DBG Markets: Market Report for Mar 13, 2025

MARKET ANALYSIS

GOLD GOLD prices are currently seeing increased bullish movement as we anticipated after prices went for a bounce off the EMA200 yesterday. The prices have finally broken out of the consolidation zone and is nearing historic highs. The question now is, will this move have enough momentum and strength to break the previous record？

SILVER SILVER prices are finding increased bullish movement. The MACD is about to cross under while the RSI is moving sideways despite the high price movement bullish, reflecting growing momentum bullish. Silver prices are expected to rise more as we see GOLD being evaluated highly. This matches our overall expectations for price. We look for more buying opportunities to enter.

DXY The dollar is currently seeing a consolidation, overextending the weakness being seen in GOLD prices. The actual market data is failing to reflect in the markets yet as others process how the news will affect the Dollar. There is expectations that the inflationary policies of Trump will delay the rate cuts further, pushing it behind.

GBPUSD The Pound hit high but is steady currently. There is no apparent movement in price and the market is, overall, still consolidated. We anticipate growth in the coming days but wait to see how it will progress. The MACD is also steadily going upward while the RSI is dropping fast despite the small movement in price, reflecting the increase in bullish momentum.

AUDUSD The Aussie dollar is finding a larger increase in price due to uncertainty behind the dollar. However, the larger the uncertainty is, the weaker the Aussie will be due to it being sensitive to risk. The MACD is seeing increased buying while the RSI is reaching for oversold levels. We anticipate further buying to continue in the coming days. The market is largely expected to buy further.

NZDUSD The Kiwi is seeing the continuation of the consolidation. Similar to the Aussie dollar, the markets did grow and found an increase in price. The RSI is dropping rapidly despite the small movement in price, showing increasing momentum for buying, with the MACD steady in its rise. This shows that this move may have enough strength to rise further in the coming days.

EURUSD The Euro has steadied itself, waiting for more clues on what the US next step is. We anticipate further growth as the RSI and the MACD show increased selling despite the market moving very slightly to bearish structures. The price is being squeezed and we see the chance for a sudden burst in price movement soon. We wait for more price prints to be more sure of how the market will progress.

USDJPY The Yen is seeing weakness, following through our expectations from yesterday. It tested the EMA200 but was also quick to retract from the high of price. We can see the MACD growing in volume and the RSI normalizing the sell, not reaching the oversold area despite the continuation of the fall. Meaning, there is enough volume and momentum coming in for the bearish movement of price. The yen remains underpinned by expectations that the Bank of Japan will continue raising interest rates this year, as wage growth and inflation remain elevated.

Earlier this week, Japanese firms agreed to significant wage hikes for the third consecutive year to help workers cope with inflation and address labor shortages.

Higher wages are expected to boost consumer spending, fuel inflation, and provide the BOJ with further room for rate hikes.

USDCHF The Franc is seeing increased selling momentum as it fails to reach the EMA200. Although, there is still a chance for prices to reach said structure before dropping further. The MACD is selling more and the RSI is increasing rapidly, showing the weakness of the buying movement. However, we can also tell that the RSI is kind of consolidated due to it calling oversold despite the prices moving very slightly. Thus, we can only wait to see how it will move, but we look for more selling opportunities as overall price action is still selling.

USDCAD There will be no changes in our reading for the CAD. However, if Trump will continue to pressure them with Tariffs, further weakness is expected in the coming days. We will monitor closely how Trump will announce this in the coming days, and how Canada will react. The Bank of Canada on Wednesday trimmed its key policy rate by 25 basis points and raised concerns about inflationary pressures and weaker growth stemming from trade uncertainty and Trump's tariffs.

“Tariffs pose inflation pressures to the world economy, which would be a nightmare for central banks... central bankers are just being more cautious and keeping an open mind to what's to come,” said Carol Kong, a currency strategist at Commonwealth Bank of Australia.

“Even though central banks can cut interest rates to offset the negative impact on growth, inflation concerns might ultimately limit what they can do on the monetary policy front.”