Gold and Silver use up Trendlines to Catch a Breath

Market attention is on the Oil but other commodities should not be forgotten, especially that we can see a nice price action there.

First we will start with the Gold, which after two days, defended the long-term up trendline (pink). That was a strong support since 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 for around 25$/oz.

Silver also bounced and also of the up trendline but in this case created much earlier – at the end of 2015. Unfortunately the first target for the 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 the long tails. Bullish breakout is just 60 pips away.

This article is written by Tomasz Wisniewski, a senior analyst at Alpari Research & Analysis