Intraday Market Analysis – GBP Extends Rally


GBPUSD rises to daily resistance


The U.S. dollar fell after a worse-than-expected jobs report.

The pound held well above the previous resistance level of 1.3780. The long side gained confidence while the short side gave up.

Sensation will remain alive as long as the rising trend line is intact. Close up 1.3950 may push the price to the psychological level of 1.4000, which is within a supply area in the daily chart.

However, repeatedly too much bought RSI can trigger a reversal. 1.3820 would be the first support in that case.

XAUUSD is testing a key obstacle


Gold rose after dull non-farm payrolls weighed on the U.S. dollar. The precious metal has a strong buying interest around the psychological level of 1800.

High candle above 1832, the origin of the August sale would encourage sellers to reverse their bets, exacerbating the momentum in the process. Now that the main resistance had withdrawn, the bulls may have obtained a free pass by 1900.

While the RSI focuses more on the overbought zone, 1811 there is fresh support in case of withdrawal.

GER 30 extends consolidation


Improved risk sentiment post-NFP continues to support the Dax 30. The index grinds the 30-day moving average as the bulls consolidate their gains near the record high.

16000 has become a key hurdle as high valuation makes buyers think twice before making more chips. Although layers of support indicate an upper bias and may offer some relief.

An extraordinary break would trigger an extended rally when impetuous traders join the party. Fall down 15650 would extend the side action to 15500.

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