Gold loses its bullish momentum

Risk appetite has come back into the markets causing the price of gold to retrace to the downside, due to its status as a safe haven asset. Gold has a very good bullish momentum since the fears of a trade war between the United States and China hit the markets. Now that certain US officials are meeting with their counterparts in Beijing, the markets are back in risk appetite mode. The main stock indexes around the world are rallying, but gold is pulling back. The rally on gold took the price of the precious metal above the 1350 level, but today the price comes back down to the 1345 level. In case gold continues falling, its next support level could be the 55 day EMA around the 1323 level. To the upside, its most relevant resistance is at the peak reached at the 1366 level.

Copper price action very technical

On the daily chart of copper we can see very interesting technical levels that have served as good resistances or supports. First of all, the price of copper has been in a downtrend during the past few months and today it has reached a low around the 294.25 level. The current daily candle has the shape of a doji, which is an indecision Japanese candlestick pattern. The price of copper did not stalled its drop at the 294.25 level by chance, exactly at that level we can find the 55 week EMA. Below the 55 week EMA at the 294.25 level, we can find the 200 week EMA at the 279.77 level. Any of those weekly moving averages may act as an important support for copper. To the upside, the 200 day EMA (blue line) at the 302.47 level may act as resistance. That same level of the 302.47 already acted as support in the past and it may change its function to resistance. Above the 200 day EMA, its next resistance level could be the 55 day EMA (purple line) at the 313.01 level.

Trend reversal on the USD/CAD?

The USD/CAD has broken below the bullish trendline that we can see on the daily chart and it could be signaling a trend reversal. However, the pair may find a good support zone around the 1.2793 level and the 1.2730 level. First of all, the 55 week EMA is crossing around the 1.2793 level, below that area we have the 55 day EMA and the 200 day EMA at the 1.2730 level. We can see now all the factors than coincide around the same zone and that could act as a good support level. The stochastics indicator has space to continue falling, therefore the price of the USD/CAD could also drop some more. On the other hand, if the pair breaks below the 1.2730 level it would have the road clear to drop to the low at the 1.2244 level. In case of a bullish bounce from the current zone, the most relevant resistance level is the peak at the 1.3121 level.

The Pound loses its bullish momentum

Apparently, the GBP/USD has lost its bullish momentum once it broke above the 1.4200 level as shown on the daily chart. However, if the pair continues rising, then the 1.4300 level could act as resistance, due to the fact that the pair has already peaked at that zone. Today’s daily candle has closed like a shooting star and that is a bearish reversal pattern. Therefore, the GBP/USD may try to pull back to the downside and probably reach the 1.4000 level. Below the 1.4000 level, its next support zone could be the 1.3900 area along with the 55 day EMA. Much lower, at the 1.3700 level we can also find a very good support zone, followed by the 1.3600 level, which has acted as resistance in the past and could change its function to support.

Amazing rally on oil

WTI oil rallied during today’s session, supported by the drop on the US Dollar and the lower than expected US oil inventories. The political tensions in the Middle East have also caused the price of oil to rally. On the daily chart of WTI oil we can see that the price was in a consolidation or symmetrical triangle before taking off and breaking above the 64.00 level. The price has also broken above the 65.00 level to reach a high around the 65.50 level. If WTI oil keeps rallying, then the high at the 66.59 level may act as resistance. On the other hand, in case of a bearish pullback, the 64.00 level may act as support, level that was acting as resistance in the past. Below the 64.00 level, its next support could be the 61.00 area where we can also find the 55 day EMA (purple line).

Important support on copper

The price of copper has been very volatile lately and disorderly as shown on the daily chart of the commodity. Even though there is no clear trend on copper in the midterm, we can see that the price has fallen back to the 302.58 level where we can find the 200 day EMA (blue line). The 302.58 level has already acted as a support in the past and it is possible to see another bullish bounce from that zone. To the upside, the 55 day EMA (purple line) at the 314.90 level could act as resistance, but above that level the next resistances could be the 325.00 level followed by the high at the 330.66 where we can find the 200 month EMA. On the other hand, the highs of the daily candles are being lower than the previous ones, indicating that the bearish pressure is accumulating at the 302.58 level, therefore we could see a breakdown of that level and the price of copper could fall to the low at the 294.25 level.

Strong rally on the Pound

The possibility of the Bank of England modifying its monetary policy has boosted the Pound to the upside, along with the Brexit negotiation advances. On the daily chart of the GBP/USD we can see that the pair has broken above the 1.4000 level and came very close to the 1.4100 level to pull back a little bit to the 1.4041 level where we can find its 200 week EMA. The GBP/USD had a sustainable bearish trend or correction, but at the beginning of March the pair started to rally again and it is possible that it has come back to its bullish trend. However, in order for the bullish trend to be sustainable, the price must break above the 1.4300 level where we can find the 55 month EMA. On the other hand, we must keep in mind that the round number levels at 1.4100 or 1.4200 could act as resistances. Below the 1.3900 level, the price of the GBP/USD would be breaking the current bullish trendline and it is possible to see a breakdown of the 55 day EMA to go back to its bearish trend. The 1.3700 level would be its most relevant support in the mid-term.