DBG Markets: Market Report for May 23, 2025

Market Analysis

GOLD GOLD prices find increased chances for a continuation of consolidation after a rapid rise. Prices lowered after being a shy away from $3,350/oz. The MACD is showing growth for bearish movement, but the volume is weak, as proven by the exaggerated strength in the MACD despite the smaller movement in the actual price. The RSI is also finding oversold levels from the previous low, hitting the lower boundary. Although, the current price level is suggesting potential for prices to normalize the selling momentum, unless we see a bounce off the EMA200, which can continue bullish movement. Thus, all we can do now is wait for a clear break of prices to see a continuation high or low. It is important to note that overall price action is staying on the buying structures, allowing us to assume prices will continue bullish in the coming days. Thus, we will look for more buying opportunities. This is also added on by fundamentals finding increased bullish movement. The House recently passed a tax bill on May 22, 2025, with estimates suggesting a net cost to the deficit of around $2.3 trillion to $3.1 trillion over the next decade. Some estimates show the total cost of extensions and enhancements to the TCJA provisions at nearly $7 trillion, with new tax cuts balanced by new revenue-raising provisions. The bill is now in the Senate, where significant changes are likely. What's more, there are renewed concerns over a war in the Middle East where Israel is prepared for potential strikes on Iranian nuclear facilities should diplomatic efforts fail. Iran has also issued warnings regarding any such attacks. These factors contribute to the increased expectation of a bullish GOLD. Some analysts are even calling GOLD will be having the best week for a rise in more than a month. Thus, this helps us assume that if technicals align with a buy, we can expect a big move bullish.

SILVER SILVER prices are being supported by the boundaries and the EMA200. This is a good sign that there will be more buying in the coming days. The MACD is working for a buying movement. The RSI is also seeing potential for a bullish continuation as the low called oversold levels.

DXY The Dollar is currently finding increased selling momentum. The EMA200 is nearing price levels, allowing us to assume that there might be a potential for prices to reach the EMA200 before continuation bearish. Although, the current price movement does suggest selling continuation as the MACD finds strong bearish volume. However, the RSI is on the oversold levels.

GBPUSD The Pound is currently reaching higher, and the MACD is showing us a healthy volume rise. The RSI, however, is nearing the overbought levels. There is a chance for prices to continue bullish while allowing us to assume potential for it to lower a bit before a continuation bullish to normalize the momentum.

AUDUSD The Aussie dollar is still consolidated. We wait for more trading and a clear break before calling anything. For now, we continue to trade the range.

NZDUSD The Kiwi is also still consolidated. We wait for a clearer break before anything.

EURUSD The Euro is stuck in the consolidation boundaries as we expected. It tested the EMA200 before bouncing back up. We expect to find more bullish movement as weakness in the dollar is being seen right now, but we will not extrapolate expectations and instead, wait for a clearer break. If prices do manage to break the high of the boundary, we can definitely call for a strong bullish movement. However, even without this break, it is important to note that the current movement of price follows through overall price action structure bullish. Thus, we will continue to look for more bullish opportunities than selling.

USDJPY The Yen continues to gain over the dollar but is stuck in the consolidation between 143.442 and 144.451. Although, the MACD is seeing increased volume bearish, the RSI is stationing itself for oversold levels, allowing us to wait for a potential slowdown of price or a rise before a continuation down. There is a larger chance for prices to just run it down if it crashes under the structure.

USDCHF The Franc went close to the EMA200 but failed to reach it, which allows us to assume that there is a larger amount of sellers. This is also proven by the MACD. Although, the RSI is suggesting a turnaround to normalize the selling, we will continue to look for more selling opportunities as overall price action has already shifted bearish.

USDCAD The CAD is seeing increased selling momentum continuation. We will continue to call a strong bearish moveoent and expect to find more selling in the coming days. The MACD is calling for a very strong bearish volume, while the RSI does suggest a potential small rise for normalization of momentum to sell. We look for more selling opportunities.