Forex trading short on Gold and Silver – AUD/CHF in double top [Video]
![Forex trading short on Gold and Silver – AUD/CHF in double top [Video]](https://editorial.fxstreet.com/images/Markets/Commodities/Metals/Silver/silver-bars-13972410_XtraLarge.jpg)
These bumps in USD pairs are why we get you to watch the US Federal Reserve Press Conferences.
We can find some great opportunities.
As expected the US Fed did not raise Interest Rates yesterday.
However, during the press conference 30 minutes later, Jerome Powell made it clear that the next rate change would not be an increase.
This quickly made USD weaker and gave us some easy opportunities.
For example, we caught a bounce off support with the stochastic oscillator in oversold territory.
Watch for a reversal.
Another opportunity may be coming up if we see a reversal on USDCHF.
Watch this lower trend line and your favourite technical indicators as, we can from the daily chart, USDCHF has been in a bull run all year.
The same USD weakness caused the same dip in XAUUSD but on Gold, we may already have a reversal to the downside.
Price action has bounced off this upper trend line and the stochastic oscillator is oversold.
I would wait for a cross of the %D and %K lines before going short.
Price action on silver, however, looks like it has made up its mind already and is heading down.
But, watch out for the US Non-Farm Payrolls tomorrow.
Intervention by the BoJ combined with USD weakness caused violent whipsaws on all JPY pairs.
To be honest, no one really knows where JPY will go from here until the BoJ takes more action.
Last time we pointed out a short opportunity off resistance on AUDCHF and look what happened.
We exited the trade on the cross of the oversold stochastic oscillator and now price action is forming a double top.
Author
Brad Alexander
FX Large Limited
Brad became fascinated with the Currency Markets from a young age and researched fundamental analysis.
