After yesterday’s dramatic sell off, the market will try to look for some kind of rebound to consolidate the continuation of this nervous mood

<p>  GBP/USD Range: 1.6264 – 1.6269 Support: 1.6230 Resistance 1.6280   Sterling closed in New York at 1.6257, off session lows of 1.6245. The rate […]</p>

 

GBPUSD
GBP/USD
Range: 1.6264 – 1.6269
Support: 1.6230
Resistance 1.6280

 

Sterling closed in New York at 1.6257, off session lows of 1.6245. The rate was under early pressure into Asia, pressing down to 1.6229 as it tracked early euro-dollar slippage, led in turn by sales of euro-Swiss. Sterling held shy of stronger support at 1.6224, with the rate edging back to 1.6280. The rate slipped back to 1.6250, basically settling between 1.6250-1.6280 ahead of the European open, apart from one drop to 1.6245 as markets reacted to a spike higher in dollar-yen. The rate edged to 1.6280 into early Europe, before coming under fresh sell pressure that has eased it to 1.6245. Support is seen between 1.6230-1.6220, a break to open a deeper move towards 1.6200, 1.6214 and 1.6207. Resistance at 1.6280.
EURUSD
EUR/USD
Range: 1.4055 – 1.4126
Support: 1.4055
Resistance 1.4140

 

Euro-dollar closed in New York at its session lows of 1.4090. The rate remained under pressure into early Asia, with French sales of euro-Swiss providing the lead, influencing euro-dollar down to 1.4055. Sovereign buying took the rate on to 1.4090, with the rate jumping up to 1.4125 as markets reacted to China Foreign Minister Yang Jiechi’s comments that they would continue to support the EU and the euro. The rate marked highs at 1.4128 before easing back to 1.4085. Recovery to 1.4120 was knocked back to 1.4090 as dollar-yen spiked higher on suggested BoJ action (though no confirmation found) before the rate settled between 1.4100-1.4025 ahead of the European open. Offers begin from above 1.4140, with stronger interest at 1.4150. Stops seen placed at 1.4155-1.4160, which if triggered to open a move towards 1.4190-1.4200. Stops noted above 1.4210. Bids at 1.4055-1.4050.
Gold
Range: 1,650.60 – 1,662.30
Support: 1,642.00
Resistance 1,665.00

 

Gold hit another all-time high yesterday, around 1,682.30. In yesterday’s market, the rally was driven by safe-haven demand again, but later fell back as the US dollar index soared and equity markets crashed. Gold was eventually dragged down with it as some strong long liquidation took place, shedding $40 to lows of 1,642.30 before closing out the day around 1,646.50. Asia however steadily climbed this morning to 1,662.80 after an early dip to yesterday’s lows. Silver’s reaction yesterday was even more dramatic, falling from highs of 42.26 to 38.48, erasing the week’s gains before closing at 38.90. Asia has since staged a small recovery to 39.43. Silver support now seen at 38.21, with gold support at 1,642.00.

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