DAILY TECHNICAL ANALYSIS FOR DECEMBER 9, 2022petar skakalov
Current level – 1.0582
The common European currency appreciated against the dollar and, after the breach of the resistance at 1.0549, the pair is heading for a test of the upper zone at 1.0594. A violation of the mentioned support level could strengthen positive expectations for the future path of EUR/USD and could easily lead the pair towards the levels from June – around 1.0750. If the bullish momentum fades, the first support is the mentioned zone at 1.0549, followed by the next target at 1.0442. A breach of the lower level at 1.0396 could lead to a change of the current sentiment of the market participants. High volatility is to be expected around the announcement of the PPI numbers for the U.S. (13:30 GMT) as they will give traders clues on what the CPI reading might be next week.
Current level – 136.05
The bears managed to prevail and during the early hours of today’s trading the Ninja is testing the support zone at 136.18. A successful breach could deepen the decline and could easily lead to an attempt for violation of the local low at 133.92. If the mentioned zone at 136.18 withholds the bearish attack, the first target of the bulls can be found at the zone at 137.83, followed by the resistance at 138.99.
Current level – 1.2261
The bulls managed to breach the resistance zone at 1.2232 and, at the time of writing the analysis, the Cable is trading around 1.2261. If the attack of the buyers continues, a successful test of the upper target at 1.2342 could lead to new gains for the pound against the dollar and could help for a more sustained rally for the GBP/USD. If the bears enter the market, breach of the support at 1.2129 and take the pair below the zone at 1.2026, a deeper decline towards the major support at 1.1938 could develop.
Gold price keeps rising
Gold price shows more of the bullish bias to keep the attempt of trading within the bullish channel, waiting for more of the upside moves to test 1810.00 level initially, as breaching it represents the rally key towards 1850.00 as a next positive target.
Therefore, we keep preferring the bullish trend in the upcoming period, being aware that breaking 1785.00 will push the price to decline and test 1764.40 levels again before any new attempt to rise.
The expected trading range for today is between 1780.00 support and 1820.00 resistance.
The expected trend for today: Bullish
Source: Technical analysis