US indices are coming off another banner day which saw the US 30 regain 21,000 the US NDAQ 100 reach a new all-time high and the NASDAQ Composite reach 6,000 for the first time. US SPX 500 and Hong Kong 50 have broken out as well causing descending triangles to fail while the Australia 200 nears 6,000 and the Japan 225 regains 19,000. On the other hand, CAD and NZD have been getting crushed on fears the US could spark a trade war over dairy and lumber. JPY is also getting roundly smashed against USD, EUR and JPY as capital flows out of defensive havens.
Asia Pacific Indices
Australia 200 continues to climb, clearing 5,900 once again and advancing on 5,925 with next potential resistance near 5,950 then the 6,000 round number. RSI above 50 and rising indicates upward momentum accelerating.
Japan 225 continues to accelerate upward with the index soaring up off of 18,835, driving through the 19,000 round number, clearing its 50-day average near 19,100 and advancing on 19,240. RSI confirms increasing upward momentum. Next potential resistance near 19,335 then 19,695.
Hong Kong 50 is breaking out of a downtrend today, clearing 24,290 to call off a descending triangle and retaking 24,500. RSI also breaking out of a downtrend confirms the upturn in momentum. Next potential resistance near 24,670 then the 25,000 big round number.
North American and European Indices
US 30 confirmed its breakout from a falling channel by driving up off its 50-day average near 20,735 up through the 21,000 big round number. Next potential resistance appears near 1,130. Rising RSI confirms increasing upward momentum.
US SPX 500 is building on Monday’s big breakout over its 50-day average near 2,355 that caused a descending triangle to fail. The index held 2,375 and has advanced on 2,390 with next resistance possible near 2,400. RSI back above 50 and climbing indicates upward momentum increasing again.
US NDAQ 100 is rallying to more new highs, leaving 5,480 in its dust as it clears 5,500 and advances on 5,550. Next upside resistance possible near a measured 5,605. RSI confirms uptrend has moved into overbought territory.
UK 100 is holding above 7,260 the former neckline of a head and shoulders top, trading near 7,275 but it remains below 7,290 with more resistance possible at its 50-day average near 7,310. RSI running into resistance at a downtrend line and failing to retake 50 suggests the recent pop may be an upward correction within a bigger downtrend.
Germany 30 peeked above 12,500 but failed to hold it, as resistance came in near 12,515 with more possible near 12,600. A negative RSI divergence indicates upward momentum slowing. The index has dropped back into the 12,440 to 12,480 area with next potential support near 12,380 a retest of its recent breakout point.
Commodities
Gold still appears to be rolling over, particularly the RSI which indicates upward momentum weakening and a downturn pending. Resistance falls toward $1,276 from $1,280 with the price dropping under $1,270 falling toward $1,263. Next support possible at the 200-day average near $1,255 then the $1,250 round number and Fibonacci level.
Crude Oil WTI’s big selloff appears to have been contained by support at its 200-day average near $48.60. Should that fail, however, next potential support appears near $47.70 a Fibonacci level. For now, the price has rebounded toward $49.00 with initial resistance possible in the $49.80 to $50.00 area.
FX
US Dollar Index continues to trend downward. An attempt to regain 99.00 failed at a lower high near 99.10 and the index has dropped back to test potential support near 98.65. RSI under 50 and falling confirms downward pressure increasing.
EURUSD is breaking out again, rallying up off of $1.0845 the top of a Fibonacci cluster, clearing $1.0900 and testing $1.0945 as Fibonacci level. Next upside resistance appears near the $1.1000 round number. Rising RSI confirms upward momentum but is approaching overbought territory.
GBPUSD is consolidating recent gains near $1.2825, well supported above $1.2710 its recent breakout point. Initial support appears near $1.2800 then $1.2745 with initial resistance near $1.2855 then $1.2900.
NZDUSD is breaking down today with the pair falling back under $0.7000, while the RSI falling back under 50 confirms the downturn in momentum. The pair has dropped back toward $0.6950 with channel support in place near $0.6900.
AUDUSD is still stuck trending sideways between $0.7500 and $0.7600 sitting on its 200-day average near $0.7550. RSI steady just under 50.
USDSGD has retested $1.3950 as resistance confirming its recent breakdowns under a channel bottom, Fibonacci level and 200-day average. RSI indicates steady downward pressure. Next downside support appears near $1.3885 then $1.3810.
USDJPY’s big upswing continues to accelerate. The pair has rallied up off 109.45 the bottom of a breakaway gap, blasting through the 110.00 round number and soaring on toward 111.15 as support rises toward 110.80. Next potential resistance appears near 112.00 where the 50-day average and 38% retracement of the recent downtrend converge. RSI regaining 50 confirms momentum turning back upward.
GBPJPY continues to trend upward with the 140.00 round number becoming support following a breakout, and the pair rallying up toward 142.50. RSI confirms increasing upward momentum but is approaching overbought territory. Next potential resistance near 142.90 then 145.00.
EURJPY is still climbing, establishing support at its 50-day average near 119.40 then driving through 120.00 and soaring on toward 121.50. Next potential resistance appears near 122.00. RSI confirms increasing upward momentum but is nearing overbought levels.
USDCAD is breaking out today, rallying up off of $1.3500, through $1.3530 its prior high and driving on toward $1.3565. Next potential resistance appears near $1.3595 then $1.3655 and $!.3830 a 62% retracement of its previous downtrend.
