The gold play is very tricky, because it is not entirely dependent on this element that if the Fed will increase the rate, the dollar will become stronger and the yellow metal will move lower. The fresh rout in commodity space has increased the overall volatility in the market, which has given a birth to this idea that perhaps, the Fed may delay their rate decision and let the dust settle before they intervene.
Read MoreThe USD/JPY is trading in a side way wedge pattern on a 4 hour time frame. The focus is towards the lower line of this pattern and if we break this line towards the downside, bearish bets could pile up further as this will represent more weakness. We are also trading below the downward trend line and only a break of this towards the upside will create more bullish bias.
Read MoreThe EUR/USD has broken out of its downward wedge pattern on a 4 hour time frame. The price pierced the Bollinger band but now it is back within the Bollinger band and trading near the 20 day moving average. This represents that the volatility which was skewed towards the extreme end has returned to its…
Read MoreFundamental Analysis The precious metal is above the critical level of 1050 and if we do see a strong reading of the US NFP on Friday, this level could easily be broken, because this will increase the odds further that the Fed will stay firm on their path of lifting the interest rate. However, do…
Read MoreThe EUR/USD pair is trading in a downward wedge pattern on a 4 hour time frame. The price is trading within the Bollinger band and this shows that the volatility is low for the pair. However, as we move further in this downward wedge pattern, it becomes more narrower and confirms that price has bigger…
Read MoreChina A50 Index is trading below its upward trend line on a 4 hour time frame. The index has pierced the Bollinger band and it shows that the volatility is high and it is trading away from its 20 day moving average. We are also trading below the 100 day (shown in red) and the…
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