The Euro saw weak trading during Thursday’s session after attempts to advance the past couple of days, taking advantage of the weakness of the USD. However, yesterday’s consolidation of the US Dollar after the positive US Data pushed the single currency into volatility.
Technical reading shows that the pair is trying to absorb the recent selling pressure to the pair. With no clear signals to reverse the overall bearish trend, the pair managed to break through 1.1788 resistance levels that would allow the market to correct higher and possibly hit the second resistance test at 1.1832 levels. Alternatively, breaking the support level at 1.1745 would invite new sellers to re-enter the market.
The British Pound slumped after yesterday’s low-profile fluctuation against the US Dollar following Brexit developments and Economic Data that followed Yellen’s speech yesterday just before the markets wound down.
A rebound in selling pressures on the pair’s move would reinforce the previous bearish trend. A break below the near support levels at 1.3220 will consolidate the pair and a further test to the 1.3180 levels. A bounce back above 1.3290 resistance would ease the selling pressure temporarily.
The pair has been fluctuating throughout the day especially during the Asian session due to weak volumes, as the financial markets in China and South Korea are absent due to the holiday.
Technical reading shows that prices are trying to catch a breath after the recent strong rally, with no signs of a general upward trend change. A break of support levels at 112.70 would allow prices to fall further and may test 112.52 levels.
At the same time, a breach of near resistance levels at 112.90 will invite buyers to enter the market and possibly test 113.19 levels.
Gold prices are moving sideways today, Thursday, as the Dollar’s appreciation awaits US Jobs Data. The return of the selling pressures once again on the price action would consolidate the previous bearish trend. A break below the support levels near 1270 will consolidate the declines and open the door to test the 1267 levels alone. The return of the price above the resistance level at 1277 would temporarily ease the selling pressure.
The slight declines on WTI prices are expected to halt with hopes of Russia agreeing with OPEC to extend production cuts to the end of the year. On the other hand, the report of the US Energy Agency yesterday showed a decline in Crude Oil Inventories last week by 6 million barrels, from a previous decline of 1.8 million.
Despite recent declines in prices, they still have to break and hold below support at 49.90 and 49.68 levels in order to confirm further decline. A break near resistance levels at 50.10 would affect the recent bearish trend and cause the market to begin a sideways movement.