Market Overview
Avoid chasing trends, even with strong dollar movements. After Trump’s decision to suspend tariffs on Mexico and Canada for 30 days, the dollar showed weakness. However, tariffs on Chinese goods are set to begin soon, adding volatility to major and minor currency pairs. The market views Trump’s tariff policies as inflationary, influencing short-term forex gains.
Precious Metals Outlook
GOLD
GOLD prices remain high amid tariff concerns. Despite dollar strength, buying interest persists. The MACD and RSI indicate rising market volume, supporting price action forecasting for continued bullish momentum.
SILVER
SILVER prices paused, correlating with GOLD’s movement. As GOLD approaches overvaluation, SILVER becomes attractive. Bullish sentiment persists, with MACD and RSI confirming momentum.
Currency Pair Analysis
DXY (US Dollar Index)
The dollar filled its gap and may rise further. The EMA200 supports price levels, but unclear RSI and MACD signals suggest waiting for more movement.
GBPUSD
The Pound filled its gap but remains bearish. MACD shows buying momentum, while RSI reflects increasing bullish trends. Expect continued sell-offs with possible consolidation.
AUDUSD
AUDUSD shows bearish price action after bouncing off the EMA200. Despite potential consolidation, the overall bias remains bearish. MACD and RSI indicate growing buying momentum.
NZDUSD
The Kiwi remains bearish, respecting previous consolidation boundaries. The MACD shows increased buying, but RSI aligns with bearish trends, reflecting ongoing selling pressure.
EURUSD
The Euro filled its gap but faces continued sell-offs. MACD and RSI show buying momentum, yet bearish sentiment dominates, suggesting consolidation ahead.
USDJPY
The Yen shows stability amid BOJ rate hike expectations. Markets consolidate with neutral MACD and RSI signals. Upcoming wage data may impact BOJ policy outlook.
USDCHF
The Franc filled its gap and may consolidate before rising. The EMA200 supports bullish momentum, with MACD signaling a sell and RSI indicating buying strength.
USDCAD
USDCAD filled its gap after tariff delays but remains bullish. The RSI shows increased buying momentum, while MACD reflects rising selling volume. Analysts predict further USD strength against CAD due to trade uncertainties.
COT Report Analysis
- AUD – WEAK (5/5)
- GBP – WEAK (4/5)
- CAD – WEAK (4/5)
- EUR – WEAK (4/5)
- JPY – WEAK (1/5)
- CHF – WEAK (5/5)
- USD – STRONG (4/5)
- NZD – WEAK (4/5)
- GOLD – STRONG (5/5)
- SILVER – STRONG (4/5)
Conclusion
Tariff policies create volatility, impacting major and minor currency pairs. Traders should focus on price action forecasting, leveraging trading platform features to optimize compounding forex profits in this dynamic environment.
