During the Asian session on Wednesday, the USD/CAD pair rebounded after two days of losses, reaching around 1.3590. This uptick is fueled by a stronger US dollar and lower crude oil prices, which put pressure on the Canadian dollar. The decline in Western Texas Intermediate (WTI) oil prices to approximately $80.70 is attributed to...
XAUUSD: Markets Slow Down Ahead of NFP
2024-03-25 • Updated
Gold prices rose on Monday as the US Dollar weakened amidst speculation about potential Federal Reserve rate cuts starting in June. This weakened Dollar was partly due to improved risk sentiment pushing US Treasury yields lower. Despite facing challenges from declining yields, gold prices recovered to nearly $2,170 per troy ounce, driven by the Dollar's weakness. Federal Reserve Chair Jerome Powell's remarks suggested that unexpected rises in unemployment could prompt interest rate cuts, reassuring markets concerned about inflation. Traders are closely monitoring upcoming US inflation readings, including GDP data for Q4 2023 and the PCE price index report, for insights into inflationary pressures and potential impacts on gold prices.
XAUUSD - D1 Timeframe
On the daily timeframe of XAUUSD, we can clearly see that the structure has been broken, with price shooting clear of the previous high. In spite of this, I believe the current price action is gradually slowing down in a search for a crucial pivot zone from which the bullish pressure can resume..
XAUUSD - H4 Timeframe
On the 4-hour timeframe, I believe price intends to make a run for the trendline support as well as the demand zone underneath it. The presence of the 100-period moving average also confirms the possibility of price to run towards the point-of-interest. I hope to see the imbalance (Fair Value Gap) get filled before the bullish price action resumes.
Analyst’s Expectations:
Direction: Bearish
Target: $2,158.77
Invalidation: $2,181.53
CONCLUSION
The trading of CFDs comes at a risk. Thus, to succeed, you have to manage risks properly. To avoid costly mistakes while you look to trade these opportunities, be sure to do your due diligence and manage your risk appropriately.
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Jerome H. Powell, the Federal Reserve chair, stated that the central bank can afford to be patient in deciding when to cut interest rates, citing easing inflation and stable economic growth. Powell emphasized the Fed's independence from political influences, particularly relevant as the election season nears. The Fed had raised interest rates to 5.3 ...
Hello again my friends, it’s time for another episode of “What to Trade,” this time, for the month of April. As usual, I present to you some of my most anticipated trade ideas for the month of April, according to my technical analysis style. I therefore encourage you to do your due diligence, as always, and manage your risks appropriately.
Bearish scenario: Sell below 1.0820 / 1.0841... Bullish scenario: Buy above 1.0827...