Daily Technical Analysis on 6th January 2017
Today’s Technical Pairs: EURUSD, GBPUSD, USDJPY, & XAUUSD.
The euro twisted downbeat earlier than EU’s Producer Price Index on yesterday. Despite the positive figures the particular European currency lost its value. The lack of solid data from the Euro-land twisted traders’ awareness to the US schedule. The US was going to issue a bunch of labor market reports, ADP Employment Change & US Initial Jobless Claims. PMI Composite from Markit was significance our consideration as well. The pair opened on a solid note on last day. The pair was capable to move forward up to 1.0575 levels where it met a fence & bowed bearish. The primary European currency rebound the mark levels and headed inferior afterwards.
According to the 4Hr chart the value smashed the 50 & 100-EMAs upside & tested the 200-EMAs throughout the early trades. The euro lost to recover the bearish 200-EMAs and bounced off the stirring post-European session open. The 100 & 200-EMAs directed lower whereas the 50-EMA stays neutral. The resistance is at 1.050 levels, the support comes at 1.045 levels. MACD moves into the positive zone. Indicator RSI bounced off the overvalued region.
The pound was capable to strengthen against its US peer among soft Fed’s remarks. Besides, the pound got a few support on the rear of the positive Services PMI. The sterling twisted bearish when its revival stalled at 1.2360 levels. The currency pair ran during fresh offers upturned its direction & fell to 1.2270 levels at the post Asian session. After posting the session low buyers overturned a little of their fresh losses & goes back to 1.23 levels barrier.
The value cracks the 50-EMA upside & hardened the 100-EMAs in the 4Hr chart. The pair stayed between the 50 & 100 EMAs afterwards. All moving averages kept position inferior in the same time frame. The resistance lies in 1.23 levels, the support finds in 1.22 levels.
MACD indicator was at the central line in position. RSI indicator stayed within the neutral zone.
The US dollar keeps trailing its value across the board among growing volatility over the upcoming Fed rate hike moment. Furthermore, the Fed is unsure with reference to the next Trump administration. The pair stayed under concentrated selling pressure on yesterday. Sellers sustained to control & dragged the pair inferior in the Asian session. The descending shift lacked drive around 116 levels. After posting a session low at 115.6 levels the US dollar staged a remarkable recovery & wiped out all its early losses. The value returned to the starting values where its recovery momentum caught up.
The price cracks the 50 & 100-EMAs downwards in the 4Hr chart. The US dollar stands between the 100 & 200 EMAs the 1st part of the day. The 100 & 200-EMAs kept pointing superior even as the 50-EMA stayed neutral. The resistance exists at 117 levels, the support lies at 116 levels. MACD moves into the negative zone. If MACD remains in the negative region, seller’s spot will strengthen. RSI was within the oversold area.
The yellow metal supposed its revival on the rear of a wide based US dollar failing after dovish Fed minutes. The pair extended the 2-day revival on yesterday. The precious metal cracks 1170 levels & tested the 1180 levels in the Asian session. Buyers had no power to shift higher & move away reverses to 1170 levels. The 4Hr chart showed that the value smashed the 200-EMA upsides. The value sustained developing well over the 200-EMAs afterwards. The 50-EMA intersects the 100-EMA upwards in the 4Hr chart. The 100 & 200-EMA piercing lower even as the 50-EMA was advanced. The resistance remains at 1180 levels, the support stands at 1170 levels.