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
Wall Street
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
GBP/USD
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
  • A stellar retail sales report takes the USD to fresh session highs and raises the probability of a more hawkish Fed at next week’s meeting. Get your market update from @JMcQueenFX here:https://t.co/upf3QgIuty https://t.co/SZaPbW5W4r
  • WTI Crude rebounds from intraday slide, turns positive for the session $CL_F #WTI #Oil https://t.co/XYgiTfcX27
  • #Oil Price Outlook: #Crude Breakout Eyes August Highs- $WTI Technicals - $USOil - https://t.co/i8YnZeqEx8 https://t.co/Yu5ySZ1cQb
  • While Gold's -2% slide is turning heads, Silver is taking an even more significant -4% hit - its biggest drop in three months. That said, 22.50 is not a support level to be taken lightly for $XAGUSD https://t.co/ZXbGJElXf6
  • RT @BrendanFaganFx: 74 counterparties take $1.147 trillion at Fed's fixed-rate reverse repo $USD $DXY https://t.co/9ouJNl8oYL
  • AUD/USD attempting to retrace some of its losses following this morning's US retail sales print $AUDUSD https://t.co/yWFEeszHtP
  • The US Dollar has spiked up to a fresh September high this morning on the back of a really strong retail sales report out of the US. Get your market update from @JStanleyFX here:https://t.co/Ve6TuQrMSS https://t.co/qx8BjQdn2Z
  • US Dollar Price Action Setups: EUR/USD, GBP/USD, AUD/USD https://www.dailyfx.com/forex/fundamental/daily_briefing/session_briefing/daily_fundamentals/2021/09/16/US-Dollar-Price-Action-Setups-EUR-USD-EURUSD-GBP-USD-GBPUSD-AUD-USD-AUDUSD.html https://t.co/w262MKMg5c
  • Goldman Sachs upgrades Q3 GDP forecast to 4.5% from 3.5%
  • I will note that despite AMC announcing they would soon be accepting additional cryptocurrencies (including Litecoin) for purchases, $LTCUSD didn't even exhibit a fraction of its response to the fake Walmart news. Market learning its lesson or AMC seen as irrelevant? #Kodakmoment
Gold & Silver Price Analysis – FOMC-Spurred Key-reversals Weaken Backdrop

Gold & Silver Price Analysis – FOMC-Spurred Key-reversals Weaken Backdrop

Paul Robinson, Strategist

Gold/Silver Technical Highlights:

  • Gold posts key-reversal, watch channel support
  • Silver key-reversal comes at wall of resistance

For forecasts, trade ideas, and educational guides for all levels of experience, see the DailyFX Trading Guides page.

Gold posts key-reversal, watch channel support

Yesterday, the more hawkish than expected outcome from the FOMC meeting caused a reversal in gold after it traded to its best levels since July. While the high of the day was above the 200-day the close was not, making the moving average a hurdle to cross.

There is a solid bullish channel in place since November and so despite the key-reversal showing force there is still a positive tone in gold. A break below the lower parallel will quickly change that and have the trend-line (lower parallel of a large bear-flag) from August in view.

This would be a very important threshold to hold if the trend off the August low is to maintain, otherwise another big leg lower could kick off. For now, caution is warranted given yesterday’s forceful turnabout, but so long as the Nov-curent channel is maintained there isn’t reason yet to turn aggressively bearish.

On the top-side, should we see a close above the high yesterday at 1258, then the upper parallel from November and summer time will come into play as resistance.

Gold traders are collectively holding a large long position, check out IG Client Sentiment for details as to how this may be a headwind for the precious metal.

Gold Daily Chart (Key-reversal, but still has channel support)

gold daily chart, key-reversal, but stil has channel support

Silver key-reversal comes at wall of resistance

The key-reversal in silver came at a level of resistance that has been tested numerous times since October. As long as the precious metal stays below 14.91 the burden of proof is on bulls to be able to push it through.

A turn lower will have the lower parallel from November in focus as support, and if that were to fail to hold then a return to the low-end of the September to current range would likely be in store, or worse.

Silver Daily Chart (Key-reversal at resistance)

Silver daily chart, key-reversal at resistance

Resources for Forex & CFD Traders

Whether you are a new or experienced trader, we have several resources available to help you; indicator for tracking trader sentiment, quarterly trading forecasts, analytical and educational webinars held daily, trading guides to help you improve trading performance, and one specifically for those who are new to forex.

---Written by Paul Robinson, Market Analyst

You can follow Paul on Twitter at @PaulRobinsonFX

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

DISCLOSURES