Market attention is turned towards oil, but other commodities should not be forgotten, especially as they are showing some nice price action.
First, we’ll start with gold, which after two days, defended the long-term upwards trend line (pink). That was a strong support from the end of 2016 and was the last serious stop before the neckline (black). This can help to create a mid-term upswing with a potential movement of around 25$/oz.
Silver also bounced off the upwards trend line, but in this case from one created much earlier – at the end of 2015. Unfortunately, the first target for buyers here is not so far – on 16.85$/oz, which is not the best thing in terms of the potential risk to reward ratio.
EURJPY is getting ready for a breakout of the upper line of the flag. Everything is ready, major supports were defended and every recent local drop was stopped and ended up with a long tail. A bullish breakout is just 60 pips away.