GBP/JPY take offence at BoE's innuendo

Given that the Bank of England unrolled last week authentic set of stimulus, which exceeded even the most courageous expectations, it was not a surprise that this fact brought the GBP/JPY pair down and even below the Brexit low. The sterling weakened considerably and reached daily low at 132.20, but later on spilled slowly back to 133.17.
This week started with a gap above this point and the pair has found a new near term support which turned to be the old resistance.
While considering the sterling as quite bearish at present, we also must keep an eye on Bank of Japan as the expectations for stimulating monetary policy is still on the agenda.
Main resistance now is seen at 134.15 , which is another shift but from prior support to resistance.

Gold is slightly down by NFP data, but marking higher lows

Last Friday pushed XAU/USD down with around 1.7%. Of course main reason is the unexpectedly nice US Non-Farm Payroll data, which fueled US dollar’s strenght.

Even so, the news didn’t bring down the yellow metal, as prices are marking higher lows, which should indicate market participants not to sell yet.
Strong resistance is situated around $1,340 area, matching with the 200-day MA.

Currently the main support is located at $1,332 level along with 61.8$ Fibo retracement, drawn form July’s low at $1,310 to August’s high at $1,3670. In the afternoon hours gold bounced off that level to currently trade around $1,335 zone. 

If breaking above $1,346 (38.2% Fibo), next target is seen arounf $1,365 area. 

If XAU/USD is likely to close below $1,331, bears will drag prices to $1,320 area. 

Gold trap in my sight

Gold formed a double-top pattern on the daily chart, touching the $1,367 line and currently is seen around $1,360 area.

Key support remains at $1,340 zone and as long as gold is staying above it bulls will run upstairs.

A possible break below this level could drag XAU/USD to 61.8% Fibo.

Looking upwards pushing above $1,367 could lead gold to highs at $1,380 area. A slight chance for distraction of the current trend might be found only if gold goes below $1,310. 

RSI nears the overbought area, but still showing bulls strength.

Oil's Bohemian Rhapsody

Is this the real oil market life?
Is this just fantasy?
Caught in a landslide
No escape from reality.

Good gains marked on Wednesday
Then steep lows seen on Thursday
Open your eyes
Look up to the skies and see
That the global market remains oversupplied
But crude needs no sympathy
Because it easy comes, easy goes
A little high, little low
Anyway the wind blows
But sometimes a bit matters.

Traders, worries are taking control
Over the global economy slow
Asia, Europe, Brexit uncertainty blow.

The highest OPEC output just killed the mood
Pulled the trigger and now oil cartel limit is dead
The new monthly report will send shivers
With latest output figures
That will be thrown away
after another day.

Do not expect prices to rebound
To some major extent over the next month.

Prices aching all the time
Could be seen in lows at $35
But leave it all behind, as near-term range might be at $45-$50.

Nothing really matters
Anyway the wind blows.

Silver will try just a little for a few dollars more

Bears have occupied today’s trading mood of XAG/USD. In the early trading hours silver broke the resistance at $20.65 and pushed higher to mark intraday high at $20.703. Then direction turned to downside and currently is hovering around $20.40 area.

If closing above $20.65, bulls will try just a little for a few dollars more. Next resistance levels are seen at $20.80 and $21.12.

On the other hand, if closing below $20.35, XAG/USD pair would be dragged to support levels at $20.05, $19.94 and $19.16.

Meanwhile the 20, 30 and 55 day EMAs are streaming upwards noisier to underline the bullish sound. So the current downward blue mood should be considered only as a short-term correction.

USD/JPY is sparking something to breakthru

The USD/JPY pair is currently located above the support line at 100.678, where yesterday was marked the intraday low. In case of closing lower than yesterday’s high at 102.793, the pair would finish the session composing an inside bar. Anyway, the macro agenda for tomorrow will provide the NFP data for the last month and it is going to be the greatest market mover for the greenback pairs.

Meanwhile a falling wedge is in process of forming, as seen on the H1 chart. Withing the next two days we might witness bulls targeting to 102-103 area. Resistance is seen at 102.646 and support is located at 100.678. In the early trading hours RSI was showing oversold market, but currently is around 40% and confirms the bullish price movement.  
In short term USD/JPY is consolidating ahead of the NFP release, but the pair is sparking something to breakthru.

US dollar fade out lines

The US dollar is going deeper down,
along with the poor GDP noticing,
the dovish Fed’s spelldown
and against the plethora of G20 under performing.

The clock is ticking some couple of tocks
and markets will re-estimate next Fed’s knocks.

Chipping around, kicked by EUR’s rally towards 1.12 mark
where EUR/USD pair more than a month couldn’t park.
RBA failed to weaken the Australian dollar
and the yen was seen in a new fresh 3-week spur.

These are the days – it never rains but it pours.
Circumstances laugh under the pressure the USD is cracking.
US dollar index as well regrettably sours
and in 3 months the biggest fall is posting.

Over the greenback the shadow grows, but shall it leave broken pieces to this priceless ballet?