Rosentray's Daily Commentary

[rosentray]

EUR/USD is going higher today after a few days of consolidation around 1.06. The pair is now 1.0616. First bull target is seen at 1.0625.

 

[rosentray]

Gold reached a high of $1,279. The precious metal may take a breather now and consolidate between $1,270 and $1,280 until Friday when important US data is coming out.

 

[rosentray]

Gold reached it's highest point since the election day in the US on Nov 9. The precious metal then reacted bullishly to initial results and after that went downhill due to the strong US dollar and rallying US equities.

Gold made a low of $1,122 on Dec 15 last year and since then it has been gaining in price. Gold is now $1,287 and is trading at the upper trendline on the medium term outlook.

If the level holds, we might see bears taking over the Gold market and pushing the price down to a first support zone at last low of $1,246. However, the trend seems solid and we might more likely see the metal going higher to a first and very important level - $1,300, the psychological target.

Today's US data might give the metal a more certain direction.

 

[rosentray]

EUR/USD is now trading at 1.0615 amidst mild volatility ahead of the US CPI and Advanced Retail Sales data.

 

[rosentray]

USD/CAD reacted strongly to last week's support when the pair briefly touched the support line at 1.3220 and then went to the upside. The gains, however, might turn out to be short-lived. After the initial impact, USD/CAD went to a high of 1.3342 and then the momentum disappeared.

The latest lower than expected US data that came out on Friday, the CPI and ARS, reflected in the price of the US dollar. USD/CAD is currently trading at 1.3297, down some 50 points until now.

The opening hours of today's session can be described as hours of low volatility and insignificant moves that could help traders and investors gain some insight about market sentiment and overall market conditions.

 

[rosentray]

EUR/USD is trading slightly higher in today's early European hours. The pair is currently at 1.0635 as market participants are getting ready to return to the markets after a few days of rest and low volumes.

 

[rosentray]

The speech by the UK Prime minister Theresa May focused on holding general elections on June 8. The news initially drove investors away from the Sterling but just a few minutes before the speech ended, the Sterling skyrocketed leaving all bears caught by surprise.

One of the most influenced pairs was the GBP/.CHF pair which reacted bearishly right at the resistance line at 1.2640. The pair reached a low of 1.2551, then spiked to a high above 1.2683.

Economic growth, according to Theresa May, has exceeded all expectations and the leaving of the EU would not be a disaster as expected by many people.

Other GBP pairs were also influenced by the speech. GBP/USD is now 1.2664. Overall, a very positive reaction in the Bullish camp of the UK currency.

 

[rosentray]

EUR/USD is trading higher today after a good start of the week yesterday. The pair reached a high of 1.0735 and is now trading slightly lower at 1.0724.

 

[rosentray]

USD/JPY has been trading to the downside ever since it reached its peak post-elections when Trump became president. The pair reached a high of 118.60 on Dec 16 and then slowly started to depreciate until recently when it made its lowest point at 108.11.

The pair is now 108.99 and it seems that the support level has successfully managed to hold the bears from destroying the trend. More important, however, is the fact the Yen has been depreciating against all of its peers.

The Yen is trading at support against the Australian dollar as well so we might expect a change in direction. The GBP/JPY pair is the only one that is going to the upside due to the unexpected announcement about the UK General Elections in June.

 

[rosentray]

The EUR/USD pair had a relatively calm day today. The move to the upside seems hard to continue so the pair traded sideways. Current market price: 1.0714, support 1.0680, resistance 1.0750.