The U.S. Dollar just finished its strongest quarter in more than nine years, but a continuation of that theme may not be a great thing for U.S. equities, or the EUR/USD pair.
EUR/USD has so far held a higher-low this week, but sellers don’t appear finished yet as USD strength has continued ahead of tomorrow’s Non-farm Payrolls report.
The U.S. Dollar just finished its strongest quarter in nine years, and stock prices remain elevated, as well. This sets the stage for a volatile 2025 as explained in this webinar.
After a blistering bullish trend held for the bulk of last year in gold, prices have been consolidating for more than the past two months, which can be construed as a bull pennant.
Gold gained 27.23% in 2024, the strongest yearly gain since 2010. But the prior episode led to a significant top in 2011 as gold prices then went nine years without a fresh ATH.
EUR/USD is opening 2025 with a fresh two-year-low as sellers extend the bearish trend that started earlier this week. Parity is an obvious point of interest but there’s a big spot of possible support along the way at the 1.0200 handle.
It was a brutal Q4 for EUR/USD as the pair had its most bearish quarterly outlay since Q3 of 2022. But – that prior instance marked a key low and the final month of Q4 showed a higher-low in the pair.
It was a banner year for gold prices which are currently showing a 26% gain for 2024 – but it was the 40% rally from February into October that dominated the narrative for gold prices this year.
Gold consolidation continues. The metal rallied all the way up to the 2721 resistance and even set a fresh monthly high. But that’s when the rally stopped, and bears jumped back in.
It’s been a strong Q4 for the US Dollar and the currency continues to test a big spot of longer-term resistance. But will the Fed usher in another massive USD rally in 2025?
Gold bulls have pressed the trend over the past week and a big spot sits overhead, plotted $100 above last week’s range support.
The US Dollar showed a strong support bounce since last Friday’s NFP report, setting the stage for resistance tests into tomorrow’s CPI and next week’s FOMC.
