Gold initially attempted to rally early Monday, but turned around to show signs of weakness. Gold hovers around the $1,715 region during the American trading session.
From the technical perspective, the intraday decline brings gold below the resistance of $1,722; the four-hour outlook turns downside following the trading pattern of the double-bottom formation. The RSI indicator has turned southward, suggesting that buyers are on the sideline and sellers are back in the market. If gold breaks below the midline of the Bollinger band, gold is likely to see further downward pressure and an acceleration of the downside. In order to regain positive traction, gold needs to climb above $1,722.
Resistance: 1722, 1748, 1769
USDJPY turns upside as the US dollar rallied a bit during the trading session.
From the technical aspect, the overall outlook of USDJPY is back to bullish after the pair trades within the ascending channel. The recovery frankly suggests that the corrective phase comes to an end. The acceptance above 136.52 would confirm the bullish stance of the pair. The upside is also supported by the RSI indicator, which turns upward, attracting some follow-through buyers back into the market. On the contrary, failure to stand above 136.52 and trade within the ascending channel would make the currency pair back in a bearish mood.
Resistance: 136.52, 137.06, 137.61
Support: 136.84, 134.75
EURUSD has gone back and forth during the course of sessions on Monday as markets continue to carefully monitor ahead of the FOMC meeting.
Technically speaking, EURUSD shows that it keeps struggling to overcome the 20 SMA. The near-term outlook of EURUSD is neutral-to-bullish as the RSI slightly skews to the north while the MACD indicator tends to be bullish. The upside momentum remains limited if the pair cannot overcome the resistance of 1.0284, breaching the consolidation. On the flip side, if the EURUSD declines below the current support of 1.0205, then the outlook would turn bearish on the four-hour chart. Further price movement eyes on the FOMC meeting later this week.
Resistance: 1.0284, 1.0362
Support: 1.0284, 1.0109, 0.9952
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