For those who remain bullish,failure to close below the tentative trendline may keep the trend going. Resistance levels at $70.03 previous top, at $75.58 formed derived from April 25 2019, and finally at the $76.07 Fibonacci 1.1618 Extension level target.
For those who are bearish, a close below the trendline any signal a reversal of the bullish trend. Important support levels at $66.30 on the 0.618 Fibonacci retracement level, at $65.15 Fibonacci 0.50 retracement level which is also an inside support, and finally at the last bottom of March 24th 2021 at price $60.26.
• There is a lot of movement in the US market in terms of announcements today. The news announcements include CAD Consumer Price Index and its variations, US Crude Oil Inventories and FOMC meeting minutes.
• U.S. homebuilding fell more than expected in April, likely pulled down by soaring prices for lumber and other materials, but construction remains supported by an acute shortage of previously owned homes on the market. The plunge in homebuilding reported by the Commerce Department on Tuesday was concentrated in the single-family housing market segment. The number of houses authorized for construction but not yet started increased to the highest level since 1999, suggesting hesitancy on the part of builders.
• U.S. indices were trading lower Tuesday after U.S. Treasury Secretary Janet Yellen called for business leaders across the country to pay higher taxes to compensate for President Biden's proposed infrastructure plan.
• Gold rose to the highest in more than three months as concerns over the pace of a global recovery crept back in following a flareup in coronavirus cases in parts of Asia. Spot gold rose as much as 0.2% to $1,870.73 an ounce, the highest since Feb. 1, and was at $1,868.10 by 9:11 a.m. in Singapore. Silver, palladium and platinum all gained.
• Oil prices fell for a second day on Wednesday on renewed demand concerns as coronavirus cases in Asia rise and on fears rising inflation might lead the U.S. Federal Reserve to raise interest rates, which could limit economic growth.
• Gold futures edged higher on Tuesday, extending their rise to the highest settlement since early January. The higher price finish led to a fourth-straight session gain. The metal's outlook "still screams bullishness given the monetary policy stances across the world's two largest economies.
• At 12:30 (GMT) CAD Consumer Price Index (CPI) is due to be announced. This measures the overall change in the price of goods and services purchased by consumers and is an indicator of inflation.
• At 12:30 (GMT) CAD Core Consumer Price Index (CPI) results will come out. This indicator measures the change in the price of goods and services purchased by consumers, excluding the 8 most volatile items.
• At 14:30 (GMT) Crude Oil Inventories result coming up. The figure is released weekly, 4 days after the week ends and it's the primary gauge of supply and demand imbalances in the market, which can lead to changes in production levels and price volatility.
• AT 18:00 (GMT) FOMC Meeting Minutes will be publicised. It's a detailed record of the FOMC's most recent meeting, providing in-depth insights into the economic and financial conditions that influenced their vote on where to set interest rates.
US Indices yesterday:
• Dow Jones -0.78%
• S&P 500 -0.85%
• Nasdaq -0.56%
Sources: Investing.com, forexfactory.com, Benzinga.com.