Trading long on gold XAU/USD and GBP/USD trading short on USD/CAD [Video]
|Yesterday we promised to take a look at USDCAD and with the increasing Crude prices and a weaker USD we see more room to the downside.
Price action is trying to break this symmetrical pennant and the Stochastic Oscillator is displaying lower highs which is a bearish signal, but watch out for support just above $1.20.
We have to zoom out to the weekly chart to see support from almost 4 years ago.
The inverse situation can be seen on GBPUSD where Pound strength and dollar weakness gave us resistance 3 1/2 years ago.
Today we see GBPUSD trying to break resistance from this ascending triangle.
We mentioned increasing Crude Oil prices based on increased demand and we see on the WTI Daily Chart, price is back where it was exactly 2 months ago.
We will look for a break of resistance here but be aware that we might get a pullback first and, if you caught our video yesterday, OPEC + is meeting today so be careful.
Gold has kept climbing after it broke this double bottom many weeks ago.
We have a couple of key levels above including these 2 highs at $1950.
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