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Chart Signals: Brent golden cross confirms oil uptrend

Chart Signals: Brent golden cross confirms oil uptrend

A golden cross for Brent Crude oil confirms the recent golden cross in WTI Crude oil, confirming the strength of the current recovery trend in energy markets. Action in indices and commodities has been mixed with both bulls and bears dominating at different parts of the day but neither able to take decisive control. 

 

Asia Pacific Indices

 

Australia 200 has been trading sideways between 5,335 a Fibonacci level and 5,385 while it consolidates at a higher level and works off an overbought RSI. Resistance in place at the recent peak near 5,430.

Japan 225 successfully retested support near 16,500 and has been climbing up out of a short-term double bottom toward 16,700 with next resistance near 16,815 a Fibonacci test then the 17,000 round number.

Hong Kong 50 is breaking down again, taking out the 20,000 round number and falling toward 19,820. Next potential downside support appears near 19,695 a Fibonacci level. RSI near oversold suggests potential for a pause sometime.

India 50 successfully retested 7,750 to keep its uptrend intact and has started to advance again with the index gaining on 7,920 and support rising toward 7,840. Next resistance possible in the 8,000 to 8,080 area between a round number and a Fibonacci test.

 

North American and European Indices

 

US 30 spent the day bouncing around between 17,640 and 17,800 clawing back early losses in an afternoon rally. It needs to clear 17,845 to call off a head and shoulders top that has been forming with next resistance near 18,000 then 18,150. Should it falter, next support appears near 17,625.

US NDAQ 100 fell back from 4,390 toward 4,310 then bounce back toward 4,360 as it remains essentially stuck between 4,345 Fibonacci support and moving average resistance near 4,400 with a test of 4,500 a Fibonacci level and round number possible on a breakout. RSI indicates an upturn pending.

US SPX 500 bounced around between 2,050 and 2,080 with bulls and bears each taking a turn to dominate but in the end getting nowhere. The index needs to retake 2,088 to call off a head and shoulders top. Next resistance near 2,100 with more support near 2,040.

UK 100 is still having trouble breaking out over 6,200 near its 50 and 200-day averages, which it needs to clear soon to confirm a potential golden cross of the averages recently trading in the 6,100 to 6,140 area. Next resistance near 6,300 if successful. Downside support near 6,100 then 6,000.

Germany 30 faltered at another lower high near 10,080 and slipped back under 10,000 again falling back into the 9,840 to 9,940 range. RSI sinking back under 50 indicates momentum turning downward.

 

Commodities

 

Gold has stabilized between $1,266 and $1,280 below $1,285 Fibonacci resistance and above its 50-day average near $1,250.

Crude Oil WTI is breaking out of a consolidation range today, clearing $45.70 to signal the start of a new upleg on trend and advancing on $46.50 with next potential resistance near $48.10 a Fibonacci level.

Crude Oil Brent is completing a golden cross today of the 50-day average over the 200-day. Currently testing the top of a $44.00 to $48.00 range which could end in a double top of a breakout with next resistance near the $50.00 round number then a measured $52.00.

 

FX

 

US Dollar Index is sitting on 94.00 again as it tries to base build but the index needs to clear 94.30 and 50 on the RSI to call off its current downtrend with next resistance near 95.00 and next support near 93.25.

EURUSD is still hanging around $1.1400 trading between $1.1370 and $1.1420. It remains in an uptrend trading above a higher low near $1.1365 with next resistance possible in the $1.1490 to $1.1510 zone.

NZDUSD’s bounce ha paused near $0.6820 and its 50-day average, short of $0.6870 resistance it needs to retake along with 50 on the RSI to call off a recent downtrend. Next support near $0.6775 or $0.6700 should it falter.

AUDUSD’s recent slide appears to have been contained by its 200-day average just below $0.7300. the pair has been swinging between $0.7310 and $0.7270 with next resistance near $0.7400 as it digests recent losses.

USDCNH continues to advance having successfully tested 6.5285 a Fibonacci level as higher support and advancing on 6.5480 with next potential resistance near 6.5600 then 6.5780 on trend. Rising RSI indicates growing upward momentum.

USDSGD keeps pushing higher, moving up toward $1.3730 from $1.3670 with next potential resistance near $1.3800 then $1.3885. RSI above 50 and rising confirms upward momentum increasing.

USDJPY is consolidating its recent bounce off 105.50 in the 108.60 to 109.40 range. RSI testing 50 which could signal an upturn or confirm downward pressure. Next resistance near 110.00 then 110.55 a Fibonacci test it needs to pass to call off a 6 month downtrend.

EURJPY is bumping up against its 50-day average near 124.70 with round number resistance possible near 125.00 as it trades between 123.80 and 124.60. Next support in a pullback near 123.25.

CADJPY ran into resistance at its 50-day average near the 85.00 round number with its next upside test near 86.20 a Fibonacci level. RSI testing 50 where a breakout would signal an upturn in momentum.


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