The CAD had finally crossed below important Resistance at the 100 day moving average. In addition, the 50 day moving average just crossed back below the 200 day MA providing extra momentum for price appreciation. Yesterday’s close finished exactly at the prior low. A close below that low at 1.0178 coupled with the major MA cross should give the CAD the necessary push to make another run at Dollar parity.
Gold has just completed a quick and significant turn around as it retraced recent losses. After crossing below the 50 MA followed by the 100 MA Gold seemed ready to collapse, however, Gold has risen in six straight sessions. Yesterday’s price action retook minor Resistance at the 100 day MA, but it also closed right at the prior high. From a technical standpoint we would like to see Gold cross back above the 50 day moving average before signaling a possible buying opportunity.
After falling as quickly as it rose the CHF has reached a period of consolidation before readying itself for a potential move lower. The 50 day moving average has just cross below the 100 day MA. This major MA cross should help support further price appreciation. Additionally, we can observe the 200 day MA holding very strong Support since early June. Lastly, with a probable run towards parity it will most likely draft with the Canadian Dollar, that is to say, if one pair pushes closer to parity it will lead the way for the other pair to follow suit.
Written by bforex.com