XAUUSD testing $3400
Gold (XAUUSD) remains pressured after the Jackson Hole Symposium left more questions the answers.
- A bounce below 4500 has prompted buyers to cover, easing the upward fightback.
- The direction remains skewed to the downside and any rebound could attract the bulls’ attention.
- 4450 is the next obstacle to clear for a potential pop below 4400.
- On the upside, 4525 and then 4600 is a fresh target for gold to get back on track.
USDCHF jumps higher
The US dollar jumped across the board as latest speech by the Fed Chair Warsh signaled a very hawkish tone.
- A elevated price action changed buyer’s portfolios as the pair settled at the 0.8100 area.
- Trend followers are likely to be waiting to sell into strength and 0.8140 would be the first area to look for resistance.
- 0.8060 is the closest support to see if prices will test the recent bottom at 0.8000 again.
EURGBP tests key support
The Euro hits a double bottom after moving over 50 pips last Friday.
- After a bit of hesitation, a convincing resistance zone around 0.8585 has seen bulls pull back.
- The said zone is now a key hurdle as its breach could help bulls take over the short-term direction.
- 0.8550 and then 0.8535 at the start of the latest breakout is the first support in case the bear rally continues.
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