Market Analysis
GOLD
Gold prices continue their bullish momentum, as predicted, with a significant rise to $3,000/oz. The MACD confirms the upward movement with increased volume, while the RSI nears overbought levels, indicating potential for a retracement before further gains.
The market is being fueled by geopolitical tensions, including the ongoing conflict in Yemen and Ukraine, as well as Trump’s trade policies. Geopolitical uncertainty is likely to continue driving gold’s bullish trend.
We expect the current bullish movement to continue, although there may be a brief consolidation phase before the next leg up.
SILVER
Silver is following gold’s bullish trend, with prices rising alongside gold. The MACD shows increased bullish momentum, and the RSI indicates a steady upward trend, though there is a chance for further consolidation.
Silver’s movement remains tied to gold, and continued bullish momentum is expected, with the potential for breakouts in the coming days as market conditions continue to favor precious metals.
DXY (Dollar Index)
The U.S. dollar remains in a consolidated state, showing mixed signals despite gold’s strength. The RSI indicates overbought conditions, while the MACD is about to cross upward, signaling potential for a short-term rise. However, we expect continued bearish movement in the dollar.
The current market conditions reflect uncertainty regarding the Federal Reserve’s policy. Chairman Powell’s comments on interest rates will likely influence market direction. For now, the outlook remains bearish, with expectations for further selling opportunities in the near term.
GBP/USD
The Pound has shown bullish movement, briefly reaching 1.29966, though the price has since stalled. Bullish structures remain intact, and we continue to see the potential for continued upward movement.
The RSI signals that the pound is oversold, suggesting bullish continuation ahead. While there may be a brief sell-off, we remain optimistic about further gains as economic growth concerns weigh on the U.S. dollar.
AUD/USD
The Australian dollar experienced a significant rise yesterday, bolstered by hawkish signals from the Reserve Bank of Australia (RBA).
RBA Assistant Governor Sarah Hunter emphasized that the February rate cut aimed at easing restrictive policies, while expressing caution about future rate cuts. Additionally, prospects for Chinese economic growth are providing support to the Aussie dollar.
The MACD is rising steadily, and the RSI remains in oversold conditions, indicating that bullish momentum will likely continue in the coming days. We expect further buying opportunities for the Aussie dollar.
NZD/USD
The Kiwi dollar is also benefiting from increased Chinese economic activity and stronger trade ties. The MACD shows consistent bullish momentum, while the RSI is signaling potential for further price movement.
We expect continued bullish movement in the coming days as the Kiwi breaks through the upper zone of its recent consolidation.
EUR/USD
The Euro has seen increased bullish momentum, but it remains just shy of its previous high. Market volume is low, and there are concerns that a lack of volume could hinder further price increases. However, the MACD and RSI indicate potential for continued upward movement.
Despite geopolitical uncertainties, the Euro is likely to continue rising if the U.S. dollar weakens. We remain cautious, as the market may consolidate further before a more decisive move occurs.
USD/JPY
The Japanese yen remains under pressure, as Yen weakness continues to show signs of escalation. Despite a brief breakout above its previous resistance level, the yen has failed to sustain the movement.
The MACD is showing increasing buying, but the RSI is nearing overbought levels, suggesting potential for further selling in the coming days. While price action remains above the EMA200, we anticipate continued bearish movement with the potential for further gains in the near future.
USD/CHF
The Swiss franc is facing increased selling momentum, as prices are failing to break above the EMA200. The MACD and RSI both show bearish momentum, signaling potential for further downside.
We anticipate more selling opportunities for USD/CHF, as the franc continues to respect downward price action.
USD/CAD
The Canadian dollar remains in consolidation, with selling momentum expected to persist. We are awaiting a clear breakout to determine the next direction.
The RSI is reflecting increased bearish momentum, while the MACD shows growing bearish volume, suggesting that further selling opportunities may arise in the coming days.
COT Reports Analysis
- AUD – WEAK (5/5)
- GBP – STRONG (5/5)
- CAD – WEAK (5/5)
- EUR – STRONG (5/5)
- JPY – STRONG (5/5)
- CHF – WEAK (5/5)
- USD – STRONG (4/5)
- NZD – WEAK (5/5)
- GOLD – STRONG (3/5)
- SILVER – STRONG (4/5)
Conclusion
Gold and silver continue to experience strong bullish momentum, supported by geopolitical tensions and economic concerns. The U.S. dollar remains under pressure, with expectations for continued selling as uncertainty around the Federal Reserve’s response persists.
GBP/USD, AUD/USD, and NZD/USD are likely to continue their bullish trends, while EUR/USD faces some challenges in gaining momentum.
Traders should keep an eye on economic data and market movements, as geopolitical risks and market sentiment remain highly influential.
