Technical Analysis

Technical analysis of forex, commodities and precious metals with trade signals where applicable.

Gold Analysis – A great Risk/Reward Trade in the making

Gold Analysis – A great Risk/Reward Trade in the making

Technical Analysis
The debate between Gold bulls and bears could perhaps be laid to rest in this very clear descending triangle chart from the daily time frame. With Gold having clearly broken the support level at 1283.6, the only way for Gold to head is down south. ECB's monetary stimulus package might have given Gold a short term boost but provides a good opportunity to sell the rallies. In the chart above, the descending triangle gives a target of $1184.86. We notice a minor bullish rally coming into play just near 150% distance to the target. With descending (or ascending) triangles, this is a usual norm, which allows traders to take a more confident trend. The red dotted lines at 1271.75 and 1267.71 is the most likely place for Gold to end its retracement rally. This level also coincides with ...
EURZND – Silently slipping away

EURZND – Silently slipping away

Technical Analysis
As the Euro kept creeping up higher against the greenback and the bullish trend of the British Sterling supported by what seems to be a text economic recovery, most trading circles obviously kept their focus on the majors such as the EURUSD, GBPUSD and not to forget some of the Yen crosses. While the British Pound might have found favour with the traders and thus becoming a currency to trade, the EURNZD has been virtually ignored despite some major market moving fundamental developments. Unless you've been living under a rock, the RBNZ in March hiked the interest rates by 25bps to 2.75% making it the first in the group of developed economies to hike interest rates. In a world of currency wars and record low interest rates, the RBNZ rate hike is something that definitely deserves a secon...