EUR/USD and gold upside ahead, FTSE higher before lower, oil a difficult trade, says Brenda Kelly, Head Analyst at London Capital Group, as she offers the technical outlook for GBP/JPY, EUR/USD, oil – WTI, FTSE and gold price, joined by Zak Mir, Technical Analyst at Zak's Traders Café.
Key Points:
"Upside will prevail, 1.15 barrier is going to break in EUR/USD, and 1.17 is a fare value for the pair."
"Oil – difficult, avoid holding on to positions overnight. WTI – likely to remove below the $40 mark. Ultimately dollar will drive this market as well. Range-trade ahead."
"GBP/JPY – Very major downtrend. Bearish the pound and bullish on yen, a bit squeeze ahead before looking to short again. 150 a near-term target. Look at GBP/JPY to position for Brexit"
"FTSE – Heavily weighted towards commodities. Initial buyer on dips, but index likely to go lower again."
"Gold – Cheaper to hold gold than hold CHF at this time. The metal remains a buy on dips. Fed not raising rates ahead will push gold higher."