Steve Miley, MSTA
MarketChartist
Gold future bearish theme reinforced
A low level digestion for much of Wednesday, capped by modest resistance at 1242/43, but the latter session and this morning break lower maintains bear pressures.
The push through the chart prop at 1220 to approach 1215 reinforces the prior break of the June swing low at 1242 and probe below 1229, 78.6% retrace of the Q1 2014 rally to favour a further downside threat this week.
The risk for latter September is now through 1200 to the 1183.8 cycle low posted at the end of 2013.
Overshoot threat is to key longer term levels at 1179.4 and 1155.6/54.5.
WHAT CHANGES THIS?
- Above 1259 eases bear risks; through 1279 signals a neutral tone, only shifting positive above 1300.
Daily Gold Future Chart
Monthly Gold Future Chart
THERE IS SUBSTANTIAL RISK OF LOSS IN TRADING FUTURES, OPTIONS AND FX PRODUCTS. INFORMATION PROVIDED WITHIN THIS MATERIAL SHOULD NOT BE CONSTRUED AS ADVICE
Recommended Content
Editors’ Picks
EUR/USD holds positive ground above 1.0700, eyes on German CPI data
EUR/USD trades on a stronger note around 1.0710 during the early Monday. The weaker US Dollar below the 106.00 mark provides some support to the major pair. All eyes will be on the Federal Reserve monetary policy meeting on Wednesday, with no change in rate expected.
USD/JPY recovers 156.00 after testing 155.50 on likely Japanese intervention
USD/JPY has recovered some ground above 156.00 after crashing to 155.00 on what seemed like a Japanese FX intervention. The Yen tumbled in early trades amid news that Japan's PM lost 3 key seats in the by-election. Holiday-thinned trading exaggerates the USD/JPY price action.
Gold tests critical daily support line, will it defend?
Gold price is seeing a negative start to a new week on Monday, having booked a weekly loss. Gold price bears the brunt of resurgent US Dollar (USD) demand and a risk-on market mood amid Japanese holiday-thinned market conditions.
XRP plunges to $0.50, wipes out recent gains as Ripple community debates ETHgate impact
Ripple loses all gains from the past seven days, trading at $0.50 early on Monday. XRP holders have their eyes peeled for the Securities and Exchange Commission filing of opposition brief to Ripple’s motion to strike expert testimony.
Week ahead: FOMC and jobs data in sight
May kicks off with the Federal Open Market Committee meeting and will be one to watch, scheduled to make the airwaves on Wednesday. It’s pretty much a sealed deal for a no-change decision at this week’s meeting.