Forex trading long on Platinum, range trading Silver, US Dollar Index continuing weaker [Video]
|In our last video, we noticed that Silver was at a key Fibonacci level and we might now have some range trading opportunities.
If we move out to the 1-hour chart we can see price action ranging between 2 Fib levels and the technicals look like range trading as well.
If we add Bollinger Bands, for example, and move out to the 30-minute chart, we can time our entries and exits based on the upper and lower bands combined with the oscillators.
USD is continuing weaker and the cause is easy to spot.
Typically, with US elections, a Republican win will mean a stronger USD and a Democratic win means a weaker USD.
You can see what the markets are thinking.
Of course, other market forces will prevail so we will look for reversals but they may be hard to spot.
The most likely candidate is AUDUSD as we can see resistance on the daily chart and the stochastic oscillator is overbought.
The weekly chart shows a downtrend so keep an eye on price action.
We have the same situation with NZDUSD.
Speaking of AUDNZD, we have a clear uptrend happening but let’s wait for confirmation from our indicators and watch out next Tuesday for the Australian CPI report.
Markets are typically slow in Europe in August but they will come back to life and we are watching EURGBP.
Price action is forming a descending triangle and support is just above £0.85.
Price could go either way but a good short opportunity might occur at the upper trend line with confirmation from your favourite technical indicators.
Getting back to precious metals, we are monitoring this bull run in platinum for the next long opportunity.
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