(Melina Deltas, CFTe – XM)
Gold moves down from short-term SMAs
Gold prices are moving lower after several failed attempts to jump above the short-term simple moving averages (SMAs). The price remains below the long-term descending trend line and the technical oscillators currently confirm the bearish structure. The MACD oscillator is moving sideways below the zero level, while the RSI is flattening in the negative region.
To the downside, immediate support could come from the two-and-half-year low of 1,615, which was tested two time over the last month. Moving lower, the troughs of March 2020 at 1,570 could be revisited ahead of the 1,450 bottom.
Otherwise, if buyers push above the moving averages, initial resistance could come from the 1,687 barrier, which overlaps with the downtrend line. Climbing higher, the 1,730 resistance could interrupt the test of a key region from the 200-day SMA and the 1,808 hurdle.
Summarizing, the very short-term bias has turned neutral but if the price shifts above the 1,687 barrier, the picture may turn positive.
EUR/CHF tests the upper Bollinger band, bullish in short-term
EURCHF appears to be maintaining a horizontal trajectory trapped between the 0.9865 support and the 0.9950 resistance, which is near with the upper Bollinger band. A paused state of directional momentum is reflected in the RSI indicator; however, the MACD oscillator is still strengthening its movement above its trigger and zero lines.
To the upside, bearish pressure over the last week has denied upside moves. If buyers manage to jump above the 0.9950 barrier, a revisit of the 200-day simple moving average (SMA) around 1.0045 could unfold. Overcoming these constrictions could see resistance develop at the 1.0085 barrier.
Otherwise, if sellers drive the pair below the mid-level of the Bollinger band, the 50-day SMA could interrupt the pair at 0.9715 ahead of the 0.9640 support, which lies near the lower Bollinger band. Should it fail to do so, the multi-year low of 0.9400 could attract traders’ attention.
Summarizing, initially the confines of 0.9865 or 0.9950 would need to be breached to revive directional momentum in the very short-term. Yet, the short-to-medium-term picture remains bullish and a break either above the 200-day SMA may endorse this outlook.