XAGUSD spikes higher
Precious metals have seen a surge in the past month as traders flocked to safe havens, with XAGUSD among the markets attracting renewed attention.
- XAGUSD has fallen back slightly after hitting the psychological level of 67.00, and this could be the ultimate test of buyers’ resolve.
- A bearish breakout in XAGUSD would expose this month’s lows towards 63.50, invalidating the recent rally.
- An overbought RSI brought in some sellers, as the indicator drops lower.
- A close below 66.00 would help attract more selling interest in XAGUSD.
USDCHF hits major resistance
The dollar weakened after last week’s jump ran out of steam.
- The pair is still bearish, probing for support as buyers take some chips off the table.
- The recent bounce at 0.8260 has seen a slight pullback, suggesting sentiment remains cautious.
- 0.8200 is a critical floor to keep the current rebound valid or risk a bearish continuation.
- Further down, 0.8120 would be the second line of defence if a sell-off continues.
GER 40 looks for a lift
The Dax dropped lower as the index looks for bids to prevent a deep sell-off.
- 25200 is key in keeping the upward bias intact, or its breach could trigger a prolonged correction.
- 25600 is a fresh resistance level should energy prices drop lower to help stocks drive higher.
- A fresh high is in sight if the index can clear the said resistance, with 26000 the next target.
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