Yuan is still the most overvalued currency. The currency ended 2016 with the biggest annual loss since 1994. China has a huge current account surplus. Japanese Yen is the most undervalued currency in the pack despite record current account surplus

Inverse relationship between FTSE 100 and GBP/USD: Cable currently trades around 1.24 and could test 1.22 levels, which means a 1.62% drop. Assuming other things remain unchanged, the FTSE 100 could add 1.62% from the current level of 7300.

EUR/CAD daily chart shows a bearish continuation pattern. The stage is set for a drop to 1.3650-1.3550 and possibly to 1.34 (May 2015 low). Bearish invalidation is seen only if the cross sees at least two consecutive daily close above 1.40 levels.

Gold’s failure around $1245 levels last week followed by a drop to sliding trend line support suggests a short-term top is in place there and could yield a pull back to $1220, under which a major support is seen around $1206.

Divergence between the S&P 500 index and the Treasury yields and Breakeven inflation rate suggests the Trump Trade is running out of steam. Thus, a pullback in the S&P 500 could be seen.

Two consecutive daily close above the descending trend line indicates the bulls remain in control and prices could extend the rally to $1250 levels. However, caution is advised as the RSI is almost overbought.

Gold’s rebound from the 10-DMA on Friday followed by a sharp rise above $1220 today has established a rising bottom and rising top formation. Weak treasury yields support the bullish move in gold.

Fed is more interested in seeing a pickup in wage inflation. So the focus is on wage growth numbers.Pound is on the back foot and could take a beating due to strong US wage growth figures.

Gold has breached resistance at $1220… for now, but what we need is a daily close above $1220. FTSE 100 daily chart shows a bullish reversal candle stick pattern

A break above the recent high of $1220 in Gold would establish higher highs pattern and thus add credence to the rebound from $1180. FTSE 100 looks bullish on the daily chart, although monthly chart warrants caution.

Gold long-term view remains bearish as long as prices remain below the trend line hurdle currently seen around $1270 levels. Monday’s bearish daily close below 7130 adds credence to the view that the index has topped out at 7354.

Daily technical outlook for Gold and UK's FTSE 100 index. Gold looks set to test 50-DMA, while FTSE 100 bulls need to defend support at 7130 levels.

The Fed may reiterate that the downside risks to their forecasts includes a possible trade war under Trump, as well as the possibility that his policies may not live up to expectations.

Gold is suddenly looking toppy - The technical failure is not the only reason. What could be bothering gold bugs is the fact that ‘Trump is delivering what he promised’. Trump is delivering… and is delivering on tough/hard promises.

Lithium prices have jumped by 60% in 2016. This is enough to scare investors away from Lithium/Lithium producers. However, fundamentals and technicals of the Lithium market appear to have aligned perfectly for another great year.

The S&P 500 index is on a tear! This is the most hated bull market in history. Pundits have often voiced concerns that the rally lacks fundamental basis. Charts repeatedly point to overbought conditions. The question is how high can the S&P 500 fly?