Hello Traders,
How are you guy’s doing, hope you are staying safe wherever you are?
I officially welcome you to the month of May.
Without further ado, let’s see what the market has for us this week.
1. USD/CAD
On the daily time frame, the USD/CAD is within a consolidation zone, on the 4 hours time frame we have price within a triangle.
Price breaking through resistance level 1.41157 may further encourage buyers to push price to the next possible resistance level (1.42660)
There is also a possibility of a reversal at the present resistance level which we must pay attention to. If that happens, price will most likely re-visit support level 1.38569.
Personally I have a short bullish bias regarding this pair, but one thing to also consider is…
It’s a Sunday/Monday setup and in my opinion, such setups in most cases are low probability setups.
2. USD/CHF
It was an indecisive week for USD/CHF as price spent half of the entire week forming a consolidation due to a strong resistance level 0.97991.
The Bears finally kicked in on Wednesday and drove the market back to support level 0.95942.
Though the market closed with a highly bearish outlook, let’s not forget also that price is resting on a key support level (0.95942), hence a reversal could be imminent.
All we can do is wait and see if the Bears are strong enough to continue their run to the next possible support level (0.95030).
3. XAU/USD (GOLD)
Last week Wednesday, Gold picked up steam after hitting a key support level (1672.41)
This week we will resume with Gold struggling to break resistance level 1698.89. If the Bulls are healthy and strong enough, we may see a breakout the first few opening hours of the market.
This breakout may most likely encourage price to hit a previous resistance level (1733.82).
What are your views?
