Recently, EUR/NZD has been moving sideways at the price of 1.5070. Using the market profile in the 15M time frame, I found today’s point of control at the price of 1.5085. The price is trading below 21SMA, which is a sign of weakness. I also found a support cluster at the price of 1.5050 and would like to see a breakout to confirm the downward direction. Watch for selling opportunities. The downward target is set at the price of 1.5015 (Fibonacci expansion 161.8%).
Since our previous analysis, gold has been trading downwards. The price tested the level of $1,202.76 in a high volume. Using the market profile on 15M time frame, I found today’s point of control at the price of $1,208.20. I found signs of a trend dynamic from bearish to bullish. Price is trading above 21SMA, which indicates strength. Besides, a down bar closed in the middle of the background is another sign of strength. Watch for potential intraday buying oppportunities.
Global macro overview for 18/11/2016:
ECB President Mario Draghi was a keynote speaker at the 26th European Banking Congress in Frankfurt. During the speech, he assured that ECB will continue to act as warranted by using all instruments available within the mandate. He mentioned, that eurozone recovery still relies to a considerable degree on monetary policy and it has been more broad-based with less difference in economic performance across countries. Moreover, he added that inflation convergence towards 2% needs to be durable, even with a reduction in monetary accommodation. In conclusion, Mario Draghi delivered a typical speech, especially remarks about inflation expectations. Otherwise, some hawkish statements have been made many times previously regarding the eurozone recovery and ECB quantitative easing program.