Daily Technical Insights 22nd December 2023

　　

Make informed decisions with the most up-to-date and reliable financial data, exclusively provided by vtmarkets.com.

Picks of the Day Analysis

EUR/USD (4 Hours)

EUR/USD USD Gains Ground Amid Dollar Weakness Despite Mixed US Data; Eyes on Inflation Figures

The EUR/USD edged higher, reaching the 1.1000 mark as the Dollar struggled despite increased Treasury yields. US economic indicators presented a mixed picture, with declines in the Philadelphia Fed Index and a revision in Q3 GDP, while Jobless Claims remained steady. Investors await the crucial Core PCE inflation data, anticipating a 0.2% rise for November. Despite the rebound in US yields, the Dollar remains subdued, limiting the EUR/USD upside potential amidst thinner market conditions.

Chart EUR/USD by TradingView

On Thursday, the EUR/USD moved higher and reached the upper band of the Bollinger Bands. Currently, the price moving slightly below the upper band, suggesting a potential upward movement. Notably, the Relative Strength Index (RSI) maintains its position at 66, signaling a neutral outlook for this currency pair.

Resistance: 1.1017, 1.1138

Support: 1.0946, 1.0830

XAU/USD (4 Hours)

XAU/USD Resilient Above $2,040 Despite USD Swings Amidst Mixed US Economic Data

In fluctuating market sentiment driven by a resilient US Dollar and mixed economic indicators, spot Gold managed to maintain its position above $2,040 per troy ounce. The Dollar initially gained traction, favored by Wall Street’s lackluster performance and softer Treasury yields, but a shift in direction followed mixed US data. Despite GDP figures slightly below estimates and declining bond yields, investor confidence bounced back on Wall Street. With attention now turning to upcoming US economic releases, including the Core PCE Price Index and Michigan Consumer Sentiment Index, Gold remains resilient amidst the market’s uncertain landscape.

Chart XAU/USD by TradingView

On Thursday, XAU/USD moved slightly higher and reached the upper band of the Bollinger Bands. Currently, the price moving just below the upper band, suggesting a potential upward movement. The Relative Strength Index (RSI) stands at 63, signaling a neutral outlook for this pair.

Resistance: $2,050, $2,068

Support: $2,031, $2,008

Make informed decisions with the most up-to-date and reliable financial data, exclusively provided by vtmarkets.com.