Forex Trading Short on Silver (XAGUSD). GBPJPY Plummets to Support. WTI at Support in Descending Triangle.

In today’s GCI Market Outlook let’s take a look at Forex Trading on the S&P 500, GBPJPY, WTI Crude Oil, Gold (XAUUSD), and Silver (XAGUSD).

With the strong USD, price action on silver is falling with all kinds of bearish technical signals.

If we look at price action on silver for the last 3 weeks we can see the reversal as price crashed through support at the neckline of this double top.

This red candle represents the aftermath of the US elections.

Now, we are in a downward channel with price action just bouncing off the upper trend line and the stochastic oscillator turning back down.

We see a similar picture on gold but, if we move out to the daily chart see that price action is near support and the stochastic oscillator is very oversold.

Last time we were wondering if price action on WTI would fall to $66 but support now seems to be $67.50 with a descending triangle formed.

MACD is still bearish but the stochastic oscillator looks like it may turn up from oversold.

JPY has found some sudden strength today and the biggest response was with GBPJPY with the pound just above 196 yen.

Yesterday, Jerome Powell and the US Federal Reserve stated that with the booming US economy, there is no rush to cut interest rates again.

This caused indices like the S&P500 to fall.

If we look at the daily chart, we can see that there is more room to fall but we will see if investors will be waiting to buy the dip.

That’s all for now.

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