Gold At Year End

Gold is about to close the yearly candle just some $10-$15 dollars above its lowest for the year ($1046). Low volatility can be expected in the rest of the last trading day of the year with most of the traders and investors already enjoying their winter holidays.

As to you, I would like to thank you for reading my blog and I promise to keep providing you with quality content based on evidence and the art of technical analysis.

May the sweet taste of success fill up your life throughout the new 2016.

Love,
Rozen

Chart: XAU/USD D1

Silver At Support

Silver is trading at support level for the past few days with prices piercing slightly below it and then recovering back above it. While bears are trying to beat down the bullish impulse, market sentiment is still neutral as this is the level where price would decide the direction based on supply and demand. 

Currently, Silver is trading at 13.87, but sharp moves to both sides can be expected in the first trading days in the new year. 

Chart: XAG/USD D1

GBP/USD Close To Support

The Sterling Bulls are having a disastrous time. A couple of months ago price was targeted to reach 1.55 before the end of the year from a lot of experts and analysts. The saying of Jesse Livermore "the market is designed to fool most of the people most of the time" holds true in this case specifically. 

Price retreated to even lower than before reaching 1.4785 in today's session. While this might be a good buying opportunity, you may want to wait for the pair to first bounce off the support level, as shown in the chart below.

Chart: GBP/USD D1

Gold Range Bound

Since the beginning of November, Gold has been trading in a seemingly tight range for its capabilities. $1,097 and $1,046 are the high and low levels for the precious metal for two months, Currently, Gold is trading at $1,068 with only mild fluctuations of about five dollars for the past few days.

The reason behind Gold not doing anything grand is that most traders and investors are outside the markets right now and low volumes create low volatility. It's interesting to observe what the closing price of the year would be!

Chart: XAU/USD H4

AUD/NZD Saved By Support

The pair reached the support zone a few days ago. Yesterday we posted the analysis where we talked about price hitting support and reacting positively to it. Well, today we have a confirmation, at least in the short-term, that AUD/NZD is headed north.

Today's trading session gave a good momentum and price reached 1.06800 while only yesterday it was trading at 1.05800.

Stable support zone now is 1.06000 while first resistance is to be expected at 1.06900.

Chart: AUD/NZD D1

GBP/USD Support

Has the long ride of the bears come to an end? It look so according to the daily chart. Price was caught in a downtrend from 1.5250 to 1.4790. Yesterday, however, bulls decided to take the wheel and GBP/USD was only able to touch the support line after which the pair started gaining.

Thus far, price has slightly recovered, but a long way is yet to be covered. First resistance zone might be expected aroung the 1.50 level.

Chart: GBP/USD D1

AUD/SGD Yet To Be Decided

The faith of this pair is on a crossroad between the north and the south. Currently, AUD/SGD is trading at resistance zone and a clear direction is yet to be defined. 

It is too early to pick a trend so it would be best to wait for clearance once price heads in a certain direction. 

Levels: First support is at 1.01020, second is 1.00176 and third support appears to be 1.00086. 

First resistance is at 1.01835, second is 1.02194 and third resistance appears to be 1.02687.

Chart: AUD/SGD D1 

AUD/NZD Hit Support

The pair is trading at support for a fourth consecutive day after it touched the support line on Thursday. Currently AUD/NZD is trading around 1.0600-1.0620. It seems bears are having a hard time trying to push prices below daily support at 1.0600.

The lowest it got was today's low at 1.0578 but bulls gave a good effort and immediately brought the price back into the channel.

Second level of support is 1.0578, third level appears to be 1.0496.

Chart: AUD/NZD D1

Gold Posts New Losses

Gold has been having a bad time ever since the FED rate hike took place. The moment the decision was announced Gold made a $15 spike only to recover seconds later. The after effect, however, turned out to be strongly bearish for the precious metal.

Gold went from $1,079 to $1,047 in less than two days posting the quickest loss since November 16. Currently, Gold has recovered slightly and is trading at $1,055. Its future is yet to be decided, but with a strong bearish market sentiment and the strong US Dollar, we might witness an attempt to reach the zone aroung the $1,020 mark.

Chart: XAU/USD H4

USD Gaining Strength

The US Dollar posts new earnings in today's trading session. After the FED decision to raise rates, the Greenback is witnessing good support pushing the EUR below 1.08.

With this pace a break below 1.0790 could lead to an attempt to test first support zone at 1.0760. If this level does not hold, price is bound to go to 1.0630.

Currently, the EUR/USD is trading at 1.0815. Today is a non-event day, which means that there will be no market movers and shakers. Enjoy your weekend!

Chart: EUR/USD D1

From One Quarter To One Half

At long last, a rate hike for the history books. The Federal Reserve has raised the interest rates for the first time in 9.5 years.

In a landmark step, the US central bank announced a quarter-point increase in the target range for the federal funds rate to 0.25-0.5 per cent, lifting it from the historic lows it has occupied since December 2008, when the US was mired in an economic crisis that would ultimately drive unemployment to 10 per cent.

 The increase comes amid signs of a steady US recovery, with consumer spending growth holding firm and unemployment standing at just 5 per cent, lower than the 5.3 per cent rate that was prevailing when the Fed last kick-started an interest rate-raising cycle in 2004.

Gold Slightly Up Before Last FED Meeting

Gold is trading a bit higher in today's session due to high expectations and concerns regarding the FED decision which is to be expected in less than 5 mins.

This is the last FOMC Meeting for the year which could turn into a very very historic event for the last decade.

Can we get the first FED rate increase in nearly 9.5 years?

Chart: XAUUSD D1

EUR/USD Lower After Upbeat US Data

The EUR/USD is trading lower since the news came out today. 

USD Consumer Price Index (YoY) (NOV): 0.5% actual vs 0.4% estimate, 0.2% prior. Currently the EUR/USD is trading at 1.0970, prior to 1.0990. 

Keep positions closely observed as tomorrow we might witness higher than usual volatility due to the last FED meeting for the year where we might see a raise in the interest rates. 

Technically, prices are sliding on the 200SMA implying that a big move to either sides is a possibility.

Chart: EUR/USD D1

Personal Trading Strategy

As we very well know, today's technology allow for trading directly from your home. Thus, you do not need a middle man to do the job for you. To rely on your own abilities, skills, experience and knowledge, however, you need guidance.

Such guidance can be found in ActivTrades webinars, just as the last one called The Four Pillars of Personal Trading, by Malte Kaub.

In case you missed it, worry not, for you have the schedule posted HERE.

GBP/JPY Broke Support

The pair is trading below support since today. It broke the major support on December 8 and since then it has not been able to recover above it. Instead, bears are pushing even lower with prices touching 183.35 today and GBP/JPY is trading below 184.25 - major support level.

Should price continue trading further down we might expect a new bottom around 181.90. It is more likely, however, that bulls will try to regain dominance and push prices above support.

Chart: GBP/JPY D1

USD/JPY Sharp Decline

The pair has been undervalued for the past few days trading rapidly to the downside. Although the pair is trading really close to major support, the possibility of a break out below it remains strong. Currently USD/JPY is trading at 121.30-something, raising bulls' hopes to buy at the bottom around 121.

Consider the fact, that if you would want to open a heavy position to either sides, extreme volatility is bound to take place on December 15 and 16 caused by the last FED meeting for the year.

Chart: USD/JPY H4

CAD/JPY Broken Triangle

The pair breached the support level yesterday by trading significantly below the triangle formed on the daily chart. With price below critical support, CAD/JPY might attempt to go for lower levels, targeting the 87.50-87 price range.

First support appears to be 90.50, second support is 89.70 and third and strongest support is 87.50.

As to resistance: 92.20; 93.10; and third and strongest is the 200SMA at 95.00.

Chart: CAD/JPY D1

CHF/SGD In Uptrend

The pair is trading heavily to the upside since the last few days. It bottomed at 1.3660 and then took off to reach a high of 1.4111. Currently CHF/SGD is trading at 1.4034. First resistance would be the level of 1.4260. If this level is breached, then we might witness an attempt to go for 1.53 and beyond. 

On the other hand, should bears decide they took enough beating, price might retreat to previous lows of 1.3660 and below. 

If you don't feel confident in taking a long CHF/SGD you might want to hedge by shorting EUR/SGD. 

Chart: CHF/SGD D1

Beautiful Harmonic on NZD/CHF

This formation is one of my favorites. It is relatively rare, but when present it makes sure it is there to please. The harmonic pattern is a powerful design in the markets. It can currently be observed on the daily chart of NZD/CHF.

Price reached peak, started to go down, then tried to gain back what was lost and failed only to slowly go to the golden ratio and then plunge. Beautiful.

Chart: NZD/CHF D1

CHF/JPY At Resistance

The pair is trading exactly at the long term resistance at 122.50-122.70. Have in mind that today was a day filled with high volatility caused by the Euro. Its impact was felt all over the markets and CHF/JPY was not an exception.

The pair was heavily traded for the past few hours and bulls managed to reach the potential sell zone at 122.50. Currently price is still trying to pick a direction, one problem is the high volatility, so if you want to take any heavy positions, first wait for the noise to pass and open your position in silence.

First resistance - current market price (122.50), first support - 121.80.

Chart: CHF/JPY D1

Gold Humble

There has been a lot of controversy whether Gold is going to rise or fall. One thing is for sure, though, it is exceedingly underpriced. And so far it does not look like it has bottomed yet. This month will be crucial for the markets as we expect the FED to raise rates and change the game as we know it.

It would be best to restrain from heavy positions in Gold and Dollar-related instruments until noise passes and silence takes its place.

Back to Gold. It has found resistance on the upper trend line on H1 and is currently trading below it at $1,065. Bearish sentiment remains the leading reason for the price to continue losing ground as we see traders and investors head to Dollar. Next stop to the downside would be slightly below $1,050 and first stop to the upside would be $1,075 if resistance level is broken.

Chart: XAUUSD H1

EURUSD Still Holding

Not much has changed for the past few days for the EURUSD. The pair has been range trading between 1.0570 and today's high 1.0636. With nothing to back up the Euro, the Dollar is bound to continue thriving and taking up more and more space down south on the chart.

Currently, EURUSD is trading at 1.0616, while support remains closely at 1.0550 and resistance rests even closer at 1.0640.

Chart: EURUSD D1