Weekly Technical Analysis Report 5 July – Gold played out nicely, EURUSD could see further upside this week
Weekly Technical Analysis Report 5 July – Gold played out nicely, EURUSD could see further upside this week
1. Last week’s call on Gold:
Outlook on XAUUSD: Pullback presents a long opportunity
We maintain our bullish bias on Gold as prices are holding above a key weekly and daily support area at 1763.14 – 1768.80, which lines up with the 78.6% and -27% Fibonacci retracement. A pullback to test this support zone presents an opportunity to play the bounce from here. Keeping in mind that the views on the weekly time frame echo a more bullish bias as prices hold well above its trend line, a break above the H1 resistance at 1794.50 could see more upside in Gold prices.
XAUUSD Charts (Note: Coloured candles represent our projection)
Before:
After:
2. This week’s outlook on EURUSD:
Outlook on EURUSD: Bullish play seen
EURUSD is currently sitting on the weekly support zone, in line with the ascending trend line and 78.6% retracement. On the H4 time frame, prices broke above the short term descending trend line where a pullback in prices to the support zone at 1.18200 presents a buy opportunity. Keeping in mind the weekly time frame echoes a more bullish bias with prices holding well above the trend line, a break above the H4 resistance zone at 1.19200, in line with the 61.8% retracement, could see a further upside in prices, with our next resistance target at 1.19800.
Outlook on EURUSD: Bullish play seen by Salzworth on TradingView.com
