XAGUSD (Silver) hitting higher highs
Since its bullish momentum from the start of the year, XAGUSD (Silver) is looking to remain stable above the $30 level. The channel support that has stopped the metal from moving to December’s lows below 29.00 remains in places for now. However, a break here could open the way for 28.50 and then 27.80. If buyers step in, the psychological 32.00 level could be recaptured, with another upturn towards 34.50 in play.
GBPUSD bounces back
The pound has seen firm gains against the dollar as it approaches a full recovery from this month’s sell-off. With price action moving higher, the 1.2600 level becomes the following validation to the upside. If there is no correction on this trend, the recent peak of 1.2550 leads the way back up to 1.2600 and then a possible test towards 1.280. Failing that, any signs of weakness would put 1.2380 in the spotlight, with a bearish divergence still in play on the RSI.
USDJPY begins correcting
The corrective bounce on the Japanese yen continues as the 155.00 level is breached for the first time since December. The pair is now aiming for four straight days of declines from the past few sessions, with a fall of over 300 pips. With the RSI looking to venture into the oversold area, prices are expected to slow down from the recent trend. A close above 155.50 could lead the greenback towards 157.00, with 154.00 being a key support to the downside.