EURUSD
Let’s start today’s analysis with the main currency pair - EURUSD, which has been trading in a downward trend for months. The recent upward correction may end as the pair broke below the upward channel, which is marked with blue lines on the chart below. Should market bears manage to remain in control, continuation of the downward move towards recent lows at 1.12 (November 2021 minimum) may be on the cards. On the other hand, if buyers manage to regain control, and return to the aforementioned channel, the nearest key resistance to watch lies at 1.1430 and is marked with the upper limit of 1:1 structure, as well as 100- period moving average, which stopped upward move earlier this month.
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EURUSD D1 interval. Source: xStation5
GOLD
Next, let’s move to the gold market. Precious metal has been trading in an upward trend recently. The price of this commodity bounced off the key support area at $1,760 -1,765, which was marked with a lower limit of 1:1 structure, and managed to break above the horizontal resistance area near $1,830, which was a result of previous price reactions. Taking this into account, continuation of the upward move could be on the cards. The nearest resistance to watch can be found at yesterday’s high at $1,850, which is market with 78,6% Fibonacci retracement of the recent downward move, started in mid- November 2021.
GOLD D1 interval. Source: xStation5
DE30
Last but not least, let’s take a look at the German index - DAX (DE30). Looking at the D1 interval, one can see that the recent dynamic sell-off was stopped at the key long-term support at 14,800 pts area. The green zone on the chart is marked with two previous price reactions. However, despite a sharp rebound, the price sits below the 100-period moving average, which hints at a risk of downward correction. Possible overcoming of the mentioned support at 14,800 pts, could lead to larger declines. The next support will be the zone at 14,100 points, where the lower limit of wide 1:1 structure is located.
DE30 D1 interval. Source: xStation5
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