US indices high new all-time highs again on Friday which could have a positive impact on Asia Pacific markets to start the week. Technically, the Australian markets both the index and AUD have been looking particularly relative to their peers. US and UK indices continue to advance but signs of exhaustion have emerged Japan and Hong Kong. Currency markets remain choppy with gold and JPY starting Friday off soft but then rebounding into the weekend.
Asia Pacific indices
Australia 200’s upswing is accelerating with RSI back above 50 and climbing while the index retakes 5,700, breaks out of a downswing and advances on 5,740. Next potential resistance in the 58,00 to 5,825 area.
Hong Kong 50 has dropped back into the 23,570 to 23,650 area in a normal retrenchment to work off an overbought RSI after running into resistance near 23,740. Next potential support near 23,440.
Japan 225 is sending mixed signals. The index is testing 19,350 where a failure would set another lower high and continue to form a descending triangle. On the other hand, RSI holding 40 regaining 50 and breaking out of a downtrend suggests momentum turning upward. Next potential resistance on a breakout possible near 19,585. Support in place at the 50-day average near 19,135.
North American and European Indices
US 30 has reached another new all-time high, trading up toward 20,300 with next measured resistance possible near 20,34 before settling back toward 20,260 an achieved measured objective. RSI indicates upward momentum still increasing. Initial support rises toward 20,265 from the 20,140 breakout point.
US SPX 500 remains under accumulation, climbing to new all-time highs. Still trading above the 2,304 breakout point, the index has advanced on 2,315 with support rising toward 2,308. Next potential measured resistance possible near 2,322.
US NDAQ 100 has touched a new high near 5,240 but a negative RSI divergence indicates upward momentum slowing with overbought conditions suggesting the potential for a correction. Next measured resistance possible near 5,270, initial support rises toward 5,225 from 5,200.
UK 100 continues to march upward, building on its breakout over 7,200 by advancing into the 7,240 to 7,270 zone. RSI confirms upward momentum accelerating. Next potential resistance near 7,300 then 7,365.
Germany 30 continues to climb within a 11,445 to 11,865 trading range, recently swinging between 11,550 and 11,620. RSI back above 50 indicates momentum turning upward once again.
Gold is bouncing around between $1,220 and $1,250. A dip under $1,230, a Fibonacci level, didn’t last long with the price bouncing up off the channel low back up into the $1,232 to $1,237 area. RSI falling away from a double top suggests upward momentum has peaked for now.
Crude Oil WTI continues to climb up off its 50-day average near $51.90 back into the upper half of its $50.40 to $54.20 trading range, advancing into the $52.90 to $53.90 area, recently trading near $53.50. RSI confirms upswing underway within a sideways trend.
US Dollar Index is testing the top of a saucer bottom that has been forming between 99.50 and 101.00. RSI breaking out over 50 signals momentum turning upward. Support rises toward 100.60 with next potential resistance at the 50-dy average near 101.25 then 101.70.
EURUSD remains under distribution with the pair falling under $1.0640 a Fibonacci level that has become resistance. Next potential support appears on the $1.0580 to $1.0610 area between its 50-day average and a Fibonacci level. RSI falling under 50 signals momentum turning downward.
GBPUSD has dropped back under $1.2500 but found support at a higher low near $1.2440 bouncing back up toward $1.2490. The pair continues to attract support above its 50-day average near $1.4210. RSI bouncing around between 40 and 60 indicates a sideways trend.
NZDUSD is stabilizing near $0.7200 between $0.7190 and $0.7240. RSI holding 50 suggests the recent tumble correction may be ending and the underlying uptrend intact. More support in place at the 50 and 200-day averages closer to $0.7120 with initial rebound resistance possible near $0.7270 then $0.7310.
AUDUSD remains in an uptrend, consolidating recent gains in the $0.7600 to $0.7700 range recently bouncing up toward $0.7670. Next upside resistance possible near $0.7725 then $0.7775.
USDSGD is climbing within an emerging $1.4150 to $1.4300 trading range below its 50-day average, recently trading in the $1.4190 to $1.4230 area. RSI testing 50 where a breakout would signal an upturn but a failure to do so would confirm the downtrend that has been in place since the start of the year.
USDJPY took a run at 114.05 Fibonacci resistance which held, potentially forming the top of a new lower trading channel. The pair has dropped back toward 113.25 with next potential support near 112.90 then 112.35 and 111.50. RSI between 40 and 50 suggests a pause within an ongoing downtrend.
GBPJPY ran into resistance near 142.25 a Fibonacci level plus 50 on the RSI indicting the pair has failed to break out of a downtrend for now. The pair has dropped back toward 141.30 with next support in a pullback possible near 141.00 ten 140.00 where a round number and the 200-day average converge. Next resistance possible at the 50-day average near 143.00.
EURJPY has turned downward after a bull trap peek above 121.00 failed at 121.40 with the pair falling back toward 120.40. Next support appears possible near 120.00. RSI under 50 and falling indicates downward pressure increasing.
USDCAD remains under distribution with RSI holding below 50 and the pair holding below its 200-day moving average near $1.3135. The pair has retreated into the $1.3070 to $1.3090 area with next potential support between $1.2975 and $1.3000.