Action Insight Mid-Day Report 5-25-23

Dollar Power Continues, Gold Resumes Near Term Fall

Dollar continues to be the strongest one for the week and sees fresh buying in early US session. Republican House Speaker Kevin McCarthy noted the debt ceiling negotiations have made some progress. But that was largely ignored by stock investors, even through treasury yields are on the rise. As for today, Canadian Dollar and Swiss France are currently the next strongest, just because they're facing less selling pressure. Kiwi, Aussie and Euro are the worst together with Euro.

Technically, Gold's decline from 2062.95 resumed by breaking through 1951.77 support today. Further fall is now expected as long as 1985.08 resistance holds. There might be some support between 38.2% retracement of 1614.60 to 2062.95 at 1891.68, and channel support at around 1913 to contain downside. That is, 1900 is a key hurdle for the down trend to overcome. However, firm break of this support zone could easily push gold towards 1800 handle.

In Europe, at the time of writing, FTSE is down -0.17%. DAX is up 0.05%. CAC is down -0.05%. Germany 10-year yield is up 0.007 at 2.480. Earlier in Asia, Nikkei rose 0.39%. Hong Kong HSI dropped -1.93%. China Shanghai SSE dropped -0.11%. Singapore Strait Times dropped -0.20%. Japan 10-year JGB yield rose 0.0215 to 0.430.

Top Movers | HeatMap | Pivot Points | Pivot Meters | Action Bias | Vol

EUR/USD Daily Outlook

Daily Pivots: (S1) 1.0731; (P) 1.0766; (R1) 1.0784; More...

Intraday bias in EUR/USD is back on the downside as fall from 1.1094 resumes by breaking 1.0759. Current fall is seen as correcting whole up trend from 0.9534. Deeper decline should be seen to 1.0515 cluster support, 38.2% retracement of 0.9534 to 1.1094 at 1.0498. On the upside, above 1.0830 minor resistance will turn intraday bias neutral first.

EURUSD | USDJPY | GBPUSD | USDCHF | AUDUSD | USDCAD

EURJPY | EURGBP | EURCHF | EURAUD | GBPJPY

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