DXY will go first to 95 and then 86.Hi, another dollar index DXY chart today.
You can make many predictions about how the world will be in the future, I have all just cycles + structures and charts.
At this point, that opinion may not be in line with those policy statements by world leaders. But we're not here to discuss politics.
Best regards EXCAVO
Dollar
DOLLAR INDEX (DXY): One More Bearish Movement
Dollar Index keeps updating the lows on a daily.
With a strong bearish movement, the price violated a key horizontal support yesterday.
Probabilities are high that the market will continue falling.
Next support - 106.15
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USOIL (WTI) - New uptrend? Based on the technical analysis of West Texas Oil (WTI) on the 4-hour timeframe, we're monitoring a potential bullish setup. If the price successfully breaks above the upper blue box resistance zone around 74.000, we'll maintain patience and wait for a healthy retracement. Once we observe clear confirmation signals during this pullback, such as bullish candlestick patterns or strong momentum indicators, we can look to enter long positions. The anticipated target would be the previous resistance level marked by the red horizontal line at approximately 80.800.
XAUUSD UPDATED VIDEO ANALYSIS XAU/USD Analysis for 21 February 2025
Here’s a detailed breakdown of the factors influencing Gold (XAU/USD) for tomorrow, based on technical and fundamental insights from recent market data and forecasts:
1. Technical Analysis & Key Levels
Resistance Levels:
Immediate resistance at 2,940–2,943 USD (record high observed on 19 February)
A breakout above this zone could target 2,970 USD (next psychological barrier) or even 3,030 USD (Triangle pattern completion)
Support Levels:
Critical support at 2,887–2,906 USD. A drop below this range might trigger a deeper correction toward 2,850 USD
Indicators:
RSI (54.58): Neutral but leaning bullish.
MACD & Williams %R: Buy signals
Stochastic Oscillator: Overbought, suggesting short-term correction risks, though the broader uptrend remains intact
2. Fundamental Drivers
Fed Minutes Impact:
The release of the Federal Reserve’s January meeting minutes (scheduled for 19–20 February) is critical. A hawkish tone (e.g., delays in rate cuts) could strengthen the USD, pressuring Gold. Conversely, dovish hints may fuel bullish momentum
Geopolitical Tensions:
Ongoing US-Russia negotiations over Ukraine and Trump’s renewed tariff threats (e.g., 25%+ tariffs on pharmaceuticals and semiconductors) may sustain safe-haven demand for Gold
Dollar Dynamics:
The inverse correlation between XAU/USD and the USD remains pivotal. A weaker dollar (due to risk-off sentiment or Fed easing expectations) could propel Gold higher
3. Price Action Scenarios
Bullish Case:
A sustained break above 2,943 USD confirms the Triangle pattern breakout, targeting 3,030 USD
Continued safe-haven demand (geopolitical risks, tariffs) and dovish Fed signals may drive prices higher
Bearish Risks:
Failure to hold 2,900 USD support could trigger a correction toward 2,850 USD
Hawkish Fed rhetoric or USD strength (e.g., strong economic data) may cap gains
4. Strategic Takeaways
Entry Points:
Long positions: Consider buying on dips near 2,900–2,877 USD with a stop loss below 2,850 USD
Short-term traders: Target 2,970 USD if resistance at 2,943 USD breaks
Risk Management:
Monitor Fed Minutes and USD volatility. Adjust stop-loss levels dynamically based on news flow
Conclusion
Gold remains in a bullish trend, supported by geopolitical uncertainties and inflation hedging. However, tomorrow’s Fed Minutes will be pivotal in determining short-term momentum. A breakout above 2,943 USD opens the door to new highs, while a breakdown below 2,900 USD signals profit-taking or a deeper correction. Traders should align positions with technical levels and news-driven volatility.
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GOLD Set to make new Highs before the week ClosesI was looking for a bigger pullback but we didnt get it. The way price is moving and based on the FOMC news I think the pull back is over and price is ready to continue bullish. We just came into the killzone and things look like they are lining up. Trailing stop along the way.
Gold Breaks Out of Triangle Pattern: Targeting $2,970–$2,980This chart shows a breakout from a triangle pattern on the 1-hour timeframe for gold (XAU/USD). The breakout has occurred above the resistance of the triangle, indicating potential bullish momentum.
- Resistance Zone: The previous resistance level was around 2,936–2,940, which was tested multiple times before the breakout. Now, this level may act as new support.
- Target: The projected target for this breakout is near 2,970–2,980, aligning with the height of the triangle pattern.
A successful retest of the breakout level could confirm further bullish movement toward the target zone.
XAUUSD ANALYSIS FOR THE WEEKXAU/USD (Gold vs. US Dollar) Analysis: February 17 – Febrauary 25, 2025
This analysis provides an in-depth evaluation of gold’s potential trajectory over the specified period, integrating fundamental drivers, technical indicators, and expert forecasts. Key factors influencing gold include geopolitical risks, monetary policy shifts, inflation trends, and technical patterns.
1. Fundamental Drivers
A. Geopolitical and Economic Uncertainty
Trade Tensions: The U.S. administration’s recent tariffs (e.g., 25% on Mexican and Canadian imports, 10% on Chinese goods) have amplified global trade risks, increasing demand for gold as a safe-haven asset.
Middle East and China Risks: Escalating geopolitical tensions in the Middle East and a slowdown in China’s economy (evidenced by a decline in the Caixin PMI) are further driving investors toward gold.
B. Monetary Policy and Inflation
Fed Rate Cuts: Expectations of two Federal Reserve rate cuts in 2025 and dovish stances from the ECB and BoE are weakening fiat currencies, boosting gold prices.
Inflation Hedge: Persistent inflation, driven by tariffs and supply-chain disruptions, enhances gold’s appeal. Analysts caution that U.S. inflation could exceed targets, forcing the Fed to reverse rate cuts, which may temporarily support the USD but ultimately favor gold.
C. Central Bank Demand
Central banks, notably China’s PBOC, are accumulating gold reserves to diversify away from the USD, creating structural demand.
2. Technical Analysis
A. Short-Term Signals (February–March)
Momentum Indicators: The RSI (26.05) and Stochastic Oscillator (14.5) signal oversold conditions, suggesting a potential rebound.
Key Levels:
Support: $2,830 (February 10 analysis) and $2,720 (ascending channel lower boundary).
Resistance: $2,887 (immediate target) and $2,900 (psychological barrier).
2. Key Technical Levels
Support Levels:
Immediate Support: $2,880 – This level aligns with the 23.6% Fibonacci retracement from the recent rally.
Critical Support: $2,850 – Represents the lower boundary of the ascending channel formed since late 2024.
Resistance Levels:
Immediate Resistance: $2,920 – A breach could trigger bullish momentum toward higher targets.
Key Resistance: $2,959 – The upper boundary of the channel and a major psychological level.
3. Momentum Indicators
Relative Strength Index (RSI): Currently at 62, indicating bullish momentum but approaching overbought territory.
Moving Averages (MA):
50-Day MA: Positioned at $2,910, offering dynamic support.
200-Day MA: Located at $2,780, signaling long-term strength.
Stochastic Oscillator: Signals potential upside as it exits oversold conditions on the 4-hour chart.
4. Chart Patterns and Trends
Ascending Channel: Gold continues to trade within an ascending channel, maintaining a bullish structure.
Bullish Flag Formation: On the daily chart, a bullish flag suggests a potential breakout if prices sustain above $2,920.
Candlestick Signals: Last Friday’s bullish engulfing pattern highlights strong buying interest.
5. Scenarios for the Week
Bullish Scenario:
A breakout above $2,920 could target $2,965 and $3,000.
Momentum indicators support further upside if geopolitical tensions persist.
Bearish Scenario:
A failure to hold $2,880 may lead to a decline toward $2,850.
Profit-taking or USD strength could pressure gold, particularly if U.S. economic data surprises positively.
Bullish Targets/ Resistance
2890
2906
2928
2934
2959
2972
2987
3023
Bearish/Support
2872
2857
2841
2807
2781
Fundamental Market Analysis for February 19, 2025 EURUSDU.S. President Donald Trump said late Tuesday that he would likely impose tariffs on imports of cars, semiconductors and pharmaceuticals of about 25%, with an announcement to follow as early as 2 April.
Ukrainian President Volodymyr Zelensky said a peace deal could not yet be concluded. He postponed his visit to Saudi Arabia, scheduled for Wednesday, until 10 March to avoid giving ‘legitimacy’ to the US-Russia talks. This uncertainty could lift the US dollar and serve as a tailwind for the pair.
Investors are awaiting the release of the minutes of the January FOMC meeting, which are due to be released later on Wednesday. This report could provide some clues as to how policymakers assess the risk of a global trade war.
On the other side of the pond, the ZEW Eurozone Economic Sentiment Index came in at 24.2 in February versus 18.0 previously, missing expectations. Rising bets that the European Central Bank (ECB) will cut interest rates three more times this year could put pressure on the Euro (EUR).
Trade recommendation: SELL 1.0450, SL 1.0500, TP 1.0350
EUR/USD at a Crossroads: Will Trade Tensions Push It Lower? EUR/USD has been struggling to maintain momentum above the 1.0500 mark, facing renewed selling pressure as macroeconomic and geopolitical factors influence sentiment. With the US Dollar regaining strength and concerns about European economic stagnation growing, the pair remains vulnerable to further downside.
Technical Analysis:
Resistance Levels: 1.0532 (January 27 high), 1.0629 (December peak), 1.0744 (200-day SMA).
Support Levels: 1.0405 (55-day SMA), 1.0282 (February 10 low), 1.0209 (February 3 low), and 1.0176 (January 13 YTD low).
Indicators: The Relative Strength Index (RSI) is near 55, indicating modest momentum, while the Average Directional Index (ADX) remains around 15, suggesting a weakening trend.
Moving Averages: The 200-day SMA at 1.0744 serves as a key dynamic resistance, while the 55-day SMA at 1.0405 acts as interim support.
Fundamental Analysis:
Several key fundamental factors are exerting downward pressure on EUR/USD:
Trade Policy Uncertainty: While US tariff tensions have temporarily eased, lingering trade disputes, including a 10% duty on Chinese imports and potential EU-targeted tariffs, keep investors cautious.
Diverging Central Bank Policies: The Federal Reserve remains firm on keeping interest rates elevated, while the European Central Bank has begun rate cuts, signaling weaker economic confidence in the Eurozone.
Economic Growth Divergence: The US economy continues to show resilience with robust labor markets and stable inflation, while the Eurozone faces stagnation and potential contraction, particularly in Germany.
European Political Risks: Uncertainty in Germany and wider Eurozone economic struggles add to the Euro’s bearish outlook, making it less attractive compared to the US Dollar.
The EUR/USD pair is at a critical juncture, with key support levels in focus. Trade policies, central bank divergence, and economic growth disparities continue to drive market sentiment. This week is pivotal for the Eurozone, with key economic data releases culminating in Friday’s PMI figures, which could determine the pair’s next major move. Traders should remain cautious and closely monitor both technical and fundamental developments.
Note: Please remember to adjust this trade idea according to your individual trading conditions, including position size, broker-specific price variations, and any relevant external factors. Every trader’s situation is unique, so it’s crucial to tailor your approach to your own risk tolerance and market environment.
USDJPY - Retesting the lowThe USD/JPY currency pair has shown a significant downward trend since mid-January 2025, falling from peaks around 158.50 to current levels near 151.77. The price action has been characterized by a series of lower highs and lower lows, with notable resistance forming around the 156.00 level during late January and early February.
The technical analysis suggests further bearish momentum, with a red arrow indicating a potential continuation of the downward movement toward the 150.89 support level. This bearish outlook is reinforced by the pair's inability to maintain gains above 155.00 in recent trading sessions, and the current price structure shows limited signs of reversal potential in the near term.
Silver Faces Resistance After Recent RallySilver remained above $32 per ounce on Sunday after recent volatility, supported by a weaker dollar on soft US economic data and easing global trade war concerns.
On Friday, silver hit a three-month high, driven by strong industrial demand, particularly in electrification and manufacturing. Reports showed China added 357 gigawatts of solar and wind power in 2024, boosting industrial silver use. Meanwhile, India’s Oil and Natural Gas Corp pledged INR 1 trillion for renewable energy, and Indonesia aims to add 17 gigawatts of solar capacity.
Key resistance is at 33.15, with further levels at 33.80 and 34.50. Support stands at 31.40, followed by 30.90 and 30.20.
Gold Extends Gains as Trade War Fears MountGold climbed above $2,900 per ounce, extending its gains for a second day as fears of a global trade war fueled demand. Concerns over President Donald Trump’s proposed reciprocal tariffs added to market uncertainty, increasing gold’s appeal. However, hawkish Fed comments capped further gains.
Fed Governor Michelle Bowman reiterated caution on rate cuts due to inflation risks, while Governor Christopher Waller suggested delaying reductions until inflation eases. Investors now await Wednesday’s Fed meeting minutes for more policy insights. Meanwhile, geopolitical tensions persist as markets watch for updates on a potential Russia-Ukraine ceasefire.
Key resistance levels are at $2,949, $2,975, and $3,000. Support is at $2,880, with further levels at $2,830 and $2,760.
GBP/USD Rises on Strong UK GDPGBP/USD climbed to 1.2595 in early Asian trading on Sunday, driven by strong UK GDP data and weaker US retail sales. January retail sales dropped 0.9%, the steepest decline in nearly two years, after a revised 0.7% rise in December, far below the expected 0.1% dip. However, year-over-year sales grew by 4.2%. Meanwhile, the UK economy expanded by 0.1% in Q4 2024, beating forecasts and strengthening the Pound.
Key resistance is at 1.2600, with further levels at 1.2650 and 1.2700. Support stands at 1.2340, followed by 1.2265 and 1.2100.
Fed Talk Lifts Dollar, EUR/USD Under PressureEUR/USD hovers around 1.0455, while the dollar index rebounded to 107 on Tuesday, snapping a three-day losing streak. The recovery followed remarks from Federal Reserve officials signaling a pause in rate cuts to focus on inflation control. Fed Governor Christopher Waller suggested holding off on cuts unless inflation trends match 2024 levels, while Governor Michelle Bowman stressed the need for more evidence before easing policy. Philadelphia Fed President Patrick Harker also supported maintaining current rates amid economic strength.
Markets now await this week’s FOMC minutes for further rate guidance. Last week, the dollar weakened due to mixed US economic data and reduced tariff concerns. Treasury Secretary Scott Bessent noted that currency manipulation is now a key factor in trade strategy.
Technically, resistance stands at 1.0515, with further barriers at 1.0600 and 1.0650. Support lies at 1.0350, followed by 1.0275 and 1.0220.
Yen Dips After Strong Japan GDP DataThe Japanese yen slipped to around 151.8 per dollar, reversing a three-day rally as the dollar gained strength after Fed officials signaled reluctance to cut rates due to inflation concerns.
Japan’s Q4 GDP grew 0.7% quarter-on-quarter, up from 0.4% and beating the 0.3% forecast. On an annual basis, GDP rose 2.8%, aligning with expectations and improving from 1.7% in Q3. These figures support a more hawkish outlook for the Bank of Japan, though uncertainty remains over a potential rate hike in March, with further increases expected later this year.
Technically, resistance is at 154.90, with further levels at 156.00 and 157.00. Support stands at 151.25, followed by 149.20 and 147.10.
EURUSD - what to expect?Here is our in-depth view and update on EURUSD . Potential opportunities and what to look out for. This is a long-term overview on the pair sharing possible entries and important Key Levels .
Alright first, let’s take a step back and take a look at EURUSD from a bigger perspective. For this we will be looking at the H4 time-frame and following our original analysis posted on February 4th (check image below).
Now after we broke to the upside we are waiting to make a pullback on the pair (based on the H4 time-frame). As of now we are sitting on our hands and patiently waiting on the pullback to happen or possible reverses and join the uptrend. TVC:EXY has seen some strength last week regardless of the positive data for the TVC:DXY which gave back gains after U.S. President Donald Trump said in a social media post that he had spoken with Russian President Vladamir Putin about starting negotiations to end the war in Ukraine. This still holds positive weight on the EUR overall. Considering this, we can pre-plan some possible outcomes including both fundamental analysis and technical analysis.
Scenario 1: BUYS at the break the highs (1.05140)
- We broke above 1.05140.
With the break of this level we can expect a possible move towards the upside without even creating a deeper pullback. The technical analysis and fundamentals would be on our side.
Scenario 2: BUYS at the pullback (1.04360)
- We came down to our PBA (Pullback Area) at around 1.04360.
With the pullback completed and the price respecting this area, we could potentially see more upside on this pair from this KL (Key Level). Long-term buys at this price would be valid. Again technical and fundamentals analysis would both be on our side.
KEY NOTES
- EXY (EUR) showing strength after last week’s positive “news”.
- Breaks to the upside would confirm higher highs.
- Respecting our PBA (Pullback Area - 1.04360 would give us a buy opportunity.
- Possible resolutions between Ukraine and Russia.
Happy trading!
FxPocket