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.

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
EUR/USD
Mixed
Oil - US Crude
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
Wall Street
Bearish
Gold
Mixed
GBP/USD
Bearish
USD/JPY
Mixed
More View more
Real Time News
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 96.85%, while traders in EUR/USD are at opposite extremes with 73.88%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/WcrSuBTyRr
  • Commodities Update: As of 07:00, these are your best and worst performers based on the London trading schedule: Gold: -0.16% Silver: -1.72% Oil - US Crude: -3.19% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/aGwj1SwyRm
  • Forex Update: As of 07:00, these are your best and worst performers based on the London trading schedule: 🇨🇭CHF: -0.15% 🇳🇿NZD: -0.15% 🇯🇵JPY: -0.24% 🇬🇧GBP: -0.33% 🇨🇦CAD: -0.35% 🇦🇺AUD: -0.42% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/x0PR3hSLqt
  • #CrudeOil plunging over 2.3% as Libya lifts force majeure on oil exports from El Feel oilfield A push back to support at the September low (36.15) looks likely if price can overcome the psychologically imposing $38 mark #OOTT https://t.co/gMxgs2qPTR
  • Indices Update: As of 07:00, these are your best and worst performers based on the London trading schedule: FTSE 100: -0.57% Wall Street: -0.90% US 500: -0.91% France 40: -0.98% Germany 30: -1.49% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/MtIrqoITpz
  • #Euro Outlook: Covid-19 Second Wave to Weigh on $EURJPY, $EURUSD - https://www.dailyfx.com/forex/fundamental/daily_briefing/session_briefing/euro_open/2020/10/26/Euro-Outlook-Covid-19-Second-Wave-to-Weigh-on-EURJPY-EURUSD-.html?CHID=9&QPID=917708&utm_source=Twitter&utm_medium=Moss&utm_campaign=twr https://t.co/zLU4HOLcHE
  • Commodity currencies underperformed after House Speaker Nancy Pelosi and White House Chief of Staff Mark Meadows accused each other of "moving the goalposts" on stimulus legislation on Sunday - Bloomberg AUD/USD -0.35% CAD/USD - 0.29% NOK/USD - 0.45%
  • Technical indicators are chart analysis tools that can help traders better understand and act on price movement. Learn more about the importance of technical analysis here: https://t.co/NpC1D8y4Aa https://t.co/PkokcJCGxp
  • Some massive surges in Covid-19 cases worldwide: The US (+78,702 on Oct 24) France (+ 52,013 on Oct 25) Spain (+ 19,851 on Oct 23) UK (+ 19,790 on Oct 25) Germany (+ 11,176 on Oct 24) A virus resurgence dampened sentiment, weighing on equities, oil and growth-linked currencies.
  • Market Update Risk-off tilt persisting throughout APAC trade $USD gaining against all its major counterparts, with the cyclically-sensitive $AUD and $CAD the biggest underperformers #SP500 continuing to grind lower alongside #crudeoil, #gold and Australia's #ASX200
Gold Prices Snap Four Week Losing Streak on Dissapointing CPI

Gold Prices Snap Four Week Losing Streak on Dissapointing CPI

2017-10-14 04:25:00
Michael Boutros, Strategist
Share:
Gold Prices Snap Four Week Losing Streak on Dissapointing CPI

Fundamental Forecast for Gold:Neutral

Gold prices snapped a four-week losing streak with the precious metal up nearly 2% to trade at 1301 ahead of the New York close on Friday. The advance comes alongside continued strength in broader equity markets and a heavy with the DXY turning from key technical resistance this week.

Minutes released from the latest FOMC policy meeting highlighted ongoing concerns within the committee that the current subdued inflationary outlook may in fact not be a transitory event. The subsequent release of the U.S. Consumer Price Index (CPI) further emphasized these concerns with both the headline and core rate of price growth missing consensus estimates. With soft inflation continuing to plague the central bank’s exit strategy, gold may continue to benefit as the dollar is likely to remain under pressure.

Heading into next week, traders will be lending a keen ear to slew of central bank rhetoric with FOMC voters William Dudley, Robert Kaplan, Patrick Harker and Fed Chair Janet Yellen slated for remarks. For gold prices, while the broader focus remains constructive, the risk remains for a near-term pullback in price.

New to Trading? Get started with this Free Beginners Guide

Gold Prices Snap Four Week Losing Streak on Dissapointing CPI
  • A summary of IG Client Sentimentshows traders are net-long Gold - the ratio stands at +3.92 (79.7% of traders are long)- bearishreading
  • Long positions are 5.1% lower than yesterday but 7.6% higher from last week
  • Short positions are 0.6% higher than yesterday and 3.1% higher from last week
  • We typically take a contrarian view to crowd sentiment, and the fact traders are net-long suggests Spot Gold prices may continue to fall. However, retail is less net-long than yesterday but more net-long from last week and the combination of current positioning and recent changes gives us a further mixed Spot Gold trading bias from a sentiment standpoint.

Learn how to use Gold sentiment in your trading.Get more information on Sentiment here Free!

Gold Daily

Gold Prices Snap Four Week Losing Streak on Dissapointing CPI

Gold rebounded off the 61.8% retracement of the July advance at 1263 earlier this month with the subsequent rally pushing through resistance at 1295/98 into the close of the week. A close above this level keeps the focus weighted to the topside with topside targets eyed at 1320 backed by the yearly high-day close at 1346. Note that price have now posted 6-days of consecutive advances and leaves gold vulnerable for some sort of exhaustion pullback before continuing higher.

Join Michael for his bi-weekly Live Webinar on the Foundations of Technical Analysis- Register for Free Here!

Gold 240min

Gold Prices Snap Four Week Losing Streak on Dissapointing CPIGold Prices Snap Four Week Losing Streak on Dissapointing CPI

A closer look at price action highlights a breach of the descending channel we’ve been tracking since last month with a newly formed ascending slope formation continuing to guide the advance. Look for initial support along the median-line / 1290 with near-term bullish invalidation raised to 1279/81.

A breach above channel resistance targets initial objectives at 1309 backed by 1320. Bottom line: from at trading standpoint I would be looking for weakness early next week to offer favorable long entries while above 1279.

What are the traits of a Successful Trader? Find out with our Free eBook!

---Written by Michael Boutros, Currency Strategist with DailyFX

Follow Michaelon Twitter @MBForex contact him at mboutros@dailyfx.com or Click Here to be added to his email distribution list.

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

DISCLOSURES