USDCHF breaks resistance
The Dollar rallied after Donald Trump’s victory reached 270 electoral votes to declare him the next US President. The pair broke above the 0.8700 resistance level from the base of a recent bullish breakout. A jump above the first resistance level has led some sellers to trim their bets, but the next level of 0.8800 remains a significant hurdle to lift before a rally can gain greater traction. A fall below 0.8640 would force the latest buyers to bail out and trigger a potential sell-off.
XAGUSD tests support
The rush on the greenback has left the metal market licking its wounds. Silver has fallen significantly from its peak, just below 35.00, and renewed selling could be expected in the key supply area at 32.00. 31.50 is the immediate support, and a U-turn below it would expose the October low to 30.00. A meaningful recovery would only materialise if buyers manage to push past the spike at 32.50.
GER 40 lacks follow-through buying
Global indices were also rallied after the Trump’s victory, which also saw the Dax fluctuate by a few hundred points. While a close above the previous swing high at 19300 has given buyers some breathing room, they have struggled to follow through and show their commitment. A pullback below 19150 could lead intraday buyers to close their positions, leaving 19000 as a critical floor to keep the momentum going, as its breach could send the index lower.