News

Technical Analysis – Gold trades near almost 8-year peak; still bullish

Posted on June 29, 2020 at 7:20 am GMT

Gold prices are continuing the upside movement, creating new highs and touching an almost eight-year peak at 1,779. The short-term technical indicators are neutral-to-bullish and point to a somewhat stromger market. The MACD is holding well above its zero and trigger lines, while the RSI is hovering in positive territory. The Ichimoku lines are also suggesting a bullish bias as the red Tenkan-sen line is standing above the blue Kijun-sen line and the cloud is looking for more upside movements. [..]

Technical Analysis – NZDUSD consolidates recent gains; negative risks present

Posted on June 26, 2020 at 1:34 pm GMT

NZDUSD’s positive picture appears to withstand negative pressures, glued just under the 50- and 100-period simple moving averages (SMAs) and holding just inside the Ichimoku cloud. The pair has adopted a horizontal tone over the last weeks, something also mirrored in the unclear Ichimoku lines and the mostly horizontal state of the Ichimoku cloud. Presently above the 0.6380 level, the predominant bearing is positive, something also reflected within the 100- and 200-period SMAs in spite of the failing and lagging [..]

Technical Analysis – NZDUSD’s positive picture consolidates; negative risks present

Posted on June 26, 2020 at 12:57 pm GMT

NZDUSD’s positive picture appears to withstand negative pressures, glued just under the 50- and 100-period simple moving averages (SMAs) and in the Ichimoku cloud. The pair has adopted a horizontal tone over the last weeks, something also mirrored in the unclear Ichimoku lines and the mostly horizontal state of the Ichimoku cloud. Presently above the 0.6380 level, the predominant bearing is positive, something also reflected within the 100- and 200-period SMAs in spite of the failing and lagging 50-day SMA. [..]

How sterling became a ‘risk’ currency, and what’s next – Special Report

Posted on June 26, 2020 at 12:49 pm GMT

The British pound has become very sensitive to changes in risk sentiment lately, with Cable transforming into a ‘risk on’ – ‘risk off’ pair whose fortunes are connected more to stock market performance than UK fundamentals. As such, a better proxy for Brexit developments in this new era may be euro/sterling. Overall, downside risks seem to outweigh upside ones for the pound right now, especially given the resurgence of infections globally and intensifying Brexit uncertainty, though a powerful rebound later [..]

Week Ahead – NFP in focus as US virus cases spike, recovery in doubt

Posted on June 26, 2020 at 12:10 pm GMT

As the risk rally fizzles out amid rising concerns about a second wave of virus infections in the United States, the all-important jobs report has the capacity to either calm or scare jittery markets. With very few other top tier releases on the agenda next week, it’s hard to see anything other than the virus story driving investor sentiment. Special attention will be on the escalation of Covid-19 cases in the US and whether any states begin to reverse some [..]

Technical Analysis – US 30 index pauses its upside rally below 200-day SMA

Posted on June 26, 2020 at 11:27 am GMT

The US 30 cash index has lost its strong positive momentum after the pullback from the three-and-half month high of 27,369 on June 9. The price found strong resistance at the 200-period simple moving average (SMA) over the last few days and is still consolidating above the 23.6% Fibonacci retracement level of the up leg from 18,145 to 27,639 at 25,340. According to the technical indicators, the MACD is losing ground below the trigger line, while the RSI is moving [..]

Daily Market Comment – Stocks jump into the green, but dollar doesn’t play along

Posted on June 26, 2020 at 8:40 am GMT

Investors ignore a litany of bad news, push stocks higher on deregulation hopes But FX retains a more cautious tone, dollar holds onto gains as US cases hit new record Texas and Florida “pause” their re-opening plans Rebalancing flows heading into quarter end could bite markets Stocks and dollar focus on different narratives The epic market battle between stimulus-driven bulls and virus-fearing bears seems set to end in a draw this week, as worries of a rapid resurgence in virus [..]

Technical Analysis – GBPJPY retreats under SMAs; neutral mode returns

Posted on June 26, 2020 at 8:32 am GMT

GBPJPY has calmed just under the 50-day simple moving average (SMA) after the price reversed from the 139.72 mark back below the SMAs, thus reverting the pair to the previous neutral structure. Although the negative tone in the 50- and 100-day SMAs is intact, the sideways lingering in the former and the flattened state of the 200-day SMA, reflect the stalled mode present in the pair. Glancing at the short-term oscillators, they presently suggest weak directional momentum but lean towards [..]

Technical Analysis – GBPUSD may show some volatility; bears in favor

Posted on June 26, 2020 at 8:20 am GMT

GBPUSD has been making tiny steps within the 1.2400 area in the four-hour chart over the past two days, sending an early warning that some volatility, or a more noticeable move, may soon emerge in the market. Technically, there are several reasons to believe that a downside correction is more likely to occur. First, the price hit a strong wall in the crossroads of a support-turned-resistance trendline and a downward-sloping trendline on Wednesday and instead drifted lower, keeping the downtrend [..]

Technical Analysis – USDCAD stuck below 23.6% Fibo; medium-term outlook still negative

Posted on June 26, 2020 at 7:15 am GMT

USDCAD came close to break the 23.6% Fibonacci retracement level of the down leg from 1.4668 to 1.3310, around 1.3635, several times in the preceding week without success. Still, it managed to hold above the 200- and 20-day simple moving averages (SMAs). The market could retain the range-bound trading in the short-term as the RSI is standing near its 50 neutral mark and the MACD is moving along its trigger line and towards zero. However, the %K line of the stochastic oscillator is approaching the overbought zone, suggesting [..]

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