Gold inaugurated Friday trading session with almost $7 losses after peeking to 1323.43 high as a correction with expectations for more upward action in the coming trading sessions. With daily RSI above 70 indicating an overbought market, it is expected that the precious metal could test 5-EMA at 1312 and 10-EMA at 1302 which could recoup gold bulls before extending further upside action.
As for EUR/USD, the pair clocked 4-months fresh highs yesterday at 1.2088 with expectations to take 2017's highs and extend gains at 1.2230.
Gold Technical Overview:
Closing price: 1321.94
Target price: None
Resistance levels: 1318 - 1328 - 1334
Support levels: 1314/12 - 1305
Trend reversal price: 1293
Comment: The market is bullish and it shows potential at 1328+/- and 1350. Trade is positioned to extend rallies today, but be in guard for stall and setback around 1328+/-. Any corrections that last two days and stays over yesterday's lows will maintain bull forces. A drop under 1305 alerts for a near term reversal info corrections back under 1300-. cautioning for back tracking 1293* and in case gold closed below it, the trend will shift downward.
EUR/USD Technical overview:
closing price: 1.2068
target price: 1.2100
Resistance levels: 1.2100 - 1.2150
support levels: 1.2020 - 1.1990 - 1.1950*
Trend reversal price: 1.1950*
Comment: The short term trend is up and pressing rallies give bull signals for a run at 1.2100+. A close over 1.2100 is bullish. A back off from 1.2100 cautions for 1-2 corrective - flagging setback days. Corrective dips should now should now fight to hold over 1.1990 to maintain upside momentum forces. Although, only a close below 1.1950* flips the short term trend forces down.