- We start the week with reversals on many instruments, which were largely caused by Friday’s NFP report.
- It seems like the Gold is coming to the end of its correctional movement as we’ve broken through the upper line of the flag formation. This bounce didn’t occur in a random place as here we have a combination of two Fibonacci levels (38.2 and 61.8) and a correction equality pattern. Sentiment here is definitely positive.
- Silver is not far behind. Here, we also broke the upper line of the trend correction pattern, but in this case it was a wedge. We also broke the 38.2% Fibonacci and 16.8 USD/oz which will now be the closest support. A buy signal has already appeared.
- Last one is the GBPJPY, where the situation is similar, but we don’t yet have a breakout of the upper line of the trend continuation pattern, so we do not have a trading signal yet. Apart from that, everything looks bullish, especially the price bouncing from the 38.2% Fibonacci level and the support created by the tops from December, May and July.
Alpari - Analytics
