Gold
Spot gold price broke major support of 1237$ which we mentioned in our yesterday’s gold prediction. Despite multiple effort of trend reversal market could not hold on higher levels and it crashed badly yesterday. US dollar Index recovered from lows of 93.88 to 94.60 within hours. One of the smart recovery by USD Index. Federal Reserve chairman Powell gave testimony yesterday, Confirming FOMC’s stance on US economy. Yesterday’s bullion decline is attribute by Fed chairman testimony which he gave US senate banking committee.
He said FOMC’s stance on US economy is intact and Fed would hike 4 interest rate this year instead three. He also assures US economy is in very strong zone and he have good room to hike those rates. He assured markets are strong and those hikes can be easily digested by economy.
US Dollar got a big jump on this statement dragging precious metal prices with its mighty rise. We are very near to our major resistance of 95 in USD Index. Once market break and sustain above this level. Then expect more selling and crash in bullion.
After breaking our major technical support yesterday, Gold price crashed nearly 12$ and since yesterday it lost nearly 20$ as its surviving near 1226$. A good support on technical chart stands at 1218$, If traders break and sustain below this level. Then expect more pressure in xauusd upto 1209$- 1200$.
A good resistance on xauusd chart stands at 1238$ now If traders break and sustain above this level. Then expect small recovery in prices upto 1247$- 1255$.
Conclusion: Gold price has entered in bear market now. Avoid any major buy for now. Below our support more weakness within hours not ruled out.
Silver
Spot silver price crashed with other precious metals yesterday. It crashed from 15.88$ to test 15.55$. Currently prices are trading near low of 15.55$. A good support on xagusd chart stands at 15.48$, If traders tank this support and sustain below this level. Then expect more weakness in prices upto 15.30$- 15$ today.
A good resistance on silver chart stands at 15.75$, If traders break and sustain above our resistance. Then expect a breather upto 15.99$- 16.22$.
Silver trend is weak for now.
Euro
Euro crashed as well yesterday after USD Index reversed from 93.88. Currently eurusd trading at 1.1654. A good base on this major forex pair stands at 1.1620, If traders break and sustain below this level. Then expect more pressure in euro upto 1.1590 – 1.1550 today.
A good resistance on euro chart stands at 1.1688, If traders break and sustain above our resistance. Then expect good recovery upto 1.1720- 1.1760 in eurusd.
Euro trend is weak for now.
More will update to our signals subscribers.
Your dip’s very very correct thanks
Thanks