Market Analysis

GOLD

GOLD prices have stagnated following yesterday’s session, although we did see a rise from the EMA200, which still supports the case for a continuation to the upside. The MACD reflects increased bullish momentum, but the RSI is entering overbought territory, indicating a potential slowdown. We anticipate further buying, but will wait for a clean breakout above the current consolidation zone before confirming. Economic indicators support a longer-term bullish trend for gold, and trade timing will be key to entering at the right moment.

SILVER

SILVER continues to show bullish strength and momentum, with both the MACD and RSI rising, reflecting growing volume on the upside. This strength may suggest that GOLD could temporarily slow down, but there’s still room for a breakout. We remain bullish on silver and are watching for continued upside movement in the days ahead. With silver’s growth supported by economic indicators, breakout entries could present great opportunities for traders.

DXY

The Dollar is currently being squeezed into a tight range by the EMA200, which is acting as dynamic resistance. The MACD shows growing bearish volume, while the RSI holds a neutral-to-bullish tone, though it’s flattening. We maintain our bearish bias, as price continues to respect the broader bearish structure, and will look for more selling opportunities if this structure holds. Trade timing will be crucial for traders looking to capitalize on USD movements as we monitor major currency pairs like EURUSD and GBPUSD.

GBPUSD

The Pound is gaining strength after bouncing off the EMA200, in line with expectations. Both the MACD and RSI confirm bullish momentum, supporting a continuation of the upside move. However, we acknowledge the possibility of short-term consolidation before further progress. We continue to look for bullish opportunities. Major currency pairs like GBPUSD are primed for breakout entries, with further upside potential as economic conditions evolve.

AUDUSD

The Aussie Dollar is showing growth after a rebound from the EMA200, sustaining the overall bullish momentum. That said, both the MACD and RSI are showing weakness in directional conviction. Due to this lack of clarity, we remain conservative in this market but will keep an eye open for buying setups. Trade timing and monitoring economic indicators will be key as the market decides its next move.

NZDUSD

The Kiwi is also gaining bullish traction, supported by a rising MACD and an RSI that’s stabilizing, showing that momentum is being normalized rather than exhausted. Overall market structure remains bullish, and we expect continued buying—albeit with caution as we monitor market sentiment. Breakout entries may present themselves as the market sentiment shifts, with the bullish momentum still intact.

EURUSD

Euro remains stuck in a range, hovering around the EMA200 with no significant developments. Since structure hasn’t changed, we retain our bullish bias but await a clearer directional move to increase confidence. Major currency pairs like EURUSD could offer trade timing opportunities as they break out of their consolidation zones.

USDJPY

Yen prices have nearly shifted to a bullish structure, but we’re seeing bearish volume return on the MACD, suggesting a potential slowdown in upward momentum. Meanwhile, the RSI still reflects bullish pressure. We remain cautious and prefer to wait for a decisive breakout or breakdown before committing to a direction. Trade timing will be critical in determining whether to enter long or short positions in USDJPY.

USDCHF

The Franc is also consolidating, but the MACD and RSI are both showing increased bullish momentum and volume. While we expect buying to continue, price action is heavily dependent on overall market sentiment and confidence in the U.S. Dollar. Without clear progress or resolution on dollar-driven fundamentals, this pair may remain in stagnation. Major currency pairs like USDCHF will continue to be influenced by shifts in economic indicators.

USDCAD

The CAD has pulled back after its second attempt to break above the EMA200. The MACD is showing increased bearish volume, while the RSI is flashing mixed signals, calling for extremes in both directions. This suggests a continued phase of consolidation, and we’ll refrain from taking action until the market defines a clearer trend. Breakout entries may become attractive once the market shows clear direction.

COT Reports Analysis

• AUD – WEAK (3/5)
  
• GBP – WEAK (3/5)
  
• CAD – WEAK (2/5)
  
• EUR – STRONG (5/5)
  
• JPY – STRONG (5/5)
  
• CHF – WEAK (4/5)
  
• USD – STRONG (5/5)
  
• NZD – WEAK (4/5)
  
• GOLD – STRONG (5/5)
  
• SILVER – STRONG (4/5)

Final Thoughts

As market dynamics shift, staying informed on economic indicators and the performance of major currency pairs is essential for navigating the forex landscape. While gold and silver continue to show bullish momentum, caution is needed when entering trades, especially in markets exhibiting consolidation or mixed signals. Trade timing is crucial in these environments, and identifying breakout entries will be key for traders seeking to capitalize on upcoming movements. By closely monitoring price action and economic indicators, traders can position themselves for success in this evolving market.