We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

Free Trading Guides
EUR/USD
Bearish
Oil - US Crude
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Wall Street
Bullish
Gold
Bearish
GBP/USD
Mixed
USD/JPY
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
More View more
Real Time News
  • The risk rally continued in a big way this week and #Euro bulls have remained in-charge against the US Dollar and Japanese #Yen. Get your market update from @JStanleyFX here: https://t.co/o7vPmczvMJ https://t.co/GX2YTXz83u
  • The price of #gold may continue to exhibit a bullish behavior in June as the pullback from the yearly high ($1765) reverses ahead of the May low ($1670). Get your Gold market update from @DavidJSong here: https://t.co/OeaYtCpcIo https://t.co/UQVPIVCTCP
  • The $USD breakdown has taken the index into confluence support at the objective yearly open. Get your USD technical analysis from @MBForex here: https://t.co/A16XEv6n4d https://t.co/GzEp3gCAe5
  • US equities continue to run higher with the Nasdaq 100 setting a fresh all-time-high, not even three months after giving back almost a third of its value in about a month. Get your #Nasdaq technical analysis from @JStanleyFX here: https://t.co/1LI54uvI8x https://t.co/e9FvSLqfaA
  • The US Dollar may be at risk to losses against some of its #ASEAN counterparts. USD/SGD, USD/PHP, USD/MYR and USD/IDR have recently broken to the downside. Will losses continue? Find out from @ddubrovskyFX here: https://t.co/0RTlj6maTT https://t.co/UyQ4i0AihI
  • The British Pound technical outlook still seems to favor the downside. GBP/CAD may pressure key rising support from August as GBP/AUD could prolong its downtrend. GBP/CHF may fall. Get your $GBP market update from @ddubrovskyFX here: https://t.co/hBOpDKXmfW https://t.co/AJlT2YKeCu
  • USD/JPY is approaching medium-term uptrend resistance and while the outlook remains constructive, the advance may be vulnerable near-term while below confluence resistance. Get your $USDJPY technical analysis from @MBForex here: https://t.co/93D7AyhHtG https://t.co/KQcLLrkMP3
  • AUD/USD has had the most impressive show of trend over the past couple of months with the pair gaining almost 1500 pips from the March low. Get your $AUDUSD technical analysis from @JStanleyFX here: https://t.co/vLz4Rpln3u https://t.co/AOwnJja5V8
  • Has the #Euro been saved? Find out from @CVecchioFX here: https://t.co/eiXfOTyGa6 https://t.co/AyRiYpb4cN
  • U.S. Market Analyst at https://t.co/JsVsSmefgR, Shain Vernier covers - ✔️ Safe haven assets in volatile markets ✔️ Central banks and governments ✔️ How will commodities trade in a recession Only on Trading Global Markets Decoded #podcast. Tune in here: https://t.co/1UmEzEbwiy https://t.co/ygwjGNvS61
Oil Vulnerable to Supply Prospect, Gold Retreats amid Risk Buying

Oil Vulnerable to Supply Prospect, Gold Retreats amid Risk Buying

2016-01-15 04:28:00
Nathalie Huynh,
Share:

Talking Points:

  • Gold fluctuated with risk-on /off flows, though long term pressure eased
  • Oil recovery is vulnerable to news of abundant supply from Iran, Russia
  • Copper holds up together with metals and stocks

Oil price traded muted ahead of the weekend after three sideways sessions. WTI garnered buying interest for most the New York session and volatility surprisingly reduced before contract expiry next week. Oil has picked up on a recede of growth worries, while there is still no relief on supply side. Sanction to Iran is expected to be lifted anytime now. Russian energy minister reinstated that there is no plan to cut production.

Gold price dropped below 1080 today despite Fedspeak on slowing inflation that might affect rate rises. Bullard worried that inflation expectations have changed in the face of low oil prices. Gold price is currently driven by risk-on / risk-off flows rather than the tightening cycle. Outside the US, easing bias is still prevalent. Bank of Canada is widely expected to cut rate next week whereas Bank of England may not raise rate until 2017.

Projected US Treasury rates shifted higher in the short term in comparison with 2 months ago. However for periods further than 3 years they are lower than expectation back then. The same applies to comparison with projection 8 months ago, for periods longer than 7 years. This flatter for longer expected trajectory of US rates will likely render less pressure on gold.

Oil Vulnerable to Supply Prospect, Gold Retreats amid Risk Buying

Copper price holds up amid buying interests in commodities and regional shares, while bond and safe havens retreat. Consolidation continued among miners like Glencore, and together with production cuts they highlight hope for a better-managed world supply.

GOLD TECHNICAL ANALYSIS – The series of lower moves in gold price is not yet completed. Downward momentum stays resilient while gold trades below 20-day moving average for half of the day. A clean break below this MA would open up leeway toward late December- early January low of 1058.36. There is little upside potential before weekend.

Oil Vulnerable to Supply Prospect, Gold Retreats amid Risk Buying

Daily Chart - Created Using FXCM Marketscope

COPPER TECHNICAL ANALYSIS – Copper price holds up in an apparent recovery, if short-term. Momentum signals have picked up after our persistent wait. On the upside, a test of firm resistance level at 2.0020 would be a good sign for higher extensions. 10-day moving average caps tightly above that at 2.014.

Oil Vulnerable to Supply Prospect, Gold Retreats amid Risk Buying

Daily Chart - Created Using FXCM Marketscope

CRUDE OIL TECHNICAL ANALYSIS WTI oil ticked up from 29.93 multi-year low for a second day. Momentum is poised to turn up after a period in oversold territory. All these point to positive prospect for oil price, although the bulls need stay cautious of a renewed flight or test of support.

Oil Vulnerable to Supply Prospect, Gold Retreats amid Risk Buying

Daily Chart - Created Using FXCM Marketscope

--- Written by Nathalie Huynh, Currency Strategist for DailyFX.com

Contact and follow Nathalie on Twitter: @nathuynh

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES

News & Analysis at your fingertips.