News & Analysis at your fingertips.

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. See our updated Privacy Policy here.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
EUR/USD
Bullish
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
Oil - US Crude
Bearish
Wall Street
Mixed
Gold
Mixed
GBP/USD
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
USD/JPY
Bullish
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
  • RT @FxWestwater: #Corn had quite the day, with a big limit-down drop after the USDA #WASDE report forecasted higher ending stocks. https://…
  • Japan plans virus emergency in Hokkaido, Hiroshima and Okayama -BBG
  • The Dow Jones and S&P 500 outlook appears bleak in the near term as retail traders increase their upside exposure. At the same time, these indices confirmed bearish technical warning signs. Get your market update from @ddubrovskyFX here:https://t.co/fKCHELbOxo https://t.co/9C6i6IHqCr
  • USD/CHF May Reverse Downtrend if Falling Wedge Plays Out - #USDCHF chart https://t.co/6VXrYbCodi
  • The Euro's technical posture against the US Dollar, Japanese Yen and Australian Dollar shows potential for near-term directional shifts. Here are the EUR/USD, EUR/AUD and EUR/JPY levels to watch. Get your $EUR market update from @FxWestwater here:https://t.co/7rW8FGPBUt https://t.co/Lu6KAC3YzQ
  • #Dogecoin up over 13% as Elon Musk tweets he is working with #Doge devs to improve system transaction efficiency, adding it is 'potentially promising' This is a day after #Tesla suspended Bitcoin payments for vehicle purchases, courtesy of @FxWestwater - https://www.dailyfx.com/forex/fundamental/daily_briefing/daily_pieces/asia_am_briefing/2021/05/12/Bitcoin-BTC-Plunges-on-Tesla-Bitcoin-Suspension-AUDUSD-Spars-USD-Strength.html?CHID=9&QPID=917702&utm_source=Twitter&utm_medium=Dubrovsky&utm_campaign=twr https://t.co/NlPFPbGGSL
  • RT @Yeap_IG: Historical 10-2 #Treasury spread after each recession may suggest further room for upside for 10-year #yield from current leve…
  • 10 out of 11 S&P 500 sectors ended higher, with 88.1% of the index’s constituents closing in the green. Industrials (+1.90%), financials (+1.87%) and utilities (+1.79%) were among the best performers, whereas energy (-1.35%) trailed behind. https://t.co/HUPMnYAEsL
  • US Dollar Outlook: DXY Index Eyes Retail Sales Data, Yields -via @DailyFX Link to Full Analysis: https://www.dailyfx.com/forex/fundamental/us_dollar_index/usd_trading_today/2021/05/13/us-dollar-outlook-dxy-index-eyes-retail-sales-data-yields.html $USD #Forex #Trading https://t.co/10Hb8pYSp1
  • 🇳🇿 Business NZ PMI (APR) Actual: 58.4 Previous: 63.6 https://www.dailyfx.com/economic-calendar#2021-05-13
Gold Sell-off Gets a Reprieve, but Damage is Done- 2011 Low on Tap

Gold Sell-off Gets a Reprieve, but Damage is Done- 2011 Low on Tap

Michael Boutros, Strategist
Gold_Sell-off_Gets_a_Reprieve_but_Damage_is_Done_2011_Low_on_Tap_body_Picture_1.png, Gold Sell-off Gets a Reprieve, but Damage is Done- 2011 Low on Tap

Gold Sell-off Gets a Reprieve, but Damage is Done- 2011 Low on Tap

Fundamental Forecast For Gold: Bearish

The gold sell-off continued early this week with the precious metal plummeting more than 5.8% by the close of trade on Friday. The decline snapped back ahead of key support and although prices closed the week more than $77 off the lows, the technical damage from this month’s sell-off has already been done and although in the near-term the recovery may seem constructive, further losses are expected amid improving US metrics.

Although the Fed’s Beige Book continued to note the persistent slack in the real economy, the survey highlighted a ‘moderate’ recovery with most districts reporting a marked improvement in the real estate market. At the same time, consumer spending ‘grew modestly’ despite the protracted recovery in the labor market, with price pressures ‘generally contained’ amid subdued wage growth. Still, it appears as though the FOMC will continue to operate under its ‘qualitative approach’ to foster a more robust recovery in employment. However, we may see a growing rift within the FOMC regarding the efficacy of QE and the proper normalizing monetary policy as the US economy gets on a more sustainable path.

Looking ahead to next week, traders will be closely eyeing economic data out of the US with existing/new homes sales, durable goods orders, and 1Q GDP print on tap. As the Fed sees a more broad based recovery in the housing market, next week’s prints may play a greater role in driving dollar price action with positive US data continuing to support the dollar rally. Friday’s advanced GDP print for the first quarter will take central focus with consensus estimates calling for a print of 3.1% which would mark the strongest read on US growth since December of 2011. Look for the recent rebound in gold to fizzle amid persistent dollar strength with improving economic data continuing to weigh on expectations for prolonged Fed easing.

The technical significance of this month’s decline cannot be understated and although bullion closed more than 5% off the lows, the damage done to key technical barriers is likely to keep the broader bias weighted on the downside. Our primary objective remains the range between the 2011 lows and the 123.6% Fibonacci extension taken from the decline off the record 2011 highs at $1302-1307. Note that daily RSI closed the week just below the 30-threshold after hitting lows not seen since the 1970s and with that in mind, we leave room for a bit of a bounce here into our resistance targets. Interim resistance stands at the 38.2% retracement taken form the decline off the April 10th high at $1424. Critical resistance stands at the region between the 61.8% retracement and the 78.6% extension at $1481-$1486. Only a breach above this mark on a daily closes basis invalidates the broader downtrend off the October high. -MB

New to FX? Register for this free 20 minute course HERE and learn common FX terms like leverage and how to implement conservative amounts.

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

DISCLOSURES