USD underwent some turbulence yesterday, but it seems that the situation is now back on track. Gold is in a strong uptrend but we’re slowly seeing a bigger appetite for a bearish correction here. The first chance to do that may be created by the head and shoulders pattern, which is now being formed on the H4 chart. We are still far from the neckline and the trend line, but it’s better to have this formation at the back of your mind. You know, just in case.
Next up is the EURJPY pair, where the price broke two important supports (horizontal and dynamic). That changes the sentiment to negative and points towards 131.8 as the first target for the current downswing.
AUDUSD created another trend continuation pattern and this time it is a wedge. We’ve already broken the upper line of this formation, which has triggered a buy signal. The positive outlook on this instrument is additionally strengthened by the upwards trend line and the inverse head and shoulders pattern.