The EURUSD Performance

Is the retracement complete?

EURUSD is trading in a bullish trend and has created an ascending channel.

Currently, the market has retraced to 61.8 of the bullish impulse wave according to the Fibonacci retracement tool which has a higher probability of completing the retracement. Furthermore, the market found support around 1.08421. According to this price action, traders anticipate the market to resume the trend. They are keeping a close eye on a break above the 61.8 fib level before looking for bullish trading opportunities.

The XAGUSD Performance

Silver dropped to the bottom of the channel aggressively broke below the previous support zone around 22.510 and continued trading lower. This price action further confirmed a descending channel seeing how the market structure is forming. At the moment, the market is pushing up from the bottom of the channel and as such, traders anticipate the market to resume the bigger, bullish trend. Therefore a break and close above the resistance zone will increase the probability of the market trading higher.

The XAUUSD Performance

Gold is showing bullish signs and is trading within a descending channel. Recently the market bounced from the bottom of the channel and broke above the inner channel to push higher. This price action provided signs of bullish momentum and as such traders are bullish. At the moment the market found support around 2017.00 and is currently trying to break above the 2030.00 resistance zone where the momentum to the upside is expected to continue.

Final Thoughts on Today's Analysis

In conclusion, the analysis of DXY suggests a potential weakening of the dollar, influencing various currency pairs and commodities. Examining the EURUSD performance indicates a probable completion of retracement, with a bullish trend in place as evidenced by the ascending channel. The 61.8 Fibonacci retracement level and the support around 1.08421 serve as crucial indicators for traders anticipating a resumption of the upward trend.