Daily Markets

• Gold was up on Friday morning in Asia but strengthening U.S. Treasury yields put bullion on course for its first weekly loss in three. Benchmark U.S. 10-year Treasury yields also continued an upward trend as the U.S. Federal Reserve set a hawkish tone on tightening policy. This drove bets that the central bank will hike interest rates aggressively to curb inflation. A stronger U.S. dollar could also pressure gold, while on the other hand, the geopolitical uncertainty remains a support and the gold price is stuck in the middle of those two conflicting currents, said McCarthy. The dollar, which usually moves inversely to gold, inched down on Wednesday. Gold is down about 1.3% for the week so far. The yellow metal almost hit the $2,000 mark on Monday over safe-haven demand and increasing worries over inflation but has since retreated to hit a two-week low during the previous session.

Gold – XAU

Gold on Thursday made its intraday high of US$1957.33/oz and low of US$1936.61/oz. Gold down 0.314% at US$1951.00/oz

Technicals in Focus:

In daily charts, prices are above 200DMA (1809) and breakage below will call for 1790. MACD is above zero line and histograms are also increasing trend and it will bring upward stance in the upcoming sessions. RSI is in overbought region and more upside is expected before it gets stretched. Stochastic Oscillator is in neutral territory and giving negative crossover to bearish stance for intraday trade.

Trading Strategy: Sell on Strength

Sell below 1958-1996 keeping stop loss closing above 1996, targeting 1950-1938-1,923 and 1,907-1,900-1,889. Buy in between 1944-1889 with risk below 1899, targeting 1958-1970 and 1980-1996-2008.

Silver - XAG

Silver on Thursday made its intraday high of US$25.18/oz and low of US$24.41/oz settled down by 2.13% at US$24.64/oz.

Technicals in Focus:

On daily charts, silver is sustaining below 100DMA (26.62), breakage above will lead to 27.60. MACD is below zero line and histograms are decreasing trend and it will bring bearish stance in the upcoming sessions. RSI is approaching neutral region, indicating buy signal for now. The Stochastic Oscillator is in oversold region and giving positive crossover to show upside move for the intraday trade.

Trading Strategy: Buy on Dips

Buy in between 24.50-22.90, targeting 25.10-25.70-26.50 and 26.75-27.50-27.80 with stop loss should be place on the breakage below 22.90. Sell in between 24.90-27.90 with stop loss above 28.00; targeting 24.40-23.90-23.40 and 23.50-23.01.

Oil - WTI

Crude Oil on Thursday made an intra‐day high of US105.21/bbl, intraday low of US$101.84/bbl and settled up by 1.403% to close at US$103.80/bbl.

Technicals in Focus:

On daily charts, oil is sustaining above its 20DMA i.e. 68.50 which is a support level and breakage below will call for 65.40. MACD is above zero line and histograms are in increasing mode 0will bring bullish stance in the upcoming sessions. The Stochastic Oscillator is in neutral region and giving positive crossover for confirmation of bullish stance; while the RSI is in neutral region and more upside can be expected to reach the overbought region, which is highly probable.

Trading Strategy: Neutral to Sell

Sell in between 102.95-110.00 with stop loss at 110.0; targeting 102.95-102.50-100.90-99.60. Buy above 101.00-98.50 with risk daily closing below 98.50 and targeting 104.50-105.50-106.00 and 106.90-107.70-109.00.

EUR/USD

EUR/USD on Thursday made an intraday low of US$1.0822/EUR, high of US$1.0935/EUR and settled the day down by 0.1355% to close at US$1.0830/EUR.

Technicals in Focus:

On daily charts, prices are sustaining above 50DMA (1.1191), which become immediate support, break below will target 1.1270. MACD is above zero line and histograms are increasing mode which will bring bullish view. Stochastic is in overbought territory and giving positive crossovers to signal for bullish outlook for intraday. 14D RSI is currently in neutral region and giving no directions to consider right now.

Trading Strategy: Neutral to Sell

Sell below 1.0820-1.1145, targeting 1.0765-1.0720-1.0640 and 1.0600-1.0550 with stop-loss at daily closing above 1.1200. Buy above 1.0765-1.0640 with risk below 1.0640, targeting 1.0820-1.0870-1.0900 and 1.0950-1.1105-1.1145.

GBP/USD

GBP/USD on Thursday made an intra‐day low of US$1.3021/GBP, high of US$1.3089/GBP and settled the day down by 0.299% to close at US$1.3027/GBP.

Technicals in Focus:

On daily charts, prices are sustaining above 100DMA (1.3760) is become immediate support level. 14-D RSI is currently in neutral region and direction is difficult to predict on RSI bases. The Stochastic Oscillator is in overbought territory and giving positive crossover to confirm bullish stance. MACD is above zero line but histograms are increasing lead to upward movement.

Trading Strategy: Neutral to Buy

Based on the charts and explanations above; buy in between 1.2900-1.2690 with target 1.2970-1.3035-1.3110 and 1.3160-1.3240-1.3290 with stop loss closing below 1.2750. Sell in between 1.3110-1.3400 with targets at 1.3000-1.2970 and 1.2925-1.2840 with stop loss should be 1.3300.

USD/JPY

USD/JPY on Thursday made intra‐day low of JPY127.48/USD and made an intraday high of JPY128.69/USD and settled the day up 0.670% at JPY128.34/USD.

Technicals in Focus:

In daily charts, JPY is sustaining above 200DMA (108.30), which is initial support on the daily chart. 14-D RSI is currently in overbought region and chances of downward are expected based on RSI. MACD is above zero line but histograms are in decreasing mode which might lead to downward movement. The Stochastic Oscillator is in neutral territory and signaling to sell as it has given negative crossover to confirm bearish stance.

Trading Strategy: Neutral to Sell

Sell below 129.00-131.20 with risk above 131.20 targeting 128.10-127.00-126.40 and 124.90-124.00. Long positions above 128.10-124.00 with targets of 129.00-129.60-130.00 and 130.60-131.20 with stop below 124.00.