The recent recovery of the U.S. dollar along with the rally of U.S. equities provided the proper climate to see gold and silver fall down. Moreover, the latest interview given by Bullard gave the necessary excuse to keep the speculations…
Read more →
The post Gold and Silver Forecast for October 27 -31 appeared first on FX FOREX.
The cool down in the U.S. equities and the weakness of the U.S. dollar against the leading currencies have provided the proper environment to slowly bring back up gold and silver. Will this slow recovery last? This week’s U.S. economic…
Read more →
The post Gold and Silver Forecast for October 20 -24 appeared first on FX FOREX.
It seems the market was waiting for an excuse to start selling off the U.S dollar after it had spiked in the recent weeks against the Euro, Yen and Aussie dollar. Last week, the minutes of the FOMC meting provided…
Read more →
The post Gold and Silver Forecast for October 13 -17 appeared first on FX FOREX.
Overview
Since our last analysis, gold has been trading sideways around the price of 1,223.00. Our resistance level at the price of 1,230.00 held successful, which caused price to start with downard movement. According to the daily chart, we can observe weak demand in a volume above the average, which is a sign that buying gold at this stage looks risky. According to previous price action, we got resistance level at the price of 1,230.00 and 1,234.00 (swing high like resistance). If the price breaks the level of 1,234.00 in a high volume, we may see testing of the level of 1,244.00. Anyway, since gold has started bearish corrective phase, I placed Fibonacci retracement to find potential support levels and I got Fibonacci retracement 38.2% at the price of 1,214.00 and Fibonacci retracement 61.8% at the price of 1,202.00.
Daily pivot Fibonacci points:
Resistance levels:
R1: 1,231.82
R2: 1,235.28
R3: 1,240.90
Support levels
S1: 1,220.58
S2: 1,217.12
S3: 1,211.50
Trading recommendations: Buying still looks risky since gold is near resistance levels
The material has been provided by InstaForex Company – www.instaforex.com
Forex analysis review
The post Gold analysis for October 10, 2014 appeared first on FX FOREX.
In our article on September 23 we postulated that gold seemed to be setting up for a triple bottom, but it was too soon to tell for sure. As of this week gold has reached the level of support drawn from the two previous bottoms, and it has bounced off that support. It is not yet a robust bounce, but it is at least a first small sign that a long-term bottom may be forming. Let me first acknowledge that Erin’s article of yesterday focused on a similar possibility in the chart of a gold miner stocks ETF. While there is often a similarity between the charts of the metal and the mining stocks, the price of the mining stocks ultimately depends upon the direction of the metal, so we want to be sure that we are keeping track of gold at this critical juncture.
In the chart below we can see the three bottoms that have formed at about the 1180 level. The recent bottom is not very prominent, but it hints at the possibility of a continued rally, and shows a window of opportunity beginning to open for gold bulls. The negative part of this picture is that the support line is part of a consolidation that is called a continuation pattern, which implies that it is just a pause before the preceding decline continues.
Continue reading “GOLD: Bouncing Off Support” »
The post GOLD: Bouncing Off Support appeared first on FX FOREX.
Gold continues to move higher on Friday, as the spot price is at $ 1217.71 per ounce in the European session. The metal has taken advantage of the US dollar losing ground this week and has recovered all of Friday’s sharp losses. In the US, today’s highlight is the minutes of the FOMC’s most recent policy meeting. Traders should treat this event as a market-mover.
US job numbers continue to impress. On Tuesday, JOLTS Job Openings climbed to 4.84 million, up from 4.67 million a month earlier. The indicator is on a strong upward trend, indicative of the US employment sector. Last week, Nonfarm Employment change rebounded in September, climbing to 248 thousand. This exceeded expectations of 216 thousand. The unemployment rate dipped to 5.9%, the first time it’s been below the 6% threshold in over six years. With QE slated to end later this month, the focus will shift to the timetable for an interest rake hike. Strong employment numbers such as these could put pressure on the Fed to make an interest rate move sooner rather than later in 2015, and increased speculation about a rate move will likely boost the dollar even further.
At its October policy meeting last week, the ECB made no changes to interest rates. The central bank did announce it would start buying covered bonds in October and begin ABS purchases in Q4. However, there were no specifics and no mention of any purchase of government bonds. This left the markets underwhelmed by the ECB announcement and the euro remains at low levels. Given that the ECB shows no signs of introducing a full-blown QE, it’s questionable whether ABS will help boost the anemic Eurozone economy, as inflation and growth levels continue to sputter.
XAU/USD for Wednesday, October 8, 2014
XAU/USD October 8 at 11:15 GMT
XAU/USD 1211.77 H: 1220.71 L: 1209.19
XAU/USD Technical
| S3 | S2 | S1 | R1 | R2 | R3 |
| 1136 | 1156 | 1186 | 1215 | 1240 | 1252 |
Further levels in both directions:
OANDA’s Open Positions Ratio
XAU/USD ratio is pointing to gains in short positions on Wednesday, continuing the direction which has marked the ratio all week. This is not consistent with the pair’s movement, as gold continues to post gains. The ratio has a majority of long positions, indicative of trader sentiment in favor of gold moving to higher levels.
XAU/USD Fundamentals
*Key releases are highlighted in bold
*All release times are GMT
This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.
The post Gold Heads Higher as FOMC Statement Looms appeared first on FX FOREX.
The latest positive news from the U.S labor market – the NF payroll showed 248K jobs added during September and August numbers were revised up to 180K – was enough to drag down the prices of gold and silver to…
Read more →
The post Gold and Silver Forecast for October 6-10 appeared first on FX FOREX.
SPDR Gold (GLD) lost over 6% off its value during September. What is up ahead for this gold ETF? Let’s review how the progress of the U.S economy may impact the direction of GLD starting with the labor market. This…
Read more →
The post Gold and GLD Could See Further Losses as the U.S economy Recovers appeared first on FX FOREX.
Gold prices are showing little change on Wednesday, as the metal remains under pressure from the strong US dollar. In the European session, the spot price stands at $ 1208.93 per ounce. There are two key releases on the calendar – ADP Non-Farm Employment Change and ISM Manufacturing PMI. The markets are not expecting significant changes from last month’s readings.
Recent sharp gains by the US dollar are weighing on gold prices, as a stronger dollar diminishes the metal’s appeal as an alternative asset to the dollar. The dollar has enjoyed a spectacular September, and gold prices have tumbled over 6% during this period. With the Fed scheduled to wind up QE and attention shifting to the timing of an interest rate hike, gold could continue to move lower.
The markets are keeping a close eye upcoming US employment numbers, starting with ADP Nonfarm Payrolls later on Wednesday. The estimate stands at 207 thousand, little changed from 204 thousand. The ADP release precedes the official NFP release which will be published on Friday. The markets are anticipating a sharp gain, with an estimate of 216 thousand. If the indicator does follow suit with better numbers this month, the US dollar could post further gains against its major rivals.
US Pending Home Sales posted a decline of 1.0%, compared to last month’s gain of 3.3%. The important housing indicator has shown strong movement, resulting in readings that have been well off market estimates. US housing indicators continue to paint a mixed picture, as New Home Sales jumped last month, while Existing Home Sales softened and was well short of expectations.
XAU/USD for Wednesday, October 1, 2014
XAU/USD October 1 at 10:45 GMT
XAU/USD 1209.18 H: 1209.94 L: 1204.66
XAU/USD Technical
| S3 | S2 | S1 | R1 | R2 | R3 |
| 1136 | 1156 | 1186 | 1215 | 1240 | 1252 |
Further levels in both directions:
OANDA’s Open Positions Ratio
XAU/USD ratio is pointing to gains in short positions in Wednesday trade. This is not consistent with the pair’s movement, as gold is showing little movement. Trader sentiment is strongly in favor of long positions, which make up most of the positions in the ratio.
XAU/USD Fundamentals
*Key releases are highlighted in bold
*All release times are GMT
This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.
The post Gold Remains Weak, Pressing on Support at $1200 appeared first on FX FOREX.
Gold for Tuesday, September 30, 2014
For more than a week now Gold has thoroughly enjoyed solid support at $ 1215 after falling strongly a couple of weeks ago from $ 1240 to just below $ 1215. The next obvious level of potential support remains at $ 1200 which is a long term key level. If gold was to fail at this level, then it is likely the flood gates will open and the shine will have definitely worn off. Several weeks ago Gold was enjoying a resurgence as it moved strongly higher off the support level at $ 1275, however it then ran into resistance at $ 1290. In the week prior, Gold had been falling lower back towards the medium term support level at $ 1290 however to finish out last week it fell sharply down to the previous key level at $ 1275. Over the last month or so the $ 1290 level has shown some signs of support and held gold up until its recent sharp decline. During the second half of June, gold steadily moved higher but showed numerous incidents of indecision with its multiple doji candlestick patterns on the daily chart. This happened around $ 1320 and $ 1330.
The OANDA long position ratio for Gold has steadied around 70% as gold finds solid support around $ 1215. At the beginning of June, gold did very well to repair some damage and return to the key $ 1275 level, then it has continued the momentum pushing a higher to its recent four month high. After moving so little for an extended period, gold dropped sharply back in May from above the well established support level at $ 1275 as it completely shattered this level falling to a four month low around $ 1240. It remained around support at $ 1240 for several days before its strong rally higher. It pushed down towards $ 1280 before sling shotting back and also had an excursion above $ 1300 for a short period before moving quickly back to the $ 1293 area again. Over the last few weeks gold has eased back from around $ 1315 to establish its recent narrow trading range below $ 1295 before its recent slump.
Way back since March, the $ 1275 level has established itself as a level of support and on several occasions has propped up the price of gold after reasonable falls. Throughout the second half of March gold fell heavily from resistance around $ 1400 back down to a several week low near support at $ 1275. Both these levels remain relevant as $ 1275 continues to offer support and the $ 1400 level is likely to play a role again should gold move up higher. Through the first couple of months of this year, gold moved very well from a longer term support level around $ 1200 up towards a six month higher near $ 1400 before returning to its present trading levels closer to $ 1300.
Gold settled modestly higher on Monday, but the metal’s gains were capped as the dollar seesawed between negative an positive territory. U.S. gold futures finished the session $ 3.40 higher at $ 1,219.80 an ounce. Spot gold was last down 0.2 percent to $ 1,217 an ounce. Cash prices had reached a nine-month low of $ 1,206.85 on Thursday, before recovering slightly. The dollar was unchanged against a basket of major currencies and still close to a four-year peak hit earlier in the day as the market looked ahead to a series of important economic data, culminating in the release on Friday of U.S. September non-farm payrolls. The bigger impact on gold prices could still come from U.S. data as market players seek to gauge the strength of the economy and its impact on Federal Reserve policy. Strong economic data could prompt the U.S. central bank to raise interest rates faster and sooner than expected, which could boost the dollar and hurt non-interest-bearing bullion.
(Daily chart / 4 hourly chart below)
Gold September 30 at 00:40 GMT 1216.1 H: 1223.3 L: 1214.9
Gold Technical
| S3 | S2 | S1 | R1 | R2 | R3 |
| 1215 | 1200 | — | 1240 | 1290 | — |
During the early hours of the Asian trading session on Tuesday, Gold is remaining quite steady right above the support level at $ 1215 after finishing last week falling sharply back down towards the support at $ 1215. Current range: trading right around $ 1216.
Further levels in both directions:
• Below: 1215 and 1200.
• Above: 1240 and 1290.
OANDA’s Open Position Ratios
(Shows the ratio of long vs. short positions held for Gold among all OANDA clients. The left percentage (blue) shows long positions; the right percentage (orange) shows short positions.)
The long position ratio for Gold has steadied around 70% as gold finds solid support around $ 1215. The trader sentiment is strongly in favour of long positions.
Economic Releases
* All release times are GMT
This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.
The post Gold – Support Level at $1215 Remains Firm appeared first on FX FOREX.
The bullion market didn’t perform well again last week: Silver lost 1.7% off its value, while the price of gold inched down by 0.1%. As a result, the gold to silver ratio rose again by 1.6% to around the 70…
Read more →
The post Gold and Silver Forecast for September 29- October 3 appeared first on FX FOREX.
Gold and silver took another tumble as both bullion prices: For gold, it reached its lowest level since the beginning of the year; silver came down below $ 18 for the first time since August 2010! The latest FOMC meeting had…
Read more →
The post Gold and Silver Forecast for September 22-26 appeared first on FX FOREX.
China launched a gold exchange open to foreign players for the first time on Thursday, putting the world’s top bullion buyer on track to win a race to set the benchmark price in Asia.
The launch of the Shanghai Gold Exchange’s international bourse with yuan-denominated contracts is the first in a slew of bullion contracts expected in Asia, including Singapore and Hong Kong, before the end of the year as the region aims to have pricing power as the top consumer of the metal.
China’s efforts have the best chance of success, say market players, as it has a huge home market. With imports of over 1,000 tonnes of gold last year and local production of about 400 tonnes, China consumes over a third of global supply.
A successful take-up of the exchange could see gold priced and paid for in yuan rather than the U.S. dollar, challenging the traditional dominance of London and New York in trading.
The exchange’s launch is also a big boost for the free trade zone, where the bourse is located. Despite being touted as a test bed for financial reforms, the zone has struggled to show significant progress in its first year.
“The launch of the gold contracts will increase China’s influence and improve price discovery,” China central bank governor Zhou Xiaochuan said at a launch event in Shanghai.
via Reuters
The post China Launches Gold Exchange to Capture Asian Market appeared first on FX FOREX.
Precious metals, much like crude oil, resumed their downfall. This week, the main reports from the U.S are the upcoming FOMC meeting and press conference, Philly Fed index, PPI and CPI, FOMC Chair Yellen speaks, industrial production and housing figures.…
Read more →
The post Gold and Silver Forecast for September 15-19 appeared first on FX FOREX.
Is gold really a hedge against inflation? In this episode we run down the correlation between the precious metal, inflation and QE. We then continue with the Scottish referendum that grabbed the headlines and finish up with a preview of…
Read more →
The post Market Movers #15: Gold and Inflation, Scotland Referendum and FOMC Meeting appeared first on FX FOREX.
Precious metals, much like other commodities, kicked off last week with a plunge in prices. As the week progressed, bullion prices remained relatively flat even after the ECB surprised the markets with a rate slash and promise of an ABS…
Read more →
The post Gold and Silver Forecast for September 8-12 appeared first on FX FOREX.
The prices of gold and silver didn’t do much last week as they edged up on a weekly scale. But September is starting off with rate decision by ECB, BOE, BOC, RBA and BOJ. The main event will be the…
Read more →
The post Gold and Silver Forecast for September 1-5 appeared first on FX FOREX.
via Trading NRG:
One of main changes Silver Wheaton (NYSE: SLW) has done last year is to expand its gold operations. This move has substantially increased the share of gold out of the company’s total sales in 2013. Has the company made the…
For more info: Has Silver Wheaton Corp Made the Right Decision?
The post Has Silver Wheaton Corp Made the Right Decision? appeared first on FX FOREX.
via Trading NRG:
Despite the weakening of the gold market during last year, the demand for gold in Asia mainly in China and India strengthened during 2013. But does Asia still play an important role in determining the price of gold? Also, is…
For more info: Is Asia Enough to Bring Back Up Gold?
The post Is Asia Enough to Bring Back Up Gold? appeared first on FX FOREX.
Symbol Bid Ask EURUSD GBPUSD USDJPY USDCHF USDCAD EURJPY EURCHF GBPJPY GBPCHF GOLD Real time market quotes Live help onlineClick here Reviews by InstaForex trader InstaForex social responsibility Suggestions of Instaforex customers Read more Technical analysis of EUR/JPY for April 2, 2014 2014-04-02 General overview for 02/04/2014 13:30 CET The recent last leg up in this pair looks like a completed ZigZag wave (c) and it is very possible now that the overall corrective wave structure in wave X black has been done. The first confirmation comes with the golden trendline breakout to the downside. Secondary confirmation comes with the level of 142.59 breakout to the downside as well. Without this kind of wave development this ZigZag formation might unfolded into a full five wave impulsive wave progression to the upside in…
General overview for 02/04/2014 13:30 CET
The recent last leg up in this pair looks like a completed ZigZag wave (c) and it is very possible now that the overall corrective wave structure in wave X black has been done. The first confirmation comes with the golden trendline breakout to the downside. Secondary confirmation comes with the level of 142.59 breakout to the downside as well. Without this kind of wave development this ZigZag formation might unfolded into a full five wave impulsive wave progression to the upside in wave (c) blue. Please notice the bearish divergence is signaling a possible top in wave X as well.
Support/Resistance:
143.79 – Technical Resistance
143.20 – Intraday Resistance
143.12 – WR2
142.90 – Intraday Support
142.95 – Technical Support
142.47 – WR1
Trading recommendations:
Sell stop orders should be opened from the level of 142.88 with SL above the level of 143.20 and TP at the level of 142.59 and 142.47.
The material has been provided by InstaForex Company – www.instaforex.com
For more info: Technical analysis of EUR/JPY for April 2, 2014
The post Technical analysis of EUR/JPY for April 2, 2014 appeared first on FX FOREX.
