Posted by fxmars.com
On the D1 chart we see how the upper level of the orange bearish corridor from May 12 has been turned from a resistance into a support. After the break from June 25, the price was resisted by the blue bearish trend line from 2008 and created a top at 1.37000. After the bounce from the orange bearish line, the stochastic oscillator went out of the oversold market area and both the indicator and the price started increasing. For this reason, we believe that the price is likely to increase even more, where the potential resistances to be met are at 1.36711 and 1.37000.
After bouncing from the 101.197 support at June 30, the price started increasing and it created a top at 102.215. The followed decrease reached again the 101.197 support, which is the current location of the price. After meeting this level again, the price demonstrated a decrease in its bearish intensity. Furthermore, the stochastic oscillator touched the area, which signalizes for an oversold market, and its two lines are about to cross in bullish direction, which supports the bullish idea caused by the 101.197 support. For this reason, an increase to 102.215 is likely to occur, and maybe to 102.770 afterwards.
After breaking through the top at 1.70475 on June 30, the Cable created a new high at 1.7180. Currently, the price is consolidating right under this level and the consolidation resembles a triangle, which speaks of an eventual move of the price. At the same time, the stochastic oscillator is testing its bullish trend line from May 15 and it seems like the stochastic is about to bounce in bullish direction. For this reason, we believe that the price would eventually break its last top at 1.7180 and would probably increase even more.
After bouncing from the yellow bullish trend line from March 13, the price increased and reached the orange bearish trend line from June 5. The stochastic oscillator interacted with the area of the oversold market and the price started decreasing. The pair is now about to meet the yellow bullish trend line from March 13 again and the stochastic is about to enter the area of the oversold market. The orange bearish trend and the yellow bullish trend close a triangle, which is about to break. If the break is bullish, the price would probably meet the resistances at 0.89486 and 0.90367. If the break is bearish, the supports are at 0.88618 and 0.87453.
The bearish divergence between the last two tops of the price and the stochastic oscillator was satisfied and the price decreased again to the support at 0.93196. A bullish bounce occurred and the price was resisted again by the level at 0.94347. Having in mind that the 0.94347 resistance has already been broken in bullish direction, this is the level, which is likely to be broken again. Anyway, there are not any clear signals from the price for now. Consider the potential resistances of the price at 0.94347 and the last high of the price, and the potential supports at 0.93196, the already broken purple bearish trend from April 10, and the support at 0.92027.
The price has been moving in a slighter bullish corridor (orange), while meeting the resistance at 1331.38. Currently, the price of the Gold is testing the upper level of the bullish corridor and the stochastic oscillator is about to enter the overbought area. Furthermore, there is a bearish divergence between the tops of the stochastic and the price. For this reason, we believe that the price of the gold would decrease at least to the lower level of the orange bullish corridor, before taking any other direction.
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