Stocks, oil, and risk currencies gained on Tuesday as the formal go-ahead for US President-elect Joe Biden to begin his transition burnished a November already boosted by Covid-19 vaccines.
EUR/USD found a base
Information is not investment advice
Although EUR/USD has recently tested levels just above 1.11, buyers didn’t let the euro fall lower. On D1, we can clearly see that the second low set on Friday, May 3, was higher than the one of late April. The candlestick with the long lower wick gave EUR/USD bullish momentum. The pair is above the weekly pivot point (1.1199). It may now form a kind of harmonic pattern rising to 1.1260 (50-day MA) and even to 1.1320 (100-day MA).
EUR/USD fell below 1.1850 after reaching 1.1920 on Monday. The pair consolidated after the initial bearish move.
USD/CAD remains within a downtrend. As a result, selling the pair as it turns down from resistance is the best strategy. Support lies at 1.3125.
Oil fell below $52.00 because investors expect a weaker oil demand amid rising Covid-19 infections and new lockdowns.
Asian equity markets traded cautiously after the mixed lead from Wall St where most indices stalled at record levels
How do we trade the gold price? It seems to be losing the upside momentum - no problem for bears!