USDCHF struggles for bids
The US dollar tried to stabilise after the recent sell-off in global markets, which saw the pair drop over 400 pips. An oversold RSI on the daily chart is a significant sign of exhaustion and could cause a snapback if sellers start to change up their portfolios. Trend followers will likely wait to sell into strength, and 0.8600 will be the first area to look for resistance. 0.8420 is the closest level to see if the correction will stop.
EURGBP tests key resistance
The Euro hits a double top after moving over 200 pips against the Pound. After some hesitation, a convincing resistance zone around 0.8620 saw the bulls pull back after the rally. The support-turned-resistance of 0.8600 is a key hurdle, and its breach would help the bulls take over the short-term direction. 0.8470 and then 0.8420 at the start of the latest breakout is the first support in case of a retracement.
XAUUSD Trends: Bear Rally Still Intact
Gold remains bearish as an uptick in the greenback has led to sellers not giving up on pushing the yellow metal lower. A bounce below 2400 has prompted some sellers to cover, easing the downward pressure. From the daily chart’s perspective, the direction is still skewed to the downside, and the current rebound could attract the bulls’ attention. 2420 is the next obstacle to clear, then 2470 would be the bears’ last stronghold. On the downside, 2360 is a fresh support to maintain the current momentum.