📊 Technical Analysis — May 20, 2026
Overall Summary
The market structure is becoming more complicated.
However, the main trend remains:
“Dollar dominance.”
That said, compared with the previous phase of:
“absolute broad-based dollar strength,”
the structure is beginning to shift slightly.
In the short term, the market now looks more like:
- Continued dollar strength
- Short-term rebounds in gold and silver
- Temporary pullbacks in U.S. equities
- European equities remaining relatively resilient
The Core of the Current Market
The current environment can best be described as:
“continued dollar strength combined with short-term risk adjustments.”
EUR/USD
Still weak.
Hourly and daily charts continue to show strong sell signals.
Trading in the 1.15 range.
Very heavy overall structure.
GBP/USD
Also weak.
Short- to medium-term structure remains fully bearish.
In other words:
selling pressure on European currencies continues.
USD/JPY
Extremely strong.
Holding in the 159 range.
Strong buy signals across all timeframes.
This confirms:
USD/JPY continues to lead the broader dollar rally.
USD/CHF
Also broadly bullish.
This means:
the dollar remains stronger even against traditional safe-haven currencies.
AUD/USD
More complicated.
Short-term buying pressure is emerging.
However, the daily chart remains weak.
This suggests:
a temporary rebound phase within a broader downtrend.
NZD/USD
Very similar structure.
Short-term rebound,
but medium- to long-term weakness remains intact.
Cross-Yen Pairs
Direction is becoming increasingly mixed.
EUR/JPY
Short-term signals are bullish.
However, hourly charts remain bearish.
This suggests:
sell-on-rally conditions still dominate overall.
GBP/JPY
Lacks clear direction.
AUD/JPY
Very strong in the short term.
Suggesting:
a temporary risk-on tone.
NZD/JPY
Also stabilizing in the short term.
CHF/JPY
Quite weak in the short term.
This suggests:
the Swiss franc is currently being sold more aggressively than the yen.
A notable shift from the previous strong risk-off environment.
Gold
Very important.
Short-term rebound underway.
However,
hourly and daily structures remain bearish.
This suggests:
a technical rebound rather than a new bullish trend.
Silver
Also strong in the short term.
However, the daily chart remains weak.
Silver continues to show extremely high volatility.
Crude Oil
This area is important.
Short- to medium-term structure has weakened considerably.
However, the daily chart remains bullish.
This suggests:
a correction within a larger uptrend.
Natural Gas
Direction remains unstable.
BTC
Short-term rebound.
However, the daily structure remains weak.
This suggests:
the market is still not in a true risk-on environment.
U.S. Equities
Very important.
Short-term weakness is spreading across:
- Dow Jones
- S&P 500
- NASDAQ
All show short-term sell signals.
However, daily charts remain bullish.
This suggests:
a correction within a strong broader uptrend.
European Equities
Relatively resilient overall.
DAX
Still very strong.
FTSE 100
Holding firm.
CAC 40
Slightly weaker.
Nikkei 225
A difficult structure.
Short-term charts remain relatively strong,
while hourly charts have turned bearish.
This suggests:
heavy upside resistance.
Current Market Structure
The current market setup can be summarized as:
- Continued dollar strength
- Short-term correction in risk assets
- Rebounds in gold and silver
- Pullback in U.S. equities
- European equities remaining resilient
Strongest Assets
Strong in the Short Term
- USD/JPY
- USD/CHF
- AUD/JPY
- Gold (short-term)
- Silver (short-term)
Strong in the Medium to Long Term
- U.S. dollar
- DAX
- U.S. equities (daily timeframe)
Weakest Assets
Still weak overall:
- EUR/USD
- GBP/USD
- EUR/JPY
- BTC (daily timeframe)
- Crude oil (short-term)
Most Important Point Right Now
One particularly important development is:
“Gold is rebounding despite continued dollar strength.”
Normally, these move inversely.
This suggests that the market is beginning to simultaneously price in:
“renewed inflation concerns.”
Final Thoughts
The market is no longer simply:
“a pure dollar rally.”
It is gradually transitioning toward:
“dollar strength combined with renewed inflation fears.”
From here,
the next major directional move is likely to depend heavily on:
- Gold
- Crude oil
- U.S. yields
- NASDAQ
These four markets will likely determine the next major trend.
