Pivot Point Resistance at $1.1567

During Monday's Asian trading session, the EUR/USD currency pair succeeded in stopping its previous-session downward rally and drew some fresh modest bids around the $1.1585 level, even after the risk barometer represented the market's indecision amid mixed clues concerning the US Federal Reserve's (Fed) next moves and the China-linked headlines.

In addition to this, the broad-based US dollar strength, backed by risk-off sentiment, has also failed to have any meaningful bearish impact on the EUR/USD currency pair so far. Other than the US dollar's performance, a lack of transparency among the European Central Bank (ECB) board members concerning the central bank's next move seems to weigh on the EUR/USD prices. Alternatively, the modest upticks in the currency pair were mainly sponsored by the recently improving covid conditions in Europe. Meanwhile, the hopes for more stimulus in the US seem to challenge the market risk-of mood, which may further support the EUR/USD currency pair.

At this particular time, the EUR/USD currency pair is trading at 1.1585 and consolidating in the range between 1.1564 and 1.1588. Despite the optimism over the improving covid conditions in the West, the market trading sentiment failed to stop its early-day bearish performance. The mixed clues concerning the US Federal Reserve's (Fed) next moves and the China-linked downbeat headlines tend to undermine the market trading sentiment.

On the other hand, the long-lasting Sino-American tussles over phase one deal commitments put some further downside pressure on the market. Moreover, Hong Kong and Taiwan face challenges from China and add to the risk-off mood. Other than the US-China headlines, a lack of clarity among the European Central Bank (ECB) board concerning the central bank's next move joins the policymakers' reflation fears to weigh on the market trading mood. However, the negative appearance of the US stock futures tends to highlight the risk-off sentiment, which was seen as one of the major events to put pressure on any further gains in the EUR/USD currency pair.

The broad-based US dollar extended its early-day bullish rally and rose sharply against its major peers on the first day amid risk-off market sentiment. Furthermore, the uptick in the US dollar was further bolstered by the upbeat prints of September's Unemployment Rate and Average Hourly Earnings. The Unemployment Rate fell to 4.8%, against 5.1% expected and 5.2% prior, soothing the pains, while Average Hourly Earnings also surged past 0.4% expected and revised down previous readouts of 0.4% to 0.6%. Thus, the US dollar bullish bias capped the upside for the EUR/USD pair.

Alternately, the recently improving COVID conditions in Europe seem to put some breaks on the currency pair's initial downside bias. Meanwhile, the US debt ceiling extension and hopes for more stimulus keep challenging the market's upbeat mood, which was one of the key factors that pushed the EUR/USD currency higher.

Given the thin calendar and US holiday, risk catalysts will be the key for fresh momentum ahead of Wednesday's inflation data from Germany, the US, and Federal Open Market Committee (FOMC) Minutes for the latest monetary policy meeting.

EUR/USD Intraday Technical Levels

Support Resistance

1.1548 1.1593

1.1522 1.1612

1.1503 1.1637

Pivot Point: 1.1567

EUR/USD - Technical Outlook

On Monday, the EUR/USD currency pair is trading at 1.1586 level and it’s gaining immediate support at 1.1567 level. This particular support is extended by an intraday pivot point level of 1.1563, as we can also see on the chart above. A break below this level exposes the pair to the 1.1548 and 1.1522 levels. On the higher side, the breakout of the 1.1586 level exposes the EUR/USD pair towards 1.1612 and 1.1637.

On Monday, the market priced in the better-than-expected unemployment rate and average hourly earnings data from the United States. While the EUR/USD is being supported by worse-than-expected nonfarm payroll data.

The RSI and MACD are in support of a buying trend. Therefore, the bullish bias dominates above the 1.1567 level today. All the best!

Bitcoin Price Prediction

The BTC/USD coin pair maintained its early-day bullish bias and drew further heavy bids around the $56,500 level. Bitcoin is still showing positive signs above $56,000 against the US dollar. It could accelerate even higher if there is a clear break above the $56,500 resistance zone. At the same time, the price remained in a positive zone and climbed above the $56,000 resistance. BTC even broke the $56,500 resistance level and settled above the 100 hourly simples.

On the contrary, the BTC could correct lower if it fails to clear the $56,500 resistance zone. The following support stays near the $55,000 level. The first significant support is now forming near the $54,500 level. The next adequate support is near the $54,000 level, below which there is a risk of a larger decline. At this time, BTC/USD is trading at $56,386.3, having gained over 1.58% in 24 hours. The BTC's current market ranking is 1, with a live market cap of USD 1,065,578,155,437. It has a circulating supply of 18,840,512 BTC coins and a max. supply of 21,000,000 BTC coins.

However, the reason behind Bitcoin's upward rally could be attributed to the bullish crypto market. This was witnessed after reports revealed that around five countries would accept Bitcoin as legal tender by the end of next year. Apart from this, Elon Musk is bullish (again), saying: "It's not possible to destroy crypto". These positive remarks in favor of the crypto world were seen as key factors that kept BTC prices higher.

Being CEO of Tesla and Chief Engineer of SpaceX, Musk was invited to be a speaker at last week's Code 2021 ceremony in Beverly Hills, which Vox Media sponsored. During his remarks answering questions as to whether or not governments should regulate blockchain and the crypto space, Musk flat out replied, "I would say, governments should 'Do nothing.'" He added further, "It is not possible to destroy crypto, but governments can slow down its progress." Lastly, the broad-based US dollar extended its early-day bullish rally and rose sharply against its major peers on the day.

BTC/USD Intraday Technical Levels

Support Resistance

52976.14 55430.59

52047.53 56956.43

50521.69 57885.04

Pivot Point: 54501.3

BTC/USD - Technical Outlook

The leading cryptocurrency, Bitcoin, continues trading with a solid bullish bias at the 56,558 level, facing immediate resistance at the 56,956 level. Most of the bullish trend is due to optimistic fundamentals driven by revolving in the market. Therefore, the odds of a bullish trend's continuation remain high.

In the case of a bullish breakout of the 56,956 resistance level, the Bitcoin price will be exposed towards the next resistance level of 57,885. Moreover, the breakout of the 56,027 support level exposes the cryptocurrency pair towards the next support level of the 55,430 level.

As we can see, the RSI and Stochastic are above 50; Bitcoin is trading in a buy zone. Therefore, the closing of bullish engulfing and a marubozu candle above 55,430 support signals the chances of a bullish trend continuation in Bitcoin. Thus, the bullish bias dominates above 56,027 and vice versa. All the best!

Symmetrical Triangle & US Nonfarm Payroll in Play

During early Friday, gold consolidated weekly losses despite taking bids to refresh intraday high of $1,758, up 0.10 percent on the day. Although the improved market attitude supports gold buyers, the metal remains trapped in a short-term trading range due to pre-NFP nervousness.

Risk appetite improves as the U.S. Congress passes legislation to extend the debt ceiling by $408 billion until early December 2021. On the same theme, there were favorable reports about Sino-American relations and the People's Bank of China's (PBOC) willingness to maintain financial markets liquid.

On the contrary, the Fed's tapering troubles, combined with stronger data signals for the U.S. Nonfarm Payrolls (NFP), which are due out today, kept bulls on the defensive mode. The headline Nonfarm Payrolls (NFP) are expected to climb by 488K from 235K previously, while the Unemployment Rate is anticipated to drop to 5.1 percent compared to 5.2 percent before.

It's worth noting that the U.S. Dollar Index (DXY) is struggling for new hints, despite U.S. 10-year Treasury yields jumping 1.8 basis points to 1.59 percent by press time after reaching a four-month high the day before. Furthermore, Wall Street had another intense day by the end of Thursday, and S&P 500 Futures are expected to follow suit at the latest.

Moving on, gold prices may experience some volatility ahead of the significant U.S. jobs report for September, but the bulls face a difficult path to the north thus far. As a result, stronger employment data from the United States may exacerbate difficulties for gold buyers.

GOLD Intraday Technical Level

Support Resistance

1751.69 1771.64

1738.82 1778.72

1731.74 1791.59

Pivot Point: 1758.77

GOLD - Technical Outlook

On Friday, gold is trading with a bullish bias at the 1759 level. It is currently trading above an intraday pivot point of 1758, indicating a bullish bias for the precious metal gold.

On the upside, gold is anticipated to encounter immediate resistance around 1764, while a break above 1764 might push gold prices to the following resistance levels of 1773 and 1779. While gold is now bearish, it may find immediate support at 1758, which is being extended by a pivot point.

Below this pivot point, the 50-day SMA (simple moving average) at 1751 provides immediate support. Gold's bullish bias remains strong above 1,751 and bearish below the same level ahead of the nonfarm payroll numbers for the United States. All the best!

Upward Channel Support ahead of Nonfarm Payroll

The ETH/USD was closed at $3,586.00 after placing a high of $3,650.18 and a low of $3,473.47. The ETH/USD continued its decline and dropped to its lowest since the mid of July 2020 amid the increased demand for the U.S. dollar and reduced risk appetite in the market. The price of Ethereum (ETH/USD) is largely stable as investors await the latest American nonfarm payroll data, which is ready to be released on Friday. Ether is currently trading at $3,574, significantly down from this week's high of $3,653.

Ethereum is a blockchain project that has developed to become one of the industry's most useful. The ecosystem enables developers to create various applications, including non-fungible tokens (NFT), decentralized finance (DeFi), and games. On Ethereum's network, some well-known cryptocurrencies, such as Shiba Inu, are constructed.

The price of Ethereum has grown in recent weeks as interest in cryptocurrencies has returned. It has surged by more than 35% since its low point this week. Because of this bounce, its entire market valuation has risen to more than $420 billion, making it the second-largest cryptocurrency.

Ethereum has recently gained significantly for a variety of reasons. First and foremost, the price motion is consistent with what Bitcoin has done. BTC, the world's largest cryptocurrency, has risen to more than $54,000 after Soros Fund Management revealed a position.

Second, the price of ETH has surged because of increased network activity. The entire wealth held in Ethereum's Defi ecosystem has risen to well then $142 billion in recent days. This is a significant figure, given that the industry was non-existent only a few years ago.

Finally, the price increased when it became clear that more institutions were purchasing the currency. For example, US Bancorp said this week that it would begin offering custody services to institutional clients. It joins other large corporations like Fidelity in providing these services.

The employment figures will influence today's Ethereum price in the United States. These figures are significant because they have an impact on the Fed's decision. As a result, good figures could imply that the Fed would retain its aggressive approach.

ETH/USD Intraday Technical Levels

Support Resistance

3510 3682

3403 3745

3339 3853

Pivot Point: 3574

ETH/USD - Technical Outlook

On Friday, the ETH/USD pair is trading with a strong bullish bias at 3,638 level and it’s gaining immediate support at 3,574 level. Such support is extended by an intraday pivot point level. A break below this level exposes the pair to the 3,510 and 3,403 levels. On the higher side, the breakout of the 3,682 level exposes the ETH/USD pair towards 3,745 and 3,853.

The ETH/USD pair is currently closing "Three White Soldiers". That suggests strong upward movement in the market. Alongside, the RSI and Stochastic are also holding in a buying zone (above 50), supporting a strong bullish bias in the ETH/USD.

Investors will be keeping their eyes on US Nonfarm Payroll data during the US session. Moreover, the bullish bias dominates over the 3574 level and vice versa. All the best!

Bitcoin Price Prediction

With a 17 percent increase in the last seven days, Bitcoin has risen above $55,000 in a bull run. Soros Fund Management, led by famed investor George Soros, said it was trading the cryptocurrency, accelerating the rise even higher.

The fund's chief executive, Dawn Fitzpatrick, told Bloomberg that the company has some coins, but not many, and that "the coins themselves are less fascinating than the use cases of DeFi and things like that."

After a prolonged dry run, Bitcoin surged nearly 6% in a single day to a five-month high, breaking the coveted $50,000 barrier for the first time in a month. Many experts believe that the market leader will reach an all-time high this month, as October has historically been a bullish month for the coin.

At writing, BTC/USD has fallen below $54,000 as purchasing pressure has waned. The Bitcoin price is currently hovering around $53,854.45 and is expected to produce a low near the $53,000 support level before stabilizing. Bitcoin is still trading over the 9-day and 21-day moving averages at writing, although it is down 2.68 percent.

Since the start of the day, the Bitcoin price has been correcting higher now. A definitive break above the $55,000 resistance level may increase buying pressure. On the other hand, Bulls will require tremendous liquidity and volume to break through the $57,000 highs and make a run for the $58,000 mark.

The technical indicator Relative Strength Index (14) has been spotted going below the 70-level from the overbought zone, as the abrupt downward slope is a clear indication of the influence that may allow bears to strengthen the pressure.

BTC/USD Intraday Technical Levels

Support Resistance

51944.6 57220.6

48558.3 59110.3

46668.6 62496.6

Pivot Point: 54380.3

BTC/USD - Technical Outlook

The leading cryptocurrency, Bitcoin, is trading with a solid bullish bias at the 54,445 level, facing immediate resistance at the 55,355 level. Most of the bullish buys in Bitcoin are fundamentally driven. Therefore, the odds of a bullish breakout remain high.

In the case of a bullish breakout of the 55,355 resistance level, the Bitcoin price will be exposed towards the next resistance level of 57,220. Moreover, the breakout of the 57,220 level exposes the cryptocurrency pair towards the next resistance level of the 55,110 level.

As we can see, the RSI and Stochastic are above 50; Bitcoin is trading in a buy zone. Therefore, the closing of Doji and Shooting Star candles above 55,355 resistance signals the chances of a bullish trend continuation in Bitcoin. Thus, the bullish bias dominates above 54,380 and vice versa. All the best!

XAU/USD Breaks Below $1,757 Pivot Point

Gold prices were closed at $1764.55 after reaching a high of $1765.85 and a low of $1745.90. Gold ticked up in a tight trading range on Wednesday as the U.S. Treasury yield dropped on the day, although a stronger dollar kept the gains limited for the safe-haven metal. Investors were awaiting the U.S. labor market data that is scheduled for this week.

During early trading hours, the 10-year Treasury note yield rose to a more than 3-month high but then reversed course and moved to the downside. Treasury yields remained above the 1.5% level, limiting gold's gains for the day.

Furthermore, the gains in yellow metal were capped by a stronger U.S. dollar, which is currently trading at 94.45 against a basket of six major currencies. The dollar was gaining strength from the surging energy prices that could spur inflation and interest rate hikes, making gold expensive for holders of other currencies and restricted gains.

Some market participants believed that the upcoming data on non-farm payrolls in the United States from September would be the highlight, limiting the gains in the yellow metal as it will shape the Federal Reserve's tapering plans. However, others believed that even if the U.S. non-farm payroll data came in line with expectations, some Fed members already considered that the condition for tapering had been fulfilled, and that was putting pressure on gold.

On the data front, at 17:15 GMT, the ADP Non-Farm Employment Change for September surged to 568K against the forecasted 425K and supported the U.S. dollar that further caped gains in yellow metal prices.

In a meeting with bank and industry leaders at the White House on Wednesday, U.S. President Joe Biden increased the pressure on congressional Republicans to support a debt ceiling raise. Biden said that the opposition would take America right to the brink. He also stated that Republicans were planning to block a third attempt by Senate Democrats to raise the debt ceiling, which was not right and was dangerous.

Republicans want Democrats to raise the debt ceiling using reconciliation, a process that would not require Republican votes. However, Democrats have refused, saying Republicans should join in the vote as the debt includes about $8 trillion in spending approved during Republican Donald Trump's presidency. The stalemate was increasing uncertainty in the market, and hence, gold gained some ground over the uncertainty and rose on Wednesday.

GOLD Intraday Technical Level

Support Resistance

1751.69 1771.64

1738.82 1778.72

1731.74 1791.59

Pivot Point: 1758.77

GOLD - Technical Outlook

The precious metal gold was trading at $1,756 with a bearish bias. It is getting immediate resistance at the 1,757 level, which has been extended by an intraday pivot point. Gold has violated the pivot point support level of 1,757, which is now exposing gold towards the 1,754 support level. On the lower hand, the breakout of the 1,754 level exposes the precious metal towards the 1,747 and 1,739 levels. Further, on the lower side, the violation of 1,739 exposes gold towards the 1,731 level.

On the bullish side, gold’s next resistance stays at the 1,757 level and a breakout of this exposes the pair towards the 1,765 level and 1769. The RSI and Stochastic are supporting a selling trend in gold, thus, the bearish bias dominates below 1,757 and vice versa. Good luck!

Pivot Point Resistance at $1.1562

The EUR/USD was closed at $1.1556 after placing a high of $1.1605 and a low of $1.1529. EUR/USD continued its decline and dropped to its lowest since the mid of July 2020 amid the increased demand for the U.S. dollar and reduced risk appetite in the market.

The common currency, the Euro, faces heavy pressure on concerns that European households might struggle to pay their heating bills in winter as energy prices soar in Europe. The safe-haven dollar was seeing an uptick as concerns about outright shutdowns in industries in Europe and abroad increased.

The U.S. Dollar Index rose to 94.45, making the U.S. dollar the best-performing currency, and it was further supported by U.S. Treasury Yields, which reached their highest level since June at 1.57% during early trading hours before falling back to around 1.50%. Onboard, yields and the dollar were high due to the Federal Reserve's upcoming tapering of bond purchases.

From August, the German Factory Orders showed a decline of-7.7% against the forecasted-2.3% and weighed on the Euro and added further loss in EUR/USD. Retail sales in August fell by 0.3%, versus the predicted 0.7%, weighing on the single currency euro and dragging EUR/USD further to the downside. From the U.S. side, at 17:15 GMT, the ADP Non-Farm Employment Change for September rose to 568K against the expected 425K and supported the U.S. dollar, which added to the further decline in the EUR/USD pair.

Apart from this, investors also had their eyes on Capitol Hill, where Republicans were continuously refusing to raise the debt ceiling, which increased the chances of a U.S. default later in October. President Joe Biden has suggested ditching the Senate filibuster to resolve the issue. However, these headlines affected the currency pair EUR/USD as the focus was shifted towards Euro weakness and U.S. dollar strength.

The Euro was weak across the board amid a combination of factors, including the dismal macroeconomic data released for the day, the energy crisis, inflation fears, and the strength of its rival currencies like the U.S. dollar. The falling value of the single currency euro continued to weigh on the currency pair EUR/USD. Furthermore, the risk-off market sentiment caused by increased concerns about inflation, the energy crisis, the debt ceiling stalemate, the slowing of economic recovery, and U.S.-China tensions weighed on the riskier asset EUR/USD pair for the day.

EUR/USD Intraday Technical Levels

Support Resistance

1.1521 1.1597

1.1486 1.1640

1.1444 1.1674

Pivot Point: 1.1563

EUR/USD - Technical Outlook

On Thursday, the EUR/USD currency pair is trading at 1.1555 level and it’s gaining immediate support at 1.1529 level. Such support is extended by an intraday low placed during the US session on Wednesday. A break below this level exposes the pair to the 1.1490 and 1.1452 levels. On the higher side, the breakout of the 1.1561 level exposes the EUR/USD pair towards 1.1594 and 1.1633.

Due to a lack of trading volume and volatility, the EUR/USD pair is currently closing Doji and Shooting Star candles. Typically, it happens when the market and its traders are waiting for any major economic data. In this case, traders are staying out of the market ahead of the US Nonfarm Payroll data that’s schedule on Friday.

The RSI and MACD are in support of a selling trend. Therefore, the bearish bias dominates below the 1.1562 level today. All the best!

Bitcoin Price Prediction

The BTC/USD ended the day at $55,331.0, having reached a high of $55,724.0 and a low of $50,448.0. The BTC/USD has reached its highest level since May as the crypto market improves. The leading cryptocurrency, Bitcoin, reached its 5-month highest level on Wednesday after the SEC Chairman, Gary Gensler, said that the U.S. SEC has no plans to ban cryptocurrencies as China did.

He further noted that even if this type of decision were to be made, it would be up to Congress to make such a decision. He backed up the statement recently made by Jerome Powell, the Chairman of the Federal Reserve, who said that the Fed had no intention of banning or limiting the use of cryptocurrencies.

According to the CEO of Valkyrie Investments, Leah Wald, Bitcoin was an excellent digital gold that had done a brilliant job of nailing down that store of value narrative. She discussed that if bitcoin breaks the $50,000 level and maintains this price level, a bullish run could take it to new highs during the fourth quarter. She added that she was very excited about October and Q4, which could be beneficial for BTC. So far, her prediction has materialized as Bitcoin has reached $55,000.

The increased interest of institutional investors in bitcoin and cryptocurrencies has also been supportive of BTC/USD. A report published by COinShares showed that inflows in bitcoin have picked back up. Although the market share of altcoins was increasing more rapidly due to the rise of decentralized finance networks like Ethereum and Solana, bitcoin was still gaining due to increased institutional interest.

According to the report, the institutional inflows were recorded for the previous week as $90 million, out of which bitcoin alone secured $69 million, which accounted for about 76.6% of total inflows. This showed that institutional investors had turned back to bitcoin, which added further strength to the already rising prices of BTC.

Bitcoin was also gaining amid the prospects of being legal tender for another country, Brazil. The government of Brazil has shown its plans to follow the steps of El Salvador and legalize bitcoin payments throughout the country. Brazil is the 9th largest economy globally, and its adoption of bitcoin will give a massive spike in the value of BTC.

BTC/USD Intraday Technical Levels

Support Resistance

51944.6 57220.6

48558.3 59110.3

46668.6 62496.6

Pivot Point: 53834.3

BTC/USD - Technical Outlook

The leading cryptocurrency, Bitcoin, is trading with a solid bullish bias at the 54,998 level, facing immediate resistance at the 55,355 level. Most of the bullish buys in Bitcoin are fundamentally driven. Therefore, the odds of a bullish breakout remain high.

In the case of a bullish breakout of the 55,355 resistance level, the Bitcoin price will be exposed towards the next resistance level of 57,220. Moreover, the breakout of the 57,220 level exposes the cryptocurrency pair towards the next resistance level of the 55,110 level.

As we can see, the RSI and Stochastic are around 80; Bitcoin is trading in an overbought zone. Therefore, the closing of Doji and Shooting Star candles below 55,355 resistance signals the chances of a bearish correction in Bitcoin. Thus, the bearish bias dominates below 55,355 and vice versa. All the best!

Eyes on ADP Non-Farm Employment Change

Gold prices ended the day at $1759.85, with a high of $1768.95 and a low of $1749.20. After increasing for three consecutive sessions, gold fell on Tuesday amid the resurgence of the US dollar, as traders sought safety in the dollar amid a stock market selloff fueled by concerns over rising energy prices.

The US Dollar Index, which measures the dollar's value against a basket of six other currencies, surged to 94.07 on Tuesday as market concerns about rising oil costs exacerbated existing inflationary pressures. The 10-year Treasury note yield surged to 1.50 percent, adding strength to the greenback and dragging the yellow metal down with it. It was another unpleasant trading day for the gold market, as investors were more focused on short-term developments such as the dollar and yield gains while ignoring the emerging energy crisis, which was driving a negative growth narrative.

On Tuesday, the US stock market experienced a significant selloff due to fears about growing inflation, the energy crisis, the fragility of US-China trade ties, China Evergrande's debt issue, and a deadlock over the US debt ceiling. The aforementioned variables conspired to decrease risk appetite for equities, prompting investors to seek refuge in the US dollar. The rising value of the US dollar then put pressure on the precious metal.

On the data front, the Trade Balance for August revealed a deficit of -73.3 billion against the anticipated -70.5 billion, weighing on the US dollar and capping additional losses in gold around 17:30 GMT. At 18:45 GMT, the September Final Services PMI increased to 54.9 from 54.4 expected, bolstering the US dollar and adding to the decline in gold prices. At 18:54 GMT, October's IBD/TIPP Economic Optimism Index fell to 46.8 from an expected 51.3, weighing on the US dollar. At 19:00 GMT, the ISM Services PMI for September increased to 61.9 from 59.9, supporting the US dollar and putting further negative pressure on gold.

Furthermore, investors were looking forward to the release of non-farm payrolls data in the United States on Friday. It is projected to demonstrate ongoing improvement in the labor market, allowing the Federal Reserve of the United States to begin tapering its monetary stimulus before the end of the year.

Furthermore, Federal Reserve Vice Chairman Randal Quarles stated that US lenders and corporate borrowers must accelerate their transition from LIBOR to new reference rates. He also said that after December 31st, LIBOR might not be used in recent financial transactions.

GOLD Intraday Technical Level

Support Resistance

1749.71 1769.46

1739.58 1779.08

1729.96 1789.21

Pivot Point: 1759.33

GOLD - Technical Outlook

On Wednesday, the precious metal gold was trading at $1,756 with a bearish bias. It is getting immediate support at the 1,754 level, which has been extended by an intraday pivot point. Gold has violated the pivot point support level of 1,762, which is now exposing gold towards the 1,754 support level. On the lower hand, the breakout of the 1,754 level exposes the precious metal towards the 1,747 and 1,739 levels. Further, on the lower side, the violation of 1,739 exposes gold towards the 1,731 level.

On the bullish side, gold’s next resistance stays at the 1,762 level and a breakout of this exposes the pair towards the 1,770 level. The RSI and Stocahstic are supporting a selling trend in gold, thus, the bearish bias dominates below 1,762 and vice versa. Good luck!

Brace for ADP Non-Farm Employment Change

The EUR/USD pair ended the day at $1.1621, having reached a high of $1.1641 and a low of $1.587. The EUR/USD continued with its bullish momentum for the third consecutive session on Monday as the U.S. dollar was weak across the board despite the prevailing energy crisis in Europe. The U.S. Dollar Index, which measures the value of the greenback against a basket of six major currencies, fell on Monday to 93.68, as inflation concerns rose in the market. The U.S. dollar remained under pressure despite a relatively risk-off market mood and the expectation that the Fed will begin tapering bond purchases next month.

The main reason behind the declining price of the U.S. dollar could be attributed to the risk of the U.S. defaulting on its debt as Democrats and Republicans remain divided over the best way to raise the debt ceiling. Tensions increased on Monday as the time to reach a deal on the $28.4 trillion debt ceiling by the U.S. federal government was getting closer. Just two weeks remained to reach a deal, but both parties were reluctant to join each other in voting.

Meanwhile, President Joe Biden has called Republicans to join Democrats in voting to raise the debt ceiling in the next two weeks. All these developments kept the U.S. dollar under pressure, which pushed the EUR/USD currency pair higher on Monday.

On the data front, at 12:00 GMT, the Spanish Unemployment Change for September came in as -76.1K against the previous -82.6K. At 13:30 GMT, the Sentix Investor Confidence declined to 16.9 against the forecasted 18.5 and weighed on the single currency Euro and caped further gains in EUR/USD. From the U.S. side, at 19:00 GMT, factory orders from August remained unchanged at 1.2%.

On Monday, during the Eurogroup meeting in Luxembourg, the European ministers put forth the agenda of the energy crisis. Growing international demand and a sudden economic recovery have prompted a surge in natural gas prices. Energy prices increased by six-fold in less than one year, from €16 megawatts per hour in January to €98 by late September. The meeting suggested that the willingness of East Asian counties to pay more for fuel has exacerbated the trend during the summer when high temperatures pushed people to use air-conditioning and cooling systems.

After the release of September’s inflation figures from Europe, the energy crunch took hype as the inflation figures reached 3.4%, which was far from the 2% target of the ECB. The inflation rate for energy prices exceeded 17%. The unbearable spike in energy prices has weighed heavily on EU citizens and companies as well, which has raised concerns over the economic growth of the sector.

EUR/USD Intraday Technical Levels

Support Resistance

1.1578 1.1618

1.1560 1.1638

1.1539 1.1657

Pivot Point: 1.1599

EUR/USD - Technical Outlook

On Wednesday, the EUR/USD currency pair is trading at 1.1585 level and it’s gaining immediate support at 1.1580 level. Such support is extended by the double bottom pattern, and a break below this level exposes the pair to the 1.1563 and 1.1537 levels. On the higher side, the breakout of the 1.1600 level exposes the EUR/USD pair towards 1.1645.

On the lower side, the bears may find support at the 1.1560 level, whereas the violation of 1.1560 exposes the pair towards 1.1538 and 1.1523 levels. The EUR/USD has already violated the upward trendline and formation of a bearish engulfing candle is supporting a selling bias in the pair.

The RSI and MACD are in support of a selling trend, therefore, the bearish bias dominates below 1.1599 level today. All the best!