Gold is trading at a 4 month’s low, the precious metal slipped more than 85$ since the beginning of the month. Next area of interest is at 1208.06, followed by the yearly lows set earlier this year on June at 1180.14. Alternatively above 1276.72 would be a bullish signal. Bias remains to the downside as long as this market stays below 1276.72.
USDCAD has formed a 5 wave rally from the September lows; if the 5th wave is finished we could see a retracement in the pair before the next leg up. Sentiment in the pair extremely bullish as the pair is forming a series of higher highs and higher lows which is indicative of a bullish trend. Next area of interest is at the July highs at 1.0607. Alternatively below yesterday’s low at 1.0529 would be a bearish signal and may be indicative of near term retracement.
EURJPY rallying higher the past few days, the pair has closed positively for the 5th day in a row. The EURJPY is trading at levels which haven’t been seen since 2009. Market is extremely stretched at current levels.