Ichimoku Cloud Analysis 08.05.2020 (XAUUSD, EURUSD, GBPUSD)

XAUUSD, “Gold vs US Dollar”

XAUUSD is trading at 1716.00; the instrument is moving above Ichimoku Cloud, thus indicating an ascending tendency. The markets could indicate that the price may test the cloud’s upside border at 1700.00 and then resume moving upwards to reach 1765.00. Another signal in favor of further uptrend will be a rebound from the support level. However, the bullish scenario may no longer be valid if the price breaks the cloud’s downside border and fixes below 1685.00. In this case, the pair may continue falling towards 1665.00. To confirm further growth, the asset must break the resistance level and fix above 1725.00, thus completing the Triangle pattern.

EURUSD, “Euro vs US Dollar”

EURUSD is trading at 1.0840; the instrument is moving below Ichimoku Cloud, thus indicating a descending tendency. The markets could indicate that the price may test the cloud’s downside border at 1.0865 and then resume moving downwards to reach 1.0685. Another signal in favor of further downtrend will be a rebound from the resistance level. However, the bearish scenario may be canceled if the price breaks the cloud’s upside border and fixes above 1.0955. In this case, the pair may continue growing towards 1.1045. To confirm further decline, the asset must break the ascending channel’s downside border and fix below 1.0725.

GBPUSD, “Great Britain Pound vs US Dollar”

GBPUSD is trading at 1.2389; the instrument is moving below Ichimoku Cloud, thus indicating a descending tendency. The markets could indicate that the price may test the cloud’s downside border at 1.2440 and then resume moving downwards to reach 1.2155. Another signal in favor of further downtrend will be a rebound from the resistance level. However, the bearish scenario may no longer be valid if the price breaks the cloud’s upside border and fixes above 1.2525. In this case, the pair may continue growing towards 1.2615. To confirm further decline, the asset must break the downside border of the Triangle pattern and fix below 1.2275.