Gold
Spot gold price took another dive as it tested 1210$ level yesterday. I already wrote yesterday in our report that I wont be surprise if market makes another low. Xauusd tested 1210$ from 1228$. We enjoyed this crash as our sell signal initiated at 1224$ for target of 1217$.
Major weakness in gold was due to dollar index. USD Index finally broke 95 and sustained pretty well at 95 which took bullion prices in deep levels. Greenback was trading comfortably above 95 then An interview of Trump happened. In his ‘CNBC Interview’ President Trump said he is not happy how Fed is on course to hike interest rate. Trump said it could hamper US growth while ECB and BOJ are holding their interest rate. After this interview precious metals took a major U turn. Gold recovered from 1211$ to 1229$, Silver recovered from 15.17$ to 15.47$.
Currently gold price trading at 1221$. A technical support on chart stands at 1208$, If traders break and sustain below this level. Then expect this major commodity to test upto 1200$- 1191$ today.
A good resistance on chart stands at 1232$, If traders break and sustain above this hurdle. Then expect mild breather upto 1239$- 1247$.
Conclusion: Trend is still weak. Avoid major buy.
Silver
Spot silver price took beating once again yesterday. We enjoyed this beating as our sell signal delivered profit. Xagusd crashed from 15.40$ to test near 15.10$. Later it recovered due to President Trump’s comment on Fed. Currently prices are trading at 15.30$, A good support on chart stands at 15.10$, If traders break and sustain below this level. Then expect more pressure in silver upto 14.90$- 14.70$.
A good resistance on technical chart stands at 15.55$, If traders break and sustain above our resistance. Then expect minor relief rally in this major precious metal up to 15.77$- 15.99$.
Silver trend is still in weak zone. Avoid major buy.
Euro
Euro finally faced USD’s strength yesterday when it crashed from 1.1650 to 1.1570. But it recovered quickly after dollar faced drop from 95.30 to 94.70. Currently eurusd comfortably trading at 1.1650. A good support on this forex pair stands at 1.1610, If traders break and sustain below this level. Then expect more pressure in eurusd upto 1.1570- 1.1540.
A good resistance on this forex pair stands at 1.1680, If traders break and sustain above our resistance. Then expect good recovery upto 1.1720- 1.1760.
Euro trend is flat to positive for now.
More will update to our signals subscribers.