 

OIL

Oil price is being dominated by bulls in recent trading with a strong bullish break of the 73.44 price level which represents a key resistance area for the commodity. At the same time, price action is also testing the ascending trendline to the upside which represents strong positive momentum for oil. Momentum indicators are bullish, however, RSI has reached overbought conditions.