Gold prices were affected negatively with the Fed’s LMCI (Labor Market Conditions Index)rising to 2.9 points in December.Gold markets had an inside day with the high being lower than prior days high and Low being higher than previous days low which is a signal of prevalent indecisiveness in the market. We have a support in the vicinity of the 10-day Moving Average at 1,080 and a Resistance at 1113 level.The MACD(Moving Average Convergence Divergence) is giving a positive Momentum. 3 Days Trial Signals
Silver markets spent the Monday session in a volatile mood, mainly due to the associated effects of the $14 level. At this point, there is a possibility that we can rally from here. It appears we have sufficient selling pressure to prevent the market from falling.Capitalizing on that, we are currently looking to take advantage of signs of exhaustion in short term rallies. Consequently we are short term sellers.
Crude Oil is currently diving to the depth reaching lows of $30.88 i.e.nearly 7% down.At present, it seems that the down trend that occurred till now might continue in the short term. With the crude oil inventories at 80-year high; demand seems to be taking the beating. The MACD(Moving Average Convergence Divergence) indicator is giving the momentum to be negative;hence signaling short positions.
The GBP/USD made an attempt to rally during the Monday session; however, it turned back and formed a shooting star instead. The shooting star candle happens to be located immediately above the 1.45 level,hence we are refraining from short position at the moment. We will see a spurt in selling as we breach below the 1.45 level and that is what is keeping us on our toes. On the other hand, any move upwards and we would like to have a confirmation signal before we make any decision .
The EUR/USD pair had a hard time on Monday, falling initially on Monday and later taking a U-turn to rally at the time of market close. At present, it seems that it is going to be volatile in short term with majority movement being sideways. The present level of volatility in this market is not to be taken chance with and hence we are currently sitting on the sidelines.
The AUD/USD on Monday formed a shooting star after an attempt to rally. The negativity of the shooting star is making us feel that the market might breakdown and that too significantly. At the moment, we are in the position to sell short term rallies due to the minor support that we see below. In the present market, long positions are not to be touched.
The USD/JPY on Monday closed with a shooting star after a failed attempt to rally. The move was a reflection to some degree of US stock markets which the pair is known to follow.the initial rally that we referred earlier was lost due to the sellers that stepped in later and took the market lower. Shooting star that we saw is a signal that the market is going to breakdown and if that happens, we might revisit the116 level.