Weekly Ichimoku cloud indicator analysis of EURUSD

EURUSD bounced towards 1.12-1.1230 but got rejected. Price has pulled back below 1.11 and bears back in control of the short-term trend. Price got rejected again right at the tenkan- and kijun-sen indicators confirming bearish trend.

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EURUSD remains in weekly bearish trend as shown by the weekly chart above. Price is not only below the weekly Kumo, but also below both the tenkan- and kijun-sen indicators (red and yellow line). The kijun-sen(yellow line indicator) is also above the tenkan-sen (Red line indicator). This confirms bearish trend. Last week and this current week bulls tried to break above the two indicators which are found at 1.120-1.1237 but both times we saw a rejection. A new lower low below 1.1026 is very possible this week. On a daily and weekly basis we have some bullish divergence signs by the RSI, but as long as price keeps making lower lows and lower highs we can not talk about a reversal.The material has been provided by InstaForex Company - www.instaforex.com

Weekly Gold analysis

Gold's weekly close has not given any bearish reversal sign. Price closed at a new weekly higher high confirming the bullish trend we are in. There is no bearish divergence on a weekly basis but RSI is at overbought levels.

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Red lines - bullish channel

Green line -major support trend line

Gold price has broken past the 100% extension of the first upward move from $1,160 to $1,346. Next target is the 161.8% Fibonacci extension at $1,570. Price is inside a steep upward bullish channel. We only observe bearish divergence signs on 4 hour and daily charts. This is just a warning that bulls need to be cautious. At the end of this week price pulled back from recent highs and closed right above the key short-term support of $1,510. Holding above it is crucial if bulls want to see $1,570. Breaking below this support area of $1,500-$1,510 will lead to a bigger pull back at least towards $1,450-$1,430. The longer-term bullish trend can only be put in danger only if price breaks below $1,350-$1,300.

The material has been provided by InstaForex Company - www.instaforex.com