Daily Technical Analysis

Introduction: 

Welcome to our daily technical analysis of the financial markets, focusing today on EUR/USD and Gold. Let's dissect the latest news, market trends, and crucial price levels to watch out for.  

1. EUR/USD Analysis: 

News Summary: 

ING Bank said that the euro zone has not fallen into a deep recession, but the economic rebound will not be consistent. Eurozone November PMI data showed that economic activity increased slightly but was still in contraction territory. Inflationary pressures are reducing but have not yet been eliminated, and employment prospects continue to deteriorate. The current economic downturn has not worsened, but there are few signs of recovery. Overall, this appears to be a shallow technical recession.  

Trend Analysis: 

We can see EUR/USD fluctuates at high level on H4 chart. In addition, the MACD histogram bar and the double line forms golden cross near the zero axis. However, the upper resistance still puts pressure on EUR/USD. Hence, the sell limit could be suitable tactic for current technical structure, stop loss is necessary.   

Today's Key Price Levels: 

Key Support Levels: [1.0850] 

Key Resistance Levels: [1.1070] 

Pivot Points [1.1000]

2. Gold Analysis:  

News Summary: 

The gold market has successfully reclaimed 2,000 level and is expected to close in positive territory for the second consecutive week. However, institutions said that the momentum of gold price is still limited. As FED maintains its tendency to tighten monetary policy, gold is unlikely to break through the current resistance level. In addition, Israel and Hamas agreed to a limited ceasefire, weakening the safe-haven appeal of gold. US monetary policy is the most important factor driving the recent trend of gold price.  

Trend Analysis: 

We can see gold tried to make upward breakthrough but failed on H4 chart, MACD histogram bar and double line seems to constitute top divergence. The biggest risk of gold is strong US dollar as bond yield rises, due to overbought state, the sell limit is acceptable strategy, stop loss is mandatory.    

Today's Key Price Levels: 

Key Support Levels: [1980] 

Key Resistance Levels: [2030] 

Pivot Points [2017]