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Chart Signals: JPY, NZD and Japan 225 remain in focus

Chart Signals: JPY, NZD and Japan 225 remain in focus

The shock waves from yesterday’s Bank of Japan meeting continue to impact forex and index trading with JPY having soared on the news sending Japan 225 and JPY pairs sharply lower. NZD continues to respond favourably to yesterday’s RBNZ news pulling AUD along for the ride.  Hong Kong 50 continues to pick up while India 50 is rolling over.

Asia Pacific Indices

Australia 200 has levelled off near 5,250 after popping up from 5,200 as it continues to consolidate between 5,160 and 5,290.

Japan 225 went off a cliff overnight, diving down from near 17,500 toward 16,255 a Fibonacci test before stabilizing near 16,350. RSI diving under 50 confirms the downturn in momentum. Next support possible in the 16,000 to 16,055 area with initial bounce resistance at the 50-day average near 16,670.

Hong Kong 50 has resumed its uptrend, advancing from 21,290 toward 21,490 with next potential resistance after that near the 22,000 round number. RSI indicates upward momentum increasing again.

India 50 continues to struggle with 8,000 resistance falling back under that round number after peeking up toward 8,025 briefly, then dropping back toward 7,850 with next support near 7,820 then 7,750. RSI rolling over indicates upward momentum weakening.

North American and European Indices

US 30 continues to encounter resistance near 18,000 slipping back from near 18,040 toward 17,940 but trading above its morning low near 17,900 as it digests recent gains in a 17,850 to 18,170 trading range. RSI falling back toward 50 indicates upward momentum fading.

US NDAQ 100 has stabilized in the 4,400 to 4,440 area finding support near its 50 and 200-day moving averages. RSI still below 50 suggests downward pressure not easing yet so a retest of 4,345 remains possible. Initial rebound resistance near 4,500.

US SPX 500 has drifted back from near 2,100 resistance back toward 2,090 with more support in place near 2,080 then 2,060. RSI holding 50 indicates underlying uptrend intake but we could be entering a sideways consolidation phase.

UK 100 is bouncing around between 6,300 and 6,320 holding above its 50 and 200-day moving averages which are approaching a golden cross. Initial upside resistance near 6,355 then 6,440.

Germany 30 bouncing around falling back in a trading correction falling from 10,280 toward 10,160 then bouncing back up through 10,250 and on toward the 10,290 to 10,320 area. RSI suggests momentum downshifting into neutral but it remains in an uptrend above its recent 10,120 breakout point with resistance in place near 10,470.

Commodities

Gold  has started to advance again, rallying up from its 50-day average near $1,240 toward $1,255 then on toward $1,265. Further gains from here could cause a head and shoulders top to fail. Next resistance possible near $1,285 a Fibonacci test and February high. RSI lifting up off 50 suggests upward momentum increasing again.

Crude Oil WTI continues to climb, blasting up off $43.50 a Fibonacci breakout point which has become new support and driving on to test $45.00 with next measured resistance after that near $46.40 based on a prior channel. RSI getting overbought again suggests potential for a pause or correction in the near term.

FX

US Dollar Index is testing 93.60 channel support having rolled back under 94.00 from near 94.40. RSI falling away from 50 indicates broader downtrend resuming. Next potential measured support on a breakdown near 92.80 on trend.

EURUSD is holding steady in the $1.1310 to $1.1350 range below $1.1400 resistance and above $1.1255 Fibonacci support. RSI bouncing around 50 confirms sideways momentum.

NZDUSD remains in a rising channel of higher highs and higher lows having spiked up off $0.6870 support toward $0.6980 and challenging the $0.7000 round number with next resistance near $0.7050. RSI holding 50 confirms underlying uptrend remains intact.

AUDUSD has started to bounce back from yesterday’s selloff with support moving up toward $0.7454 above the $0.7500 round number and the 50-day average and the pair has rebounded toward $0.7640 with next resistance near $0.7700. RSI holding 50 indicates underlying uptrend remains intact.

USDCNH has dropped back toward 6.4900 as it continues to bounce around in a sideways channel between 6.4525 and 6.5285 with initial support near 6.4850.

USDSGD has rolled back under $1.3500 into the $1.3440 to $1.3480 range as its downtrend resumes. RSI faltered at 50 and is falling again confirming continued downward pressure. Next support possible near $1.3360.

USDJPY is retesting 108.00 support after being slammed down from near 112.00 through 111.00 a Fibonacci level, and the 110.00 round number. RSI back under 50 confirms sharp increase in downward pressure. Next potential support on a breakdown from here appears near 107.60 then a measured 106.00.

EURJPY has been slammed back down from the 126.20 through 125.00 and on into the 122.60 to 123.20 area with next potential support near 121.55 the low set earlier this month then the 120.00 round number. RSI diving under 50 confirms a downturn underway.

CADJPY plunged from its 50-day average near 88.65 back toward 86.20 a Fibonacci level where it has been stabilizing with more support possible near 85.00 and tis 50-day average. RSI holding 50 for now but downturn confirmation pending. Resistance drops toward 86.60.


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