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Chart signals - more signs of bottoming and support

Chart signals - more signs of bottoming and support

More and more signs of support and recovery are appearing in the markets, led by a double bottom in EURJPY (a sign JPY is broadly peaking not just against USD) and a bear trap washout in the India 50. Gold also appears to be levelling off while crude oil keeps base building. Meanwhile, the Hong Kong 50, Japan 225, US 30 and UK 100 continue to attract support above round numbers.

Asia Pacific Index chart signals

Australia 200 is bouncing around 4,900 trading in the 4,880 to 4,920 zone. Next resistance near 5,000 a round number and Fibonacci test with support near 4,830.

Japan 225 has been knocked back from near 16,155 toward 16,055 but continues to hold above the 16,000 round number indicating accumulation remains intact. Next resistance near 16,500. RSI bumping up against 50 which it needs to clear to confirm an upturn.

Hong Kong 50 held 19,000 as support and has bounced up into the 19,280 to 19,320 zone with next potential resistance near 19,500 then 19,705 a 38% retracement of its previous downtrend.

India 50 fell to a new low on trend near 6,800 then bounced back strongly toward 7,000 and testing 7,055 in what looks like a classic bear trap bottom confirmed by a positive RSI divergence. 

North American and European Index chart signals

US 30 has found round number and 50-day moving average support near 16,500  and spent the day bouncing around between there and 16,725 dropping back in the afternoon toward 16,600. Next upside tests near 16,700 and 16,835. More support in place at the 16,450 breakout point. RSI indicates upward momentum still increasing.

US NDAQ 100 sound support at a higher low near 4,190 keeping its uptrend intact and has been rallied back up through 4,225 a Fibonacci level which is has been testing as new support following a run up toward 4,265 and the 50-day average with next resistance near last week’s high near 4,290.

US SPX 500 has stabilized around 1,940 a Fibonacci level swinging back and forth over the day between 1,930 and 1,960. RSI suggests upward momentum levelling off for now while higher lows indicate ongoing accumulation.

Germany 30 is holding steady between 9,325 Fibonacci support and 9,580, trading more recently between 9,400 and 9,500  as it continues to consolidate in a 9,125 to 9,625 sideways range, confirmed by RSI sitting on 50.

UK 100 continues to bump up against resistance in the 6,100 to 6,120 area while holding above 6,000 in the 6,030 to 6,080 area. A breakout by the index over 6,120 and the RSI over 60 would signal the start of a new uptrend with next potential resistance near 6,310.

Commodity chart signals

Gold is bouncing around between $1,228 and $1,236 as a symmetrical triangle continues to form. RSI flat just below 70 suggest overbought conditions being resolved through a pause in the $1,210 to $1,255 zone rather than a selloff so far.

Crude Oil WTI continues to base build, holding above $30.00 in the $31.50 to $32.20 area just below Fibonacci and channel resistance near $32.35. RSI flat above 50 indicates momentum sideways to slightly upward.


FX chart signals

US Dollar Index continues to climb, clearing 98.00 and trending toward 99.35 with next potential resistance near 99.00 then 99.70.  RSI above 50 and rising indicates upward momentum increasing.

EURUSD remains in a downswing having met resistance at a lower high near $1.0970 a Fibonacci level near its 50-day average. The paid has dropped back toward the $1.0870 to $1.0890 area. RSI under 50 and falling indicates downward pressure increasing with next potential support near $1.0790 on trend.

NZDUSD is retesting the bottom of its $0.6560 to $0.6730 trading range. RSI dropping back under 50 suggests momentum turning downward and a breakdown possible with next potential support near $0.6500 then $0.6460 with initial bounce resistance near $0.6600.

AUDUSD has bounced up off of trend support and its 50-day average setting a higher low near $0.7100 toward $0.7140 to keep an ascending triangle base forming with resistance at the 200-day average near $0.7260 then $0.7300.

USDCNH continues to climb up from 6.5325 Fibonacci support, driving up into the 6.5510 to 6.5550 area with next potential resistance near 6.5765 the 50-day average. RSI regaining 50 signals momentum turning upward again.

USDJPY has dropped back from 114.00 Fibonacci cluster resistance back into the 112.70 to 113.20 area, near the middle of a 111.00 to 115.00 trading range.

EURJPY is retesting 122.50 which could end in a double bottom or a breakdown although an oversold RSI suggests support should hold and a bounce possible with initial resistance near 122.90 then 123.40 and 124.60.

CADJPY ran into resistance near 84.55 and has dropped back toward the 83.20 to 83.70 area as it consolidates between 82.45 and 84.55 two Fibonacci levels.

USDSGD continues to rebound within a $1.3890 to $1.4420 trading channel. The pair continues to struggle with $1.4100 resistance but is holding $1.4000 while higher lows indicate underlying support. RSI testing 50 where a breakout would signal an upturn and a failure indicate broader downward momentum.

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