Seasonal Pattern In Play
Jonathan Kibbler | Mar 13, 2019 16:12
Through March and April, we see significant seasonal patterns play out, especially through April where we see a large majority of currencies outperform the US dollar. The Australian dollar, Great British pound, euro and Canadian dollar all see rises of 1%+ as the US dollar seasonally falls through April.
However, the biggest mover in March is gold, with an average fall of 1.58%. Looking at the gold daily chart we can see that price has formed a lower low, offering structure resistance at $1306.00. Applying the Fibonacci retracement tool from the swing low to the swing high we can see the resistance holds 61.8% confluence. If price forms bearish price action here, we could look for short opportunities in line with the seasonal and technical pattern to the key $1250.00 demand zone.
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