Market Analysis
GOLD
Gold prices have tested the EMA200 and are now exhibiting signs of continued consolidation. While the RSI nears oversold territory, price action lacks the conviction for a strong rebound. The MACD remains flat, offering no clear signal. We maintain a neutral stance until a decisive break below key support levels confirms a bearish continuation. Until then, the range remains intact, with short-term volatility expected.
SILVER
Silver continues to trade within a tight consolidation zone. MACD and RSI are neutral, reflecting indecision in the broader market. Without a confirmed breakout, directional conviction is low. We remain sidelined until momentum strengthens in either direction.
DXY (U.S. Dollar Index)
The U.S. Dollar remains range-bound as the Fed holds a cautious stance. Policymakers await clarity on trade negotiations before deciding on rate cuts. Both MACD and RSI show signs of growing bearish pressure, although the broader price structure remains bullish for now.
Geopolitical tension is mounting, as former President Trump warned that nations refusing to negotiate in good faith would face proposed tariffs. This mixed message—threatening tariffs while signaling openness to negotiation—is contributing to Dollar volatility. Traders should expect near-term swings driven by headline risk.
GBP/USD
The Pound has surged against the Dollar, supported by strong buying volume confirmed by both MACD and RSI. However, the pair is now near the upper boundary of a major range. A breakout above the previous high would confirm bullish continuation. Until then, a short-term pullback is likely. We remain cautiously optimistic but advise patience at resistance.
AUD/USD
AUD/USD continues to consolidate, but technicals are shifting toward a bullish bias. Both MACD and RSI are showing upward momentum, and the price structure is respecting bullish patterns. That said, a critical rate decision on Tuesday could serve as the catalyst for a breakout. We recommend remaining cautious until post-announcement clarity is achieved.
NZD/USD
The Kiwi is gaining strength, with both MACD and RSI supporting bullish continuation. Price action suggests a potential reversal to the upside, though the pair is still technically range-bound. A confirmed breakout above recent resistance is needed to solidify the bullish case.
EUR/USD
The Euro has moved above the EMA200, but resistance remains at the top of the current range. MACD and RSI indicate rising selling momentum, suggesting that the rally may be fading. If the pair fails to clear overhead resistance, a sell-off could follow. We remain cautious and will wait for a confirmed breakout or rejection to reassess.
USD/JPY
Despite general Dollar weakness, the Yen is trading sideways, driven by weak performance across Asian markets. Price remains above key support, preserving the broader bullish structure. MACD and RSI are muted, and the pair is being squeezed within a narrowing range. We continue to monitor for a breakout signal.
USD/CHF
The Franc is entrenched in consolidation. MACD and RSI both confirm the lack of momentum. Price is stuck between well-defined support and resistance levels, and no directional setup is present. We stay neutral until the pair breaks out.
USD/CAD
USD/CAD also remains in a sideways pattern. MACD and RSI show no momentum shift, and price is respecting horizontal boundaries. We maintain a neutral stance until a significant directional move occurs.
COT Reports Analysis
- AUD – WEAK (5/5)
- GBP – STRONG (3/5)
- CAD – WEAK (5/5)
- EUR – STRONG (5/5)
- JPY – STRONG (3/5)
- CHF – WEAK (5/5)
- USD – MIXED
- NZD – WEAK (4/5)
- GOLD – STRONG (5/5)
- SILVER – STRONG (4/5)
Final Thoughts
The market remains in a holding pattern, with gold consolidating at the EMA200 and the Dollar trading sideways amid geopolitical uncertainty. Forex pairs are mixed, with some (GBP/USD, NZD/USD) showing strength while others remain range-bound. Key drivers like the upcoming rate decision for Australia and tariff developments in the U.S. may define the next wave of volatility. Until clearer signals emerge, traders should remain patient, prioritize risk management, and focus on breakout confirmation across technical levels. Visit: https://worldquestfx.com/