(XAUUSD) Gold traded to a new record
Gold traded higher for a third day in a row as buyers pushed price action towards a fresh peak. The price is testing 2680 at the previous top with 2700 in sight. 2640 at the base of the latest bounce was a vital level to sustain the bullish thrust, as its break would have forced buyers to abandon ship. The level of 2600 is vital to maintaining the rally, and its breach could trigger a drop towards 2560.
EURUSD drops lower
The euro continues to weaken as the greenback continues its 350 pip surge. After breaking below 1.0900, price action now turns its attention to August’s low at 1.0780. A subsequent break below 1.0840 would indicate that bears are in full force after the pair continues to collapse. The recent bullish divergence on the RSI is the key indicator to see if buying will pick up again, and 1.0950 would be the first hurdle to lift.
GER 40 looks for fresh high
The Dax maintains its bullish advance with another jump away from the psychological level of 19000. A bounce off 19400 on the daily chart has put the bears on the defensive. 19550 has turned into a fresh resistance and a pullback, and a few points could be seen shed off the index as the RSI sinks towards the neutral area. 20000 is the next stop to see if the rally will continue or if prices will become vulnerable to a deeper correction below 19000 in the medium term.
