Gold prices keep trading higher, retaining bullish bias for the seventh session in a row
EURUSD
The selling pressure surrounding the US dollar has intensified on Thursday, with prices trading below the 104.00 handle. The greenback suffers solid losses in early European deals, exiting a tight trading range as volatility has picked up following the recent retreat from last week’s peaks. A failed bullish attempt in the 105.00 area triggered some profit-taking which accelerated recently to push the prices to early-February lows. In recent trading, the greenback was trading just above the 103.50 zone, down 0.45% on the day. During the retreat, the USD index derailed the 103.80 intermediate support after a failure to hold above the 104.00 figure. Meanwhile, EURUSD has settled around this month’s highs today after the recent surge that was capped by the 1.0890 region earlier in the day. A decisive break above the 1.0900 region would add to recovery impetus. In early European trading, the euro has settled around 1.0865, adding 0.45% on the day. On the flip side, the nearest support now arrives in the 1.0840 zone.
GBPUSD
The pound has been rising for the third session in a row on Thursday, accelerating the ascent after a break above 1.2650 zone. Following a jump to nearly three-week highs above 1.2700, the pair kept clinging to the upper end of the extended trading range, trying to attract fresh demand around the 1.2700 figure. During the previous bounce, the pair got back above the 200-DMA that has turned back into support as a result. Earlier in the day, the pair encountered resistance around the 1.2710 zone, preserving intraday gains so far. In a wider picture, the cable turned more bullish now after a bounce above the 1.2600 figure. The daily RSI is now upbeat in neutral territory, suggesting potential buyers could stay in the game in the immediate term. In recent trading, GBPUSD was changing hands around 1.2702, up 0.54% on the day. On the flip side, the immediate significant support is now represented by the 1.2660 zone, followed by 1.2630.
USDJPY
USDJPY turned slightly negative on Thursday, still holding within a tight trading range after the recent surge to fresh multi-month highs. Last week, the dollar extended gains to 150.90 for the first time since November before retreating partially amid some profit-taking. Earlier in the day, the pair extended gains to this week’s high of 150.47 to attract some renewed selling pressure at elevated levels. On the positive side, the prices stay well above both the 100- and 20-DMAs that converged in the 147.55 area earlier in the month. In recent trading, the pair has settled above the 150.00 figure. On the upside, the dollar is now facing the 150.50 immediate barrier. The dollar was last seen changing hands around 150.19, down 0.05% on the day. Now, the greenback needs to settle above the 150.30 region on a daily closing basis in order to resume the ascent and refrain from a deeper local correction. The daily RSI is now neutral, suggesting the pair could refrain from another bullish attempt in the near term.
XAUUSD
Gold prices opened higher on Thursday, retaining bullish bias for the seventh session in a row. Earlier in the day, the bullion saw a brief spike towards nearly two-week highs seen around $2,034. Despite the latest bounce, gold prices remain vulnerable, with downside potential persisting at this stage, albeit the bearish pressure has abated significantly over the last days. After a jump to the mentioned highs, the pair retains the recovery momentum, with the immediate outlook neutral. Following peaking around $2,045 earlier in the month, the bullion has settled back above the $2,000 psychological level that was last seen on Friday. The XAUUSD pair has settled around $2,030 at the time of writing, trading 0.23% higher on the day. As such, the technical picture has improved somehow, with upside risks persisting while above $2,000. Should gold get below the 100-DMA, today at $1,990, in the near term, a deeper retreat could be expected. On the weekly timeframes, the technical picture keeps improving, with wider picture staying neutral after reaching fresh all-time highs in December. On the upside, the immediate significant target is now represented by the $2,045 zone.