Bearish breakdown on the USD/CAD

The USD/CAD had been oscillating around the 1.3800 and the 1.3900, forming what it appeared to be a symmetrical triangle. Today the price breaks below the triangle and below the 1.3700 level. If it continues dropping, the 1.3600 could act as support. If the price breaks to the upside, above the 1.3900 level, then the 1.4000 could act as resistance.  The 21 day exponential moving average, yellow line, has been holding down the price pretty well. It seems like the bearish trend is still in place.

Bearish breakdown on the GBP/USD

The Pound versus the Dollar has broken and important trendline to the downside today, which we had noticed and identified a few days ago. Actually, the line that the price has broken to the downside is the lower trendline of a symmetrical triangle on the daily chart of the GBP/USD. On the chart we can also see that the price has found a good resistance on the 55 day exponential moving, purple line. At the moment, the price has found a good support at the 1.4300 level, but if it breaks that level to the downside, the 1.4200 or the 1.4100 could act as support.

Possible buy entry on the EURJPY 5 minute

On the 5 minute chart of the Euro versus the Yen we can see that the pair has broken above the 128.00 level and it has returned to that zone. It is possible for the 128.00 to become support and the price may bounce again to the upside. Therefore, we should be attentive to a possible bullish bounce. Its next resistance could be the 129.00 level.

Continuation of the pullback on gold

Gold bounces to the downside from the 200 week exponential moving average towards the 1200 level. The 1200 level could act as support, but if it breaks it to the downside, the 55 week exponential moving average, purple line, could act as a better support. Any of those two levels could serve as long entry points. If the price returns to the 200 week EMA, then that level could act as resistance once again. It is possible for the price to go back up, since the bullish trend is still in place.

Gold reaches its 200 week EMA

Today gold accelerates its bullish momentum above the 1200 level as shown on the daily chart and reaches the 200 week exponential moving average, around the 1257 level. On that zone price tries to stall and bounce to the downside. On the daily chart to the left of the image we can see in better detail the bounce from the 200 Week EMA and how the 1232 area could become support. But we must be attentive to a possible visit of the 1200 level, because that level has a higher probability of becoming support.

Oil continues dropping

Light crude oil or WTI breaks below the 28.00 level and its bearish momentum accelerates. There are no strong fundamental reasons for oil to rally at the moment, and that is why when oil tries to rally, it comes back down. The bearish trend is still in place for crude and if it continues dropping, then the 27.00 level could act as its next support. To the upside, the most important resistance level could be the 31.00 zone, where we can also see the 21 day exponential moving average, yellow line.

Gold and the twelve hundred Dollars per ounce

Gold has been rising lately due to the fact that the stock markets are on a downtrend and have been weakening among a rise in risk aversion. Gold is used as a safe haven instrument or investment and that is why when things get spooky, money flows into gold. On the daily chart of the precious metal we can see that the price has reached the 1200 Dollars per ounce, but the zone has acted as a resistance and price stalls around there. Price may try to bounce to the downside, but it may also break that level to the upside.