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Technical Outlook for GBP/USD, EUR/USD, Gold Price & More (Video)

Technical Outlook for GBP/USD, EUR/USD, Gold Price & More (Video)

Paul Robinson, Strategist

GBP/USD is reeling at the moment and has support just above 13000 under assault, while EUR/USD is continuing to coil up for what looks like will be an eventual bearish break. Gold broke a long-term trend-line yesterday and on that is poised for further losses.

Technical Highlights:

  • GBP/USD testing support above 13000
  • EUR/USD wedge building above 11500
  • Gold price broke big support, heading lower

We just released fresh quarterly forecasts, to see our fundamental and technical insights on major markets and currencies, check out the DailyFX Q3 Forecasts.

GBP/USD testing support above 13000

It’s been a rough past couple of days for GBP/USD, cementing another lower-high and possibly lower-low in a sequence which continues to bode poorly for the pair. It is currently trading right around support extending over from October.

A daily close below 13027 will turn support into initial resistance on any attempt to recover, with the 12800-level targeted as next up as support. There is an underside slope to consider for as a spot to look for GBP/USD to bounce from, but not likely to offer enough support to allow for anything other than a minor relief bounce.

Even if cable can recover from here the overall trend structure suggests any strength will be short-loved as long as the sequence of lower-highs/lower-lows remain intact.

GBP/USD Daily Chart (Testing support)

GBP/USD daily chart, testing support

Check out the Q3 British Pound Forecast for a broader fundamental and technical view

EUR/USD wedge building above 11500

While the euro remains generally neither ‘here nor there’, the wedge forming since bottoming in late May points to a continuation-style pattern to eventually take price below the important 11500-threshold. For now, it may continue to fill out the rest of the pattern, but the burden of proof lies on buyers.

(We also took a look at a set-up in EUR/CAD, for full details you can check out this morning's analyst pick.)

EUR/USD Daily Chart (Wedge building…)

EUR/USD daily chart (wedge building...)

Check out the Q3 Euro Forecast for a broader fundamental and technical view

Gold price broke big support, heading lower

This morning, we discussed gold (&silver) in detail, pointing out the importance of breaking the 2015 trend-line/December low. Yesterday’s slice through paves the way for a move towards support down in the vicinity of 1205/1195.

Gold Daily Chart (Targeting 1205/1195)

Gold daily chart, targeting 1205/1195

Check out the Q3 Gold Forecast for a broader fundamental and technical view

Resources for Index & Commodity Traders

Whether you are a new or an experienced trader, DailyFX has 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.

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