Weekly Technical Analysis Report 25 May – XAUUSD played out nicely, bearish play seen on EURJPY
Weekly Technical Analysis Report 25 May – XAUUSD played out nicely, bearish play seen on EURJPY
1. Last week’s outlook on XAUUSD: Bullish play seen
On the weekly time frame, prices are testing a key support level at 1842, where we could see further upside. On the H2 time frame, prices broke above the descending trend line, suggesting a shift from a bearish to bullish order flow. A throwback to its support area at 1824.80, in line with the 78.6% Fibonacci retracement and 61.8% Fibonacci retracement presents an opportunity to play the bounce, with 1888.80 as the resistance target. Prices are holding above the 20 EMA as well, in line with our bullish bias.
Before:
Coloured candles represent our projection
After:
https://www.tradingview.com/chart/XAUUSD/DmRNdW6l-Outlook-on-XAUUSD-Bullish-play-seen/
2. This week’s outlook on EURJPY: Bearish play seen
On the monthly time frame, prices are testing a key resistance level at 136.80 where we could see further downside below this level. On the H4 time frame, prices are currently testing a key resistance zone in line with the 76.4% Fibonacci retracement, descending trend line and 78.6% Fibonacci extension. A break below the M15 demand zone at 136.00 would provide the bearish confirmation for a further drop to our support target at 134.00. Stochastic is seeing a bearish divergence and testing resistance at 98.30 as well, supporting the bearish bias.
Outlook on EURJPY: Bearish play seen by Salzworth on TradingView.com
