Daily Markets

• The dollar weakened against the euro and turned higher against the yen on Wednesday as U.S. President Donald Trump began a long awaited announcement of sweeping new tariffs that look certain to escalate a trade war with global partners, increase prices and upend a decades-old trade order. In late trade after Trump reiterated the United States would impose 25% tariffs on foreign-made autos, the euro extended a rise to $1.0895, up 0.92%, while the dollar turned 0.38% higher against the yen to 150.20 yen. (This story has been corrected to fix the headline and text to say that the dollar extended a gain against the yen, not turned higher)

Gold – XAU

Gold on Wednesday its intraday high of US$3142.76/oz and low of $3104.94/oz. Gold is up by 0.651% at US$3134.18/oz.

Technicals in Focus:

On the daily charts, gold trades higher than 20DMA (2197). If it drops below this level, it could lead to 2,100. The MACD is currently above the zero line and the histograms are showing an increasing trend, indicating that there may be upward movement in the coming sessions. The RSI is currently at 83.04, which is in the overbought region, suggesting there may be selling pressure in the next 2 to 3 sessions. The Stochastic Oscillator is also in the overbought territory but has given a positive crossover, indicating a bullish stance for intraday trades, but rebound in expected in all the overbought indicators.

Trading Strategy: Sell on Strength

Sell below 3142-3200 keeping stop loss closing above 3200, targeting 3128-3096-3089 and 3077-3069-3059-3050. Buy in between 3127-3050 with risk below 3050 targeting 3128-3149-3160-3174 and 3185-3194-3204.

Silver - XAG

Silver on Tuesday its intraday high of US$34.11/oz and low of US$33.81/oz settle up by 0.385% at US$33.81/oz.

Technicals in Focus:

On daily charts, silver is sustaining above 20MA (25.05), breakage above will lead to 23.73. MACD is below the zero line and histograms are increasing trend, bringing a bullish stance in the upcoming sessions. RSI is in the oversold region, indicating a sell signal for now. The Stochastic Oscillator is in the overbought region and gives a positive crossover to show an upside move for the intraday trade.

Trading Strategy: Buy on Dips

Buy in between 33.50-31.10, targeting 33.90-34.45 and 34.85-35.25-35.50-36.00 with stop loss should be placed on the breakage below 31.00. Sell in between 34.10-36.00 with a stop loss above 36.00 targeting 33.95-33.10-32.60 and 32.10-31.60-30.90.

Oil - WTI

Crude Oil on Wednesday high of US$71.96/bbl, an intraday low of US$70.77/bbl, and settled down by 0.277% to close at US$70.41/bbl.

Technicals in Focus:

On daily charts, oil is sustaining above its 100DMA i.e. 75.37, a support level, and breakage above will call for 77.48. MACD is above the zero line and histograms are in increasing mode will bring a bullish stance in the upcoming sessions. The Stochastic Oscillator is in the overbought region, giving a negative crossover to confirm a bearish stance; while the RSI is in the neutral region, more upside can be expected to reach the overbought region, which is highly probable.

Trading Strategy: Neutral to Sell

Sell in between 69.85-74.65 with stop loss at 75.00; targeting 69.00-68.25-67.00 and 66.20-65.50-64.90. Buy above 69.00-63.05 with risk daily closing below 63.00, targeting 69.80-70.66-71.50 and 72.30-73.00-74.00.

EUR/USD

EUR/USD on Wednesday an intraday low of US$1.0779/EUR, a high of US$1.0923/EUR, and settled the day up by 0.540% to close at US$1.0850/EUR.

Technicals in Focus:

On daily charts, prices are sustaining above 100DMA (1.0800), which becomes immediate support, a break below will target 1.0717. MACD is above the zero line and histograms are increasing mode, bringing a bullish view. Stochastic is in oversold territory, giving negative crossovers to the bullish outlook for intraday. 14D RSI is currently in a neutral region and giving no directions to consider right now.

Trading Strategy: Neutral to Sell

Sell below 1.0990-1.1135, targeting 1.0935-1.0890-1.0800 and 1.0725-1.0650-1.0600 with stop-loss at daily closing above 1.1035. Buy above 1.0935-1.0490 with risk below 1.0490 targeting 1.0990-1.1035-1.1065 and 1.1100-1.1150.

GBP/USD

GBP/USD on Wednesday low of US$1.2878/GBP, a high of US$1.2939/GBP, and settled the day up 0.0351% to close at US$1.2921/GBP.

Technicals in Focus:

On daily charts, prices are sustaining above 50DMA (1.2674) is becoming a support level. 14-D RSI is currently in a neutral region and direction is difficult to predict on an RSI basis. The Stochastic Oscillator is in oversold territory and gives a positive crossover to confirm a bullish stance. MACD is above the zero line, but histograms are increasing leading to movement.

Trading Strategy: Neutral to Buy

Based on the charts and explanations above; buy in between 1.3040-1.2380 with a target of 1.3100-1.3140-1.3200 and 1.3270-1.3300 with a stop loss closing below 1.2380. Sell in between 1.3100-1.3300 with targets at 1.3040-1.990-1.2920 and 1.2850-1.2790-1.2753 with a stop loss of 1.3140.

USD/JPY

USD/JPY on Wednesday an intra‐day low of JPY148.69 /USD an intraday high of 150.26/USD, and settled the day up by 0.139% at JPY149.92/USD.

Technicals in Focus:

In daily charts, JPY is sustaining above 100DMA (155.35), major support on the daily chart. 14-D RSI is currently in the overbought region and chances of downward are expected based on RSI. MACD is above the zero line but histograms are in decreasing mode which might lead to downward movement. The Stochastic Oscillator is in overbought territory and signaling to sell as it has given a negative crossover to confirm a bearish stance.

Trading Strategy: Neutral to Sell

Sell below 150.90-159.50 with risk above 160.00 targeting 148.00-147.10-146.50 and 146.00-145.20-144.50. Long positions above 149.10-143.50 with targets of 148.00-148.60-149.00 and 150.00-150.60-151.10 with stops below 143.00.