Last week I gave a trade idea on XAUUSD with a target around the $2,020 price line. At the time of writing, XAUUSD already exceeded the target and I’m sure that would leave a lot of people wondering what to expect next. Below, I have presented my view of how I expect the price action to turn out in the meantime.
EUR/USD: is it the time to touch 1.20?
2020-11-26 • Updated
Ichimoku Kinko Hyo
USD/JPY: The pair is trading below the cloud. A downward pressure would lead the pair to exit further the cloud, confirming a bearish outlook.
XAG/USD: Silver in the daily chart shows a significant weakness and bears still hold price below the key retracement resistance area of 23.6%.
EU Market View
Asian shares advanced on Thursday as market euphoria over COVID-19 vaccines and expectations a Biden administration would deliver more economic stimulus and political predictability overrode a slate of weak US economic data. In the currency market, the US dollar stayed under pressure as riskier currencies benefited from the increased optimism. In commodities, oil prices rose for a fifth day as a surprise drop in US crude inventories added to the positive mood stemming from hopes of demand recovery. Looking ahead, highlights from the macroeconomic announcement include the Riksbank policy announcement, ECB minutes, ECB's Lane & Schnabel, US Thanksgiving Holiday.
Minutes from Fed's last policy meeting showed policymakers consider giving markets a better steer on how long they will continue to buy bonds to support an economy under siege from new coronavirus infections.
EU Key Point
- Germany December GfK consumer confidence -6.7 vs -4.9 expected
- Germany reports 22 268 new coronavirus cases in the latest update today
- Italian top official calls for ECB to consider canceling the pandemic debt
- China Securities Journal says some stimulus exit very likely, but no rate hike soon
- China state media warn Biden of tensions and turbulence re Taiwan clarity
- South Korea daily confirmed coronavirus cases today above 500, for the first time since March
Last Tuesday, the Australian dollar experienced its steepest drop of the year, falling by 1.18%, following higher-than-expected US inflation figures, which boosted the US dollar. However, the Aussie has since rebounded and is now trading at a two-week high against the US dollar. Investors are...
Commerzbank's analysis suggests a brighter outlook for the New Zealand Dollar (NZD) in the coming months despite recent downward pressure. Factors like broader U.S. Dollar strength and domestic issues have kept the NZD below last year's highs. However, robust labor markets in both New Zealand and Australia and an expected...
On Friday, the gold price (XAUUSD) retreated from a recent two-week high, facing selling pressure. This decline was driven by hawkish minutes from the FOMC meeting, indicating the Fed's reluctance to cut interest rates. Elevated US Treasury bond yields, supported by a "higher-for-longer" narrative, further weakened demand for gold...
Bearish Scenario: Selling below 22.65 with TP1: 22.34 (intraday) and TP2: 22.02 (swing). Bullish Scenario: Buying above 22.70 with TP1: 22.90.
Intraday and swing scenarios based on price action and volume profile.