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Chart Signals: NZD and indices turn sharply downward, EUR and gold rally

Chart Signals: NZD and indices turn sharply downward, EUR and gold rally

Indices have taken a sharp turn south with a number of recent support levels failing, particularly 16,000 on the Dow to suggest another downdraft starting, confirming a bumpy bottoming process. Gold is breaking out again as USD weakens, while EUR is breaking out against JPY.


Asia Pacific Indices

Australia 200 continues to struggle with resistance near the 5,000 round number and 50 on the RSI indicating that the bears have not been completely routed yet. The index took out 4,950 and has fallen toward 4,930 with next potential support near 4,900.

Japan 225 has dropped back to test the 17,000 round number with more support possible near 16,900 after running into resistance near 17,.400. RSI suggests momentum levelling off after a recent trading bounce.

Hong Kong 50 is bouncing around 19,000 trading between 18,980 and 19,120 within a wider 18,.610 to 19,490 trading channel. RSI rolling over suggests downward pressure increasing again.

India 50 remains in a downtrend falling back toward 7,400 from another lower high near 7,435 with next support possible near 7,215 its recent low.


North American and European Indices

US 30 has been knocked back toward 15,900 with next potential support near 15,820 and 15,735 after the 16,000-16,030 zone near round number and Fibonacci levels failed to hold as support after the Fed meeting.

US NDAQ 100 plunged down toward 4,110 after taking out the bottom of a 4,170 to 4,230 range where it had been consolidating. RSI indicates downward pressure increasing again. Next potential support near 4,080 a Fibonacci level.

US SPX 500 has turned decisively downward falling toward 1,875 after taking out the bottom of an 1,890 to 1,920 trading range. Next potential support appears near 1,855.

Germany 30 fell back toward 9,750 after taking out the bottom of the 9,780 to 9,920 range it had traded in through much of the day. Next support appears possible near 9,575.

UK 100 started the day with a big rally up off of 5,855 support to challenge the 6,000 round number, topping out near 6,030 before slumping back toward 5,910, nearly completing a round trip. RSI testing 50 where a breakout would confirm an upturn in momentum.


Gold is breaking out again, driving up through $1,222 after a correction confirmed higher support near $1,115. Next potential resistance appears near $1,125 and $1.145 measured tests surrounding the 200-day average near $1,135. RSI indicates upward momentum still accelerating.

Crude Oil WTI remains under accumulation, refusing to stay below $30.00 despite big US inventory increases and climbing up into the $30.50 to $31.50 range with next resistance possible near $31.90 then $32.30 a Fibonacci level. RSI testing 50 which could end in a breakout signal or confirmation of an ongoing downtrend.


US Dollar Index has dropped back from 99.60 toward 99.00 still stuck below 100.00 resistance with nest potential support near 98.30 then 97.80.

EURUSD is holding steady in its 1.0800 to $1.1000 trading channel rallying up toward $1.0910 from 1.0960 with next resistance near $1.0965. RSI confirms sideways momentum.

NZDUSD fell out of bed on the RBNZ statement, diving back under $0.6500 toward $0.6440 with next potential support near $0.6400 then $0.6335.

AUDUSD has dropped back to retest $0.7000 as it falls back from $0.7070 with next potential support near $0.6945. RSI stalling short of 50 it may need more base building in the near term.

USDCNH is holding steady just above 6.6090 a 235 retracement of its previous uptrend. The pair and RSI have been creeping steadily upward following a rally and correction earlier this month forming an ascending triangle with next potential resistance near 6.6280.

USDJPY is testing 119.00 and 50 on the RSI where breakouts would signal an upturn with next resistance near 119.70 but failures would confirm a broader downtrend underway with next support near 118.60 then then 118.00 and 117.60.

EURJPY is breaking out of a 126.20 to 129.00 base today, rallying on toward the 129.30 to 129.50 area with next potential resistance near 130.00 then the 50-day average near 130.50.

CADJPY is bumping up against resistance near 84,.55 a 38% retracement of its recent downtrend, and 50 on the RSI suggesting it may been to digest recent gains in the short term. Initial support appears near 83.90 hen 82.45.

USDSGD is holding steady near $1.4300 having held  $1.4235 on the index and 50 on the RSi keeping its uptrend intact for now. It still appears to be rolling over with resistance falling toward $1.4340 and next support near $1.4200 and the 50-day average.

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