USD slips amid a risk on rally

Euro Attempts To Breakout Higher, Capped By 1.1347

The euro currency made some gains on Monday as price action tried to break out from the triangle pattern.

Prices briefly tested highs near 1.1347 before pulling back toward the close of the European session.

The overall trend in EURUSD remains flat with no major bias building up. A pullback could see the euro testing the 1.1261 level of support.

Alternately, a successful breakout above 1.1347 could signal a move toward the 1.1400 handle eventually.

GBP/USD Attempts To Test 1.2516 Resistance Level

The pound sterling is seen holding its ground against the US dollar. Prices are up a modest 0.14% as the cable attempts to test the 1.2516 resistance level.

The cable initially pulled back after testing this level just last week. A successful breakout above 1.2516 could open the way for the currency to rise to 1.2643 thereafter.

To the downside, the swing low near 1.2437 will keep the cable from posting further declines for now.

A break down below this level will of course accelerate the declines back to the 1.2344 level of support.

Crude Oil Rises Over 1%In An Attempt To Breakout

Oil prices are somewhat bullish on Monday. Price action is modestly trading above the 40.00 handle. But crude oil is not out of the woods yet.

A clean breakout above 40.00 is required to confirm the upside bias. For the moment, prices are strongly trading around the rising trend line.

This might potentially trigger a move lower if the commodity fails to post any further gains above this level.

A minor resistance level might form near the previous swing high point at 41.60.

Gold Inches Back Higher But Off July 1st Highs

The precious metal is recovering following last week’s decline from a fresh nine-year high.

Price action is trading around the 1783 level with the 4-hour chart signaling a Doji candlestick pattern.

This could potentially either signal a continuation or a reversal to the recent uptrend. Prices are still a little away from the 1800 level.

Any near term dips could, of course, attract new buyers into the market.

The price level near 1773 remains a likely spot to hold the precious metal from further declines in the near term.