According to the US Dollar Index, dollar longs are under pressure. Despite still technically exhibiting an uptrend, there are signs of technical weakness emerging. Since topping at 104.97 in mid-February (just shy of resistance at 105.04), price action has tunnelled through support at 104.15 (now marked resistance) in addition to channel support, extended from the...
Last week, we witnessed the price of spot gold (XAU/USD) refresh all-time highs (ATHs), comfortable north of the $2,000 mark at $2,195. Markets witnessed demand for the precious metal increase based on a number of factors, which has seen buyers lift prices higher for eight consecutive days. Last week also recorded its largest one-week gain since early October...
Upside Momentum Slowing
While it was another all-time high (ATH) for the S&P 500 last week, reaching 5,189, upside momentum is beginning to slow and concluded the week tentatively. The Dow Jones Industrial Average also ended a second week in negative territory and the Nasdaq 100 and Nasdaq Composite finished off ATHs in the shape of weekly bearish harami...
Ahead of this week’s wages/employment data, the technical position for the GBP/USD leans in favour of bulls.
Monthly Resistance Cedes Ground
Following two months of downside, GBP/USD bulls pencilled in a solid offensive last week (+1.6%), drawing the currency pair through resistance on the monthly timeframe at $1.2715. While one may argue that this market is...
According to the US Dollar Index, the US dollar (USD) had a rather disappointing week, falling -1.1% against a basket of six major currencies. On the month, the buck is also -1.4% lower and, assuming a continued negative trajectory this month, is on track to snap a two-month bullish phase.
The FP Markets Research Team noted in numerous posts that the longer-term...
It was another impressive week for the major cryptocurrency pairing BTC/USD, adding nearly +10.0% and carving out a second straight weekly gain to reach a fresh record high of $70,198.
Traders Eye Dip-Buying Opportunities
It is clear across all primary timeframes that the trend in this market is bullish, prompting traders and investors to seek dip-buying...
Major US equity benchmarks continue to outperform, recording fresh all-time highs. However, in recent moves, a mild correction is seen taking shape, one that has opened the door to a particularly interesting bullish formation on the Dow Jones Industrial Average (Dow).
As evident from the daily timeframe, price is closing in on an ‘alternate’ AB=CD bullish...
Today will see the release of the Bank of Canada (BoC) rate decision at 2:45 pm GMT.
BoC to Hold the Line
The BoC is widely expected to keep its Overnight Rate on hold at 5.0% for a fifth consecutive meeting—a 22-year peak. As per the OIS curve, there’s only a 6% chance that we see a 25bp cut at today’s meeting with the first 25bp cut fully priced in for July...
Following the US cash open, we can see precious metals have been broadly bid today.
The price of spot gold (XAU/USD) and spot silver (XAG/USD) are +1.7% and +2.8% higher, respectively, at the time of writing. Despite UST yields advancing and the Dollar Index offering very little, both gold and silver are outperforming!
Resistance is limited on gold, paving the...
Ahead of this week’s BoC meeting—the central bank is widely expected to remain on hold at 5.0%—the technical picture for the USD/CAD leans in favour of buyers for the time being.
Monthly, Daily and H1 Charts Echo Bullish Tone
From the monthly timeframe, we can clearly see the currency pair has formed a long-term consolidation between CAD1.4690 and CAD1.2092...
Europe’s single currency concluded February eking out marginal gains against its US counterpart, delivering what many technical analysts will acknowledge as an indecision candle. Overall, the EUR/USD has been (and remains) in a downtrend since 2008, sporting clear lower lows and lower highs on the monthly chart.
Despite January’s engulfing candle (textbook...
PCE Data Eases in the Twelve Months to January
Today’s PCE data—a preferred measure for the Fed and one of the primary indicators they use to set monetary policy—was in line with economists' estimates across the board. Interestingly, though, for the year-over-year measures for January, both headline and core supported the disinflationary process, easing to 2.4%...
Boosted on the back of record net inflows for spot Bitcoin Exchange-Traded Funds (ETFs) and driven by the anticipation of the upcoming Bitcoin halving, week-to-date has seen BTC/USD advance +24.0% (its largest one-week gain since 2021).
What’s technically interesting about the major crypto pairing, however, is that the all-time high (ATH) of $68,986 is now within...
Active Daily Support
As can be seen from the daily chart of the AUD/NZD, the trend is evidently clear: it is to the downside: a series of lower lows and lower highs. However, we are at support from NZ$1.0587, a level delivering history as far back as early 2023. While buyers did step in from here in early February 2024, resistance from NZ$1.0673 proved to be...
Technically speaking, price action on the EUR/GBP cross has been rangebound since late 2016, which is evident on the monthly chart.
However, what this ranging action has offered technical eyes is a potential Head and Shoulder’s Top pattern to work with between £0.9306, £0.9504 and £0.9066 (if you wanted to be more technical, you might also refer to this as a...
Goldman Sachs Forecast Higher Prices for Gold
The latest research out of Goldman Sachs forecasts that the price of gold will climb by 6.0% to $2,175 a troy ounce in the next 12 months. Among other factors, the research evidenced demand through central bank purchases and global geopolitical tensions. However, the authors also suggested that price action is likely...
USD/JPY at Familiar Long-Term Resistance
The US dollar (USD) ended a second week in positive terrain against the Japanese yen (JPY), leading the USD/JPY currency pair back to familiar resistance on the monthly chart at ¥150.80. However, things are not looking too bright for USD/JPY bears at this point. On the one hand, the trend is notably in favour of buyers,...
The only way is up!
No, this is not that old favourite from the late 90s.
I am talking about major US cash equity indices.
Global Risk-On Surge
US equities gapped higher at the open on Thursday, strengthened by the blowout earnings for Q4 revenue from NVIDIA (NVDA) that encouraged a global bid across risk assets. The stock is now up by an eye-popping 15% on...
