XAUUSD gearing up for another high
Gold pushes to remain bullish after pulling back from its all-time high. Some stiff selling at 2760 with an upper wick indicated a rejection of higher bids. The recent swift U-turn means that the bears are still in the market and could pull the yellow metal lower. The swing low of 2710 is the next stop to see if prices will drop further. A break above the recent peak would see 2800 as the next target.
EURUSD breaks lower
The US dollar maintains its strong rally over the Euro as prices hit a multi-month low. The pair has remained under pressure after breaking the 1.0900 level. A limited bounce to 1.0820 failed to attract meaningful bids, which is a reminder that sellers are still in the market and would look to sell into strength. A fall below the next support at 1.0750 would trigger a new round of sell-off below 1.0700. 1.0800 has turned into a fresh resistance as the RSI remains oversold.
GER 40 struggles to stabilise
The Dax slipped as European PMIs failed to lift the index. After hitting a top of 19650, the index is trying to stay afloat above its following line of defence at 19400. A bearish breakout would cause more liquidation and press bids down towards the previous bottom at 19000. 19500 is the immediate hurdle, and the newly formed resistance level is an area of congestion to clear to ease the pressure.