It has been a mixed trading day with some markets like Germany 30 and Japan 225 climbing while others like US indices remain unable to overcome resistance. Crude oil remains under pressure, diving again and taking CAD down the drain with it. AUD and NZD continue to rebound while JPY continues to weaken.
Asia Pacific Indices
Australia 200 has slipped back toward 5,940 after touching a new high near 5,960 yesterday. The high was not confirmed by the RSI, a negative divergence that suggests upward momentum may have peaked. Next resistance possible near the 6,000 round number with initial support possible near 5,900 then 5,835.
Japan 225 continues to climb, breaking through 19,360 and advancing on 19,470 with next potential resistance near 19,525 then 19,695. RSI confirms upward momentum increasing.
Hong Kong 50 is still struggling with resistance near 24,765, and a double top appears to be forming. Should the index break out, the 25,000 round number could be probed. If not, support in the 24,465 to 24,500 area could be tested. RSI indicates upward momentum may be slowing.
North American and European Indices
US 30 is slowly but steadily sliding after putting in a double top near 21,125 last week. The index is still stuck below 21,000, slipping toward 20,930 with next potential support near 20,875 then the 50-day average near 20,730.
US SPX 500 is sitting just below 2,400 resistance where a double top has formed. RSI levelling off at a lower high indicates upward momentum fading. Initial support possible near 2,380 then the 50-day average near 2,362.
US NDAQ 100 has touched a new high (barely) near 5,642. RSI is really overbought and suggesting upward momentum levelling off so we could be getting close to a peak. Next measured resistance possible near 5,710 with initial support possible near 5,600 then 5,570.
UK 100 has bounced up off of 7,200 but this appears to be an upward correction within a bigger downtrend with the index still trading below 7,260 the neckline of a head and shoulders top. RSI holding below 50 confirms distribution.
Germany 30 is retesting 12,530 resistance which could end in a breakout or a double top. RSI suggests upward momentum levelling off. Next measured resistance possible near 12,660. Support moves up toward 12,500 from 12,400.
Gold has dropped back into the $1,250 to $1,255 range near its 50 and 200-day average where support appears to be coming in. RSI falling away from 50, however, suggests momentum turning increasingly downward. Should the price break down, next support may appear closer to $1,240.
Crude Oil WTI’s latest rebound attempt came to an abrupt end as the index turned sharply downward from $49.00, taking out its previous low and a Fibonacci level near $47.70 on its way down toward $47.00. Next potential support appears near $46.45. Falling RSI confirms increasing downward momentum.
US Dollar Index is still hanging around 99.00 with a flat RSI confirming a consolidation phase underway between 98.55 and 99.25.
EURUSD is sitting on $1.0925 in the upper half of $1.0850 to $1.0950 zone where it has been consolidating its recent rally, having moved up from $1.0900 earlier today. Next resistance appears near the $1.1000 round number with next support near $1.0815 a Fibonacci level and the top of a breakaway gap.
GBPUSD is bouncing around between $1.2865 and $1.2930 as it consolidates recent gains below the $1.3000 round number. A small double top in the RSI suggests upward momentum may have peaked for now. Additional pullback support in place near $1.2840.
NZDUSD is turning back upward, with support moving up toward $0.6900 from $0.6855, and the pair advancing on $0.6940. It still needs to break out over $0.7000, its 50-day average near there and 50 on the RSI to confirm an upturn
AUDUSD has run into some resistance at its 200-day average near $0.7550 but remains well supported above $0.7500 following a breakout. RSI still needs to regain 50 to confirm the start of a new uptrend. Next potential resistance near $0.7580 a Fibonacci test.
USDSGD is still bouncing around between $1.3900 and $1.4000. Resistance falling toward the 200-day average near $1.3975 and the RSI starting to fall away from 50 indicate continuing distribution. Next potential support on a breakdown near a measured $1.3800.
USDJPY is breaking out today, clearing its 50-day average near 111.75 to confirm completion of a base. The pair has advanced on 112.15, a Fibonacci level with next potential resistance near 113.00. Rising RSI confirms upward momentum accelerating.
GBPJPY is testing a channel top and round number at 145.00. With RSI overbought, it may need to pause for a rest to consolidate recent gain. Additional resistance possible near 145.40 with initial correction support possible near 144.10 then 143.10.
EURJPY is breaking out over 122.00 today, rallying up toward 122.50 then retrenching back toward 122.35. RSI getting overbought suggests potential for a pause or a correction. Nest resistance possible near 123.00 then the previous high near 124.00. Support rises toward 131.90 from 131.30.
USDCAD is breaking out again, rallying up off of $1.3640, clearing $1.3700 and rallying up toward $1.2765 before dipping back toward $1.2725 in normal backing and filling. RSI is overbought but continues to confirm increasing upward momentum. Next potential resistance near $1.3830, a Fibonacci level.