Daily Market Analysis By Fxopen

Discussion in 'Forex - Currencies Forums' started by FXOpen Trader, Oct 19, 2021.

  1. FXOpen Trader

    FXOpen Trader Senior Investor

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    Global Share Price Growth Across the Decade

    A Comparison of Global Companies Share price since 2011

    Here at FXOpen, we are interested in the volatility of the stock market and our online share trading account provides clients with the opportunity to trade equity CFDs. Using CFD trading is a different way to invest in shares, as you don’t become the owner of the shares but take a position on whether the price will go up or down, speculating on the future share price of the company.

    We have compared how some of the major global companies share price has changed over the past decade.

    To demonstrate our findings, we have created an infographic which shows the percentage share increases of some of the world’s biggest companies in the last ten years and how they have compared against one another.

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    Tesla tops growth over the past decade

    In 2012 Tesla’s yearly percentage growth was minus 4%, yet the ten years since have told a completely different story, with their overall percentage increase since 2011 standing at 13,198%. Over double the growth of Netflix who sat second in the global companies we analysed.

    The appetite for electric car models has increased in the past decade and that correlates with the rise in Tesla’s share price. Periods of strong sales and reviews have increased the share price over the last ten years.

    The automotive company has seen huge rises in their share price since 2019. October 1st 2019 saw their share price at $62.98, while the same period in 2021 it had rise to $780.59, again due to strong sales and the entering of the S&P 500 in late 2020.

    Netflix sees huge share price increase

    Similar to Tesla, Netflix yearly growth from 2011-2012 was minus 3% but their share price has been soaring ever since, with the share price percentage increasing by over 5000% since 2011.

    Due to international expansion in 2012 to Europe and a further 130 new markets in 2016, the subscription numbers have risen dramatically, with this year Netflix hitting 214 million subscribers, nearly ten times the subscribers they had in 2011.

    Alongside global expansion, the streaming service started making their original content from 2012 which has been ever present in recent years and in 2012 for the first time they beat HBO as they received 112 Emmy nominations.

    Netflix growth on the stock market dominated the other global companies we analysed, as it was the most successful company on the S&P 500 pre 2020. It has only been the past two years where Tesla share price growth levels have surpassed Netflix’s.

    Technology giants see strong growth

    In the past decade, Apple, Microsoft and Amazon have all seen impressive share price growth of over 1000% since 2011.

    Since 2011 Amazon’s share price has seen the highest percentage growth out of the three global technology companies, with an increase of over 1400%. The mammoth growth shown by Amazon is largely due to the popularity of Amazon Prime, their subscription service which saw a huge increase in the pandemic due to consumers having to stay at home.

    Microsoft (+1247%) and Apple (+1037%) have both seen their share price increase consistently in the past ten years. Microsoft have seen continued large scale growth on the stock market since the appointment of CEO Satya Nadella in 2014.

    Apple share price is largely impacted due to their product demand. Their share price rose in 2015 as a result of the large iPhone screens success while recently they have seen a rise in their share price due to the strong demand of their iPhone 12 at the end of 2020.

    Facebook shows huge returns in first decade on the stock market

    Since Facebook went public in 2012, the world’s largest social media firm has seen massive growth in their share price. Initially going public at a share price of $38, by 2021 that had increased to over $300, giving an increase of 1477%.

    Facebook shares have seen consistent strong growth owing to the increase numbers of active users and the aggressive growth strategy through acquisitions such as Instagram in 2012 and WhatsApp in 2014. Facebook’s growth in the past decade is significantly higher than its closest competitors, with Twitter’s share price actually decreasing by 4% over that time.

    The social media company has had some dips during their time on the stock market so far, in particular in 2018 when 50 million people had their data compromised by Cambridge Analytica.

    Pepsi v Coca Cola

    Pepsi-Co and Coca Cola Corporation have been competitors in the non-alcoholic beverage industry for many years. But how does the share price of the two powerhouses compare?

    Over the past ten years, the share price of Pepsi-Co has increased by 230%. This is nearly double the 116% increase that Coca Cola has seen since 2011. Both brands had a similar yearly percentage increase in 2012 but since then, the Pepsi-Co share price has seen greater increases than Coca-Cola.

    All the global companies on the stock market that we have analysed have seen over 100% growth since 2011 but Tesla and Netflix lead the way with colossal share price increases in the last decade. However, over the past ten years the share price of global companies has shown volatility due to the demand for shares relying on various factors such as company success, news stories and wider economic trends.

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  2. FXOpen Trader

    FXOpen Trader Senior Investor

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    Stock CFD trading thwarted by exit of energy and utility companies? Not today!
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    The past few months have proven very uncertain for a large percentage of the British public as a very unusual circumstance took the energy and utilities market by storm.

    Since the summer of 2021, over 20 energy and utilities companies have exited the British market, many of which have gone bankrupt due to the rising cost of oil and gas and the inability of these companies to be able to pass that cost on to their customers.

    This has created what is being described as a 'cost of living crisis' as the remaining large energy providers have now been left to onboard those whose services have ended, meaning that bills have gone up for a large percentage of the UK population.

    Some of the now defunct energy companies were privately held, however some had their stock publicly listed on the London Stock Exchange, meaning that they were sizeable entities in their own right.

    It would therefore be quite understandable for investors and traders to shy away from utilities or energy company stocks at this point in time, especially given the ultra-conservative approach many firms have taken in trying to absorb some of the increased logistical, supply chain and raw materials cost themselves in order to avoid passing it onto customers who are already cash-strapped and therefore could end up getting into debt with their bills, that energy companies may well be not in favour.

    Actually, that is not quite the case, as United Utilities PLC, a large British water company, is experiencing a steady increase in investor confidence.

    Its value was relatively flat during November, however all of a sudden at the end of the month United Utilities stock began to rise going from £10.94 per share on November 17 to £10.95 by November 26.

    Suddenly, the price dropped on December 1, but this morning it has risen once again and recovered very quickly shortly after the opening bell at the London trading session.

    Currently, United Utilities is trading at £10.90 per share which is 0.6% up on yesterday, and 1.35% over the weekly moving average.

    Whilst these do not necessarily sound like large movements, they are for a utilities company at this particular time, and the trendline that shows investor confidence with steady upward growth with a minor blip of downward volatility yesterday which was very quickly recovered.

    Therefore, United Utilities performance on the London market is perhaps a breath of fresh air to traders who have previously enjoyed the blue chip, evergreen nature of utility companies and have recently had their plans thwarted by the exit of many energy firms from the market.

    Going with the flow has certainly a double meaning on this occasion!

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  3. FXOpen Trader

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    ETHUSD and LTCUSD Technical Analysis – 02nd DEC, 2021
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    ETHUSD: Bullish Engulfing Pattern Above $4,400

    Ethereum had a major bearish correction last week when it declined towards the $4,000 handle after touching a high of $4,551.

    ETHUSD started this week in a consolidation phase after which it had a bullish reversal towards $4,700 and touched an intraday high of $4,776 in today’s Asian trading session.

    We can clearly see a bullish engulfing pattern above $4,400 which signifies a trend reversal, and ETHUSD crossing $4,700.

    Ethereum price has retracted from its highs due to some profit-taking, but the bullish channel continues, and this week, we are aiming for the upsides of $4,700 and $4,900.

    ETH is now trading above its pivot level of $4,524 and moving in a mild bullish momentum. The price of ETHUSD has already broken its classic resistance level of $4,545, its Fibonacci resistance level of $4,555, and is now aiming towards the $4,600 handle in the US trading session.

    Moving averages are giving a NEUTRAL signal.

    ETH is now trading above both its 100 hourly and 200 hourly simple moving averages.

    • Ethereum is in a mild bullish channel
    • Short-term trend reversal seen above $4,400
    • All the major technical Indicators are giving NEUTRAL to SELL signals
    • Average true range is indicating LESS market volatility

    Ether: Bullish Channel Towards $4,900 Confirmed
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    ETHUSD is consolidating its gains above $4,500 in the European trading session and we can clearly see that the bullish channel is back.

    We are now aiming for the upsides of $4,600 to $4,700 in today’s US trading session. The retracement from $4,000 was very strong, which suggests that there is more room for upsides in Ethereum this month, and $5,500 is the next target.

    At present, technical indicators are giving a SELL signal which means that in the immediate short-term we will see a decline before the continuation of a bullish channel.

    ETH has declined by -4.26% with a price change of -202.85$ in the past 24hrs and has a trading volume of 26.670 billion USD.

    We can see a decrease of 11% in the trading volume as compared to yesterday, which means that new buyers are not entering the markets and waiting for further correction in the levels of Ethereum.

    Ethereum Gains in 2021

    We have seen the prices of Ethereum increasing continuously throughout 2021. Starting from $730 on 1st Jan 2021, Ether is currently trading at $4,568, yielding a gain of 625% to its investors — more than Bitcoin during the same period of time.

    Ethereum’s performance in 2021 is commendable. The current market valuation of this second-largest cryptocurrency stands at 540.52 billon USD.

    A number of leading crypto analysts have also predicted that in the next 5 years, Ethereum could outperform bitcoin and become the topmost cryptocurrency in the world.

    The Week Ahead

    Ether is printing above $4,500 today, and this week, we could $4,700 to $4,900.

    The medium to long-term outlook for Ether in December remains bullish with targets of above $5,000.

    Ether has already broken its major resistance level of $4,580 and is now facing the next resistance level of $4,800.

    Technical Indicators:

    Commodity channel index (14-day): indicating a NEUTRAL market

    Moving averages convergence divergence (14-day): at -27.11 indicating a SELL

    Average directional change (14-day): indicating a NEUTRAL market

    Rate of price change: at -2.386 indicating a SELL

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  4. FXOpen Trader

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    Gold Price and Crude Oil Price Aim Fresh Increase
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    Gold price is attempting a fresh increase above the $1,780 resistance zone. Crude oil price could gain pace if there is a clear move above the $68.00 level.

    Important Takeaways for Gold and Oil

    • Gold price started a fresh decline from well above the $1,800 zone against the US Dollar.
    • There is a key bearish trend line forming with resistance near $1,775 on the hourly chart of gold.
    • Crude oil price declined sharply below $72.00 and $70.00 levels.
    • There was a break above a major declining channel with resistance near $66.50 on the hourly chart of XTI/USD.

    Gold Price Technical Analysis

    Gold price started a fresh decline from well above the $1,820 pivot level against the US Dollar. The price declined heavily and it even broke the $1,800 support zone.

    The price even settled below the $1,800 level and the 50 hourly simple moving average. Finally, there was a break below the $1,780 support zone. A low was formed near $1,761 on FXOpen and the price is now correcting higher.

    Gold Price Hourly Chart
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    There was a recovery wave above the $1,770 level. The price surpassed the 23.6% Fib retracement level of the recent decline from the $1,795 swing high to $1,761 high.

    An immediate resistance on the upside is near the $1,775 level. There is also a key bearish trend line forming with resistance near $1,775 on the hourly chart of gold. The next major resistance is near the $1,780 level.

    The 50% Fib retracement level of the recent decline from the $1,795 swing high to $1,761 high is also near $1,780. The main resistance is near the $1,800 level. A close above the $1,800 level could open the doors for a steady increase towards $1,820.

    The next major resistance sits near the $1,840 level. On the downside, an initial support is near the $1,765 level. The first major support is near the $1,760 level. A downside break below the $1,760 support zone may possibly spark a steady decline. In the stated case, the price could test the $1,720 support.

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  5. FXOpen Trader

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    GBP/USD and GBP/JPY At Risk of More Downsides
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    GBP/USD started a fresh decline and traded below the 1.3300 support zone. GBP/JPY is also trading in a bearish zone and is facing hurdles near 150.00.

    Important Takeaways for GBP/USD and GBP/JPY

    • The British Pound started a fresh decline after it faced sellers near 1.3360 against the US Dollar.
    • There is a major bearish trend line forming with resistance near 1.3280 on the hourly chart of GBP/USD.
    • GBP/JPY also declined heavily below the 150.00 and 150.00 support levels.
    • There is a key bearish trend line forming with resistance near 150.65 on the hourly chart.

    GBP/USD Technical Analysis

    This past week, the British Pound started a fresh decline after it failed near 1.3360 against the US Dollar. The GBP/USD pair broke the 1.3320 and 1.3300 support levels to enter a bearish zone.

    There was also a break below the 1.3260 support zone and the 50 hourly simple moving average. It traded as low as 1.3207 on FXOpen and is currently consolidating losses. It recovered a few points above the 1.3230 level.

    GBP/USD Hourly Chart
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    There was a break above the 23.6% Fib retracement level of the recent decline from the 1.3308 swing high to 1.3207 low.

    The pair is now facing resistance near the 1.3260 level. It is close to the 50% Fib retracement level of the recent decline from the 1.3308 swing high to 1.3207 low. There is also a major bearish trend line forming with resistance near 1.3280 on the hourly chart of GBP/USD.

    A close above the 1.3280 level could open the doors for more gains. The next major hurdle is near 1.3315 and the 50 hourly SMA, above which the pair could surge towards 1.3350.

    On the downside, an immediate support is near the 1.3220 level. The next major support is near the 1.3200 level. If there is a break below the 1.3200 support, the pair could test the 1.3150 support. If there are additional losses, the pair could decline towards the 1.3050 level.

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  6. FXOpen Trader

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    Concern over winter restrictions create bull market for Gold
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    There is no doubt that the aversion to risk by many traders is there for all to see, especially when looking at the falling price of physical commodities such as gold.

    As the trading week begins today on this wintery 6th of December, a quick glance at recent performance would show that gold had been down 1.21 points as it closed 0.07% down at the end of the trading day on Friday last week.

    That in itself may not seem like too much of a drop in value, but considering the steady climb that gold prices have taken during the last two years, a sudden downturn is worthy of note.

    This morning, however, it began to rise against the US dollar as the European markets open, with a general consideration among traders that the rise in price from last week's fall is down to risk aversion which has pulled down real interest rates.

    With real interest rates now in negative figures, gold is being viewed once again as a de facto store of value by investors taking a longer term view on the markets and who do not want to go in for the wild rides that the crypto market has been experiencing lately.

    Whilst the crypto market has certainly gained huge appeal among those who see it as a double-edged virtue; that being the circumvention of the centralized markets which have been subject to all manner of geopolitical circumstances recently as well as the chance to finally get into a genuinely volatile market and realize quick returns, there are still a huge number of investors worldwide who are looking to minimize their risks during times of uncertainty, and uncertain times throughout history have resulted in gold price rises.

    Another area of interest which is perhaps causing a move toward confidence in the value of gold is the potential reaction to the sensationalist news reports about Omicron, the latest nomenclature to hit the news after several previous attempts to stir up fear among the corporate world and the investing community.

    Although a week has passed since the Omicron name made its way to the public via the international press and various soundbites from global governments, there is still a degree of uncertainty as to how this will be utilized by the policymakers and therefore physical commodities are becoming favourable once again.

    Gold was down against the US dollar by 2.6 points at close of business on Friday, but begins the trading session this morning with an increase of 0.26% which can be attributed toward this sentiment considering that there are no important market announcements scheduled this week which could otherwise affect the price differences between spot FX and commodities other than the US CPI figures for November which are due to be announced on Friday.

    December is a relatively quiet month for market-related news announcements, therefore it is likely that all eyes will be on the geopolitical effect created by any reactions by governments with regard to Omicron, and whether this will drive investors toward stores of value such as gold and cryptocurrency.

    As this week gets off to a start, there certainly is some evidence toward that.

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  7. FXOpen Trader

    FXOpen Trader Senior Investor

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    BTCUSD and XRPUSD Technical Analysis – 07th DEC, 2021
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    BTCUSD: Rounding Bottom Pattern Above $46,000

    Bitcoin suffered heavy losses on Dec 4th, which was primarily driven by liquidation of the holdings from the long-term investors in the markets.

    Additionally, the Dec 4th bitcoin plunge occurred due to the Omicron coronavirus variant which saw BTC touching a low of $45,000.

    We saw BTCUSD touch a high of $59,157 on 30th Nov, and form a bullish momentum before entering a consolidation channel above $55,000.

    Today, bitcoin is back in the bullish channel and trading above the $50,000 handle in the European trading session.

    We can clearly see a rounding bottom pattern above the $46,000 handle which signifies that the markets have entered into a bullish uptrend.

    In the US Trading session, bitcoin is trading in a consolidation phase and is expected to continue doing so.

    The short-term outlook for bitcoin has turned MILDLY BULLISH.

    Both the Stoch and StochRSI are indicating an OVERBOUGHT level, which means that in the immediate short-term, a decline in the price is expected.

    Bitcoin is now moving above its 100 hourly simple and exponential moving averages.

    The average true range is indicating lesser market volatility which means that markets will enter a consolidation phase soon.

    • Bitcoin trend reversal is seen above $46,000
    • Stoch is indicating an OVERBOUGHT level
    • The price is now trading just below its pivot level of $51,140
    • All the moving averages are giving a BUY signal at current market level of $51,027

    Bitcoin: Trend Reversal Towards $60,000 Confirmed
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    BTCUSD has already recovered its losses from last week and is now trading above the important psychological support level of $50,000.

    We will need to see a confirmation of the uptrend once the prices hit the $52,000 handle some time later today.

    Some of the major technical indicators are giving a STRONG SELL signal, which means that the prices can also get a downward correction before reaching the level of $60,000.

    The price of BTCUSD is trading below its classic resistance level of $51,345 and Fibonacci resistance level of $51,478 in the European trading session.

    In the last 24hrs, BTCUSD has gone UP by 6.62% with a price change of $3,170 and a 24hr trading volume of USD 37.942 billion. We can see an increase of 12.54% in trading volume as compared to yesterday.

    The Week Ahead

    We can see that bitcoin has recovered from last week’s losses and is on its way towards reaching the $58,000 handle this week.

    The medium to long-term outlook remains BULLISH for bitcoin with the target of $62,000. At present, the markets are giving a BUY signal, so it would be best to enter long positions in bitcoin.

    The relative strength index of 65 is indicating a BULLISH channel, and fresh buying is expected in the markets at any time.

    We can see that the fears related to Omicron are vanishing, and new investors are coming back to the markets which also explains the increased market volatility today.

    Technical Indicators:

    Stoch (9,6): at 99.04 indicating an OVERBOUGHT level

    Average directional change (14-day): at 50.66 indicating a BUY

    Rate of price change: at 4.047 indicating a BUY

    Moving averages convergence divergence (12,26): at 553.80 indicating a BUY

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  8. FXOpen Trader

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    EUR/USD and EUR/JPY: Euro Eyes Fresh Increase
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    EUR/USD is attempting a fresh increase from the 1.1220 support zone. EUR/JPY is rising, but it is facing hurdles near 128.30 and 128.50.

    Important Takeaways for EUR/USD and EUR/JPY

    • The Euro gained bearish momentum below 1.1350 and 1.1300.
    • There was a break above a major bearish trend line with resistance near 1.1280 on the hourly chart.
    • EUR/JPY is attempting a recovery wave above the 128.00 resistance level.
    • There is a key bullish trend line forming with support near 127.85 on the hourly chart.

    EUR/USD Technical Analysis

    The Euro started a major decline after it struggled to clear the 1.1350 resistance against the US Dollar. The EUR/USD pair broke the 1.1300 support zone to move into a bearish zone.

    The pair even traded below the 1.1250 support and settled below the 50 hourly simple moving average. A low was formed near 1.1227 on FXOpen and the pair is now correcting losses. There was a break above the 1.1260 level.

    EUR/USD Hourly Chart
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    The pair even spiked above the 1.1285 resistance level. There was a clear move above a major bearish trend line with resistance near 1.1280 on the hourly chart.

    It is now facing resistance near the 1.1300 zone and the 50 hourly simple moving average. It is close to the 50% Fib retracement level of the downward move from the 1.1357 swing high to 1.1227 low. The next major resistance is near the 1.1315 level.

    It is close to the 61.8% Fib retracement level of the downward move from the 1.1357 swing high to 1.1227 low. The main resistance is forming near the 1.1320 and 1.1335 levels. A clear break above the 1.1335 resistance could push EUR/USD towards 1.1400.

    On the downside, the 1.1250 level is a major support. Any more losses might lead EUR/USD towards the 1.1200 support zone in the near term. The next major support sits near the 1.1150 level.

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  9. FXOpen Trader

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    ETHUSD and LTCUSD Technical Analysis – 09th DEC, 2021
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    ETHUSD: Ascending Channel Pattern Above $4,000

    Ethereum continues its consolidation phase remaining above the $,4300 handle in the European trading session today.

    ETHUSD is slowly preparing itself for its next move against the US dollar. The price continues to recover from its decline below the $4,000 level.

    We can clearly see an ascending channel pattern above $4,000 which signifies that the price will continue to rise aiming upwards of $4,500 to $4,700.

    ETH is now trading just above its pivot level of $4,374 and moving in a bullish ascending channel. The price of ETHUSD is about to break its classic resistance level of $4,418, its Fibonacci resistance level $4,403, and is now aiming towards the $4,500 handle in the US trading session.

    All the major technical indicators are giving a NEUTRAL signal.

    ETH is now trading above its 100 hourly and 200 hourly simple moving averages.

    • Ethereum continues a bullish channel
    • Short-term range appears to be bullish ETHUSD
    • All the moving averages are giving a STRONG BUY signal
    • Average true range is indicating LESSER market volatility

    Ether: Bullish Trend Towards $4,700 Confirmed
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    In today’s early Asian trading session today, ETHUSD continues to move in a consolidation channel after touching an intraday high of $4,479 and an intraday low of $4,345 in the European trading session.

    Today’s relative strength index is NEUTRAL which signifies a potential bullish trend.

    It is best to enter into long positions in Ethereum at the present market level of $4,380 with a target of $5,000 for the next month.

    The average true range is indicating a lower market volatility as we can see a drop of 11.76 in the trading volume as compared to yesterday. This is because the market was in a consolidation phase and the buyers were waiting for a bullish pattern, which is clearly visible now.

    ETH has gained +0.55% with a price change of +23.84$ in the past 24hrs, and has a trading volume of 18.912 billion USD.

    Bitcoin vs Ethereum Gains in 2021
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    The gains observed in Ethereum have been outstanding as compared to bitcoin during the same period of time. This is because Ether’s underlying technology is far superior to bitcoin’s, which only serves as a mode of payment transfer and Investments.

    The demand for Ethereum is currently stronger due to its leading role in the emerging industry of decentralized finance (DeFi), as well as non-fungible tokens (NFTs).

    The Week Ahead

    Ether is printing above $4,300 today, and this week, we could see a levels of $4,500.

    The medium to long-term outlook for Ether remains bullish with targets of above $5,000 the next month.

    We have observed an $10 billion increase in Ethereum’s market cap which currently stands at $520 billion.

    We have detected an MA50 crossover pattern which signifies a bullish trend in the coming days. A mullish crossover pattern is also seen in the MA20.

    Technical Indicators:

    Ultimate oscillator: at 49.448 indicating a NEUTRAL market

    Moving averages convergence divergence (14-day): at 6.88 indicating a BUY

    MA200 (exponential): at 4298.74 indicating a BUY

    Rate of price change: at 0.403 indicating a BUY

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  10. FXOpen Trader

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    Gold Price Faces Hurdles While Crude Oil Price Is Recovering
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    Gold price is attempting a fresh increase above the $1,785 resistance zone. Crude oil price is recovering and could gain pace if there is a clear move above the $73.20 level.

    Important Takeaways for Gold and Oil

    • Gold price is showing a few bearish signs below the $1,800 zone against the US Dollar.
    • There was a break below a key bullish trend line with support near $1,784 on the hourly chart of gold.
    • Crude oil price started a recovery wave above the $70.00 and $72.00 levels.
    • There was a break below a major bullish trend line with support near $72.30 on the hourly chart of XTI/USD.

    Gold Price Technical Analysis

    Gold price started a fresh decline from well above the $1,800 zone against the US Dollar. The price declined heavily, and it even broke the $1,780 support zone.

    The price even settled below the $1,800 level and the 50 hourly simple moving average. Finally, there was a break below the $1,770 level. A low was formed near $1,761 on FXOpen before there was a recovery wave.

    Gold price hourly chart
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    The price climbed above $1,780, but it stayed below $1,800. A high was formed near $1,792 and the price corrected lower. There was a break below the $1,785 level and the $1,780 support.

    The price even traded below the 50% Fib retracement level of the upward move from the $1,761 swing low to $1,792 high. There was also a break below a key bullish trend line with support near $1,784 on the hourly chart of gold.

    However, the bulls remained active near $1,774. The price is also stable above the 61.8% Fib retracement level of the upward move from the $1,761 swing low to $1,792 high.

    An immediate resistance on the upside is near the $1,780 level and the 50 hourly simple moving average. The main resistance is near the $1,785 level. A close above the $1,785 level could open the doors for a steady increase towards $1,800.

    The next major resistance sits near the $1,820 level. On the downside, an initial support is near the $1,774 level.

    The first major support is near the $1,760 level. A downside break below the $1,760 support zone may possibly spark a steady decline. In the stated case, the price could test the $1,740 support.

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