Category: Analysis

There has been a decent bullish rally in the gold market after the mighty U.S dollar suffered an extensive loss in the global market prior to the closing of the year 2016.The green bucks gained an extreme level of bullish power in the global market after the U.S presidential election held on 8th November 2016.After becoming the newly elected president Mr. Trump stated that they are going to increase the fiscal spending and incorporate tax cut policy. But four months have been passed yet the consumers has not been facilitated and this has created strong bearish sentiment in the global market. The gold bulls started their first bullish rally in the market after the slip of the U.S dollar index from its 14 years high in the global market. Most of the leading gold investors made a decent profit in the last couple of months by entering long into the gold market. However, the price of gold is now trading near a critical resistance level in the market and strong negative data release in the U.S economy will fuel up the gold bulls which will ultimately help them to clear the current resistance level in the market.

There has been a massive confusion into the mind of investors from the very beginning of the year 2016.Most of the retail traders in the financial world were worried about the pending interest rate hike decision by the FED. However, things have settled down to a great extent in the global economy after the U.S presidential election held on 8th November 2016.The green bucks got a major boost during the event of U.S presidential election held on 8th November 2016.After Mr. Trump become the newly elected president of the United States of America he stated that he is going to increase the fiscal spending from the very beginning of the next year. This created an extreme positive consumer sentiment and boosted the dollar in the global market. The price of gold is measured in the dollar so when the U.S dollar index rallies high in the market the price of gold drastically falls. The U.S dollar index is the measure of the over value of the green bucks against the six major currencies in the world. In this year there has been a massive fall in the gold price since the U.S dollar gained significant bullish momentum in the market. However, the price of gold found a decent bullish momentum in the market after hitting the critical support level at 1121.63.This level is going to play an important role in the next movement of the gold price and the professional traders are thinking that the price of gold will be…

GBPUSD Technical analysis: The GBPUSD pair showed some decent bullish movement in the last trading week after hitting the critical support level at 1.21963.The gained its bullish momentum in the market after the US dollar index slipped from its 14 years high in the market. However, the bullish move in the GBPUSD pair faded after hitting the critical resistance level at 1.23874.If the pair manages to break the critical resistance level at 1.2374 then we will see nice decent bullish move in the GBPUSD pair towards its next critical resistance level at 1.25387.This level is going to provide a significant amount of selling pressure to the GBPUSD pair and most of the professional price action traders will be looking to sell this pair at this level with bearish price action confirmation signal. However, a clear break of the price above that level will bring strong bullish momentum in the market towards the next critical resistance level at 1.27697. If the green bucks gain its strength back in the market then we will see a sharp drop in the GBPUSD pair. The first initial bearish target for the GBPUSD pair would be the next key support level at 1.21963.This level is going to provide strong bullish pressure to the GBPUSD pair but a clear decisive break of that level will bring a strong bearish momentum in the market. If the critical support level at 1.21963 fails to restrict the bearish move in the market then the pair will ultimately hit its…

GBPUSD technical analysis: 5th December – 9th December     Figure: GBPUSD daily chart The Great Britain pound has suffered an extensive loss in the financial market during the Brexit event. At the event, the pair sharply dropped at the critical support level at 1.13142.From that level, the pair managed to find some strong support and started its bullish correction on the daily chart. Last week the mighty dollar was broadly weaker against its all major rivals in the forex industry. These created a sharp rally in the GBPUSD pair and the pair has breached a critical resistance level at 1.26667.Currently, this resistance level will act as strong support and the current bullish target for the GBPUSD pair would be the first critical resistance level at 1.28609.If the pair manages to breach that level then we will see another sharp rise in the price towards the 50% retracement level. From the critical resistance level at 1.31522 we are expecting strong bearish momentum in the market since a significant amount of resistance lies at that point. Currently, the GBPUSD pair is in strongly bullish retracement. However, if the pair fails to retain its bullish momentum then the first bearish target for the pair would the critical support level at 1.26806.A clear decisive break of the price below that level will bring strong bearish pressure in the market which will ultimately drive the price towards the next critical support level at 1.23330.This level is going to provide a significant amount of support…