Today’s trading has featured a number of intraday reversals which saw markets that started out strong like EUR and indices, giving back early gains while markets that started out weak like gold bounced back. JPY, meanwhile continues to weaken relative to other majors.
Asia Pacific Indices
Australia 200 appears to be moving into a sideways range between 5,640 and 5,840 above its 200-day average and below the shoulders of a head and shoulders top. The index has been moving up within this range with the RSI climbing toward 50 indicating weakening downward pressure. Initial resistance possible near 5,740 a Fibonacci level.
Japan 225 is sending mixed signals. The index remains under accumulation, with support moving up from 20,000 toward 20,170, RSI holding 50 a positive but a negative divergence in the RSI along with a bearish rising wedge forming in the pair suggest upward momentum may be slowing. Initial resistance possible near 20,240 then 20,300.
Hong Kong 50 is in an upswing within a 25,495 to 26,115 sideways trading range, recently rallying up from 25,750 toward 25,930. RSI holding 50 indicates underlying upward momentum intact through this consolidation phase. Initial resistance possible near 26,000.
North American and European Indices
US 30 has bounced up from 21,360 toward 21,430 but remains unable to retake 21,500 which would call off an Evening Star with additional resistance possible near 21,550. RSI suggests we may be entering a consolidation phase within a bigger uptrend.
US SPX 500 remains in an uptrend with support climbing toward 2,430 from 2,418. The index has climbed up toward 2,440 with next potential resistance near 2,450 then a measured 2,470. RSI suggests upward momentum slowing but not going off the rails.
US NDAQ 100 had been steadily advancing but has turned sharply downward after running into resistance at a lower high near 5,850, falling back into the 5,760 to 5,700 zone. RSI between 40 and 60 suggests a sideways trend may be emerging above the 50-day average near 5,695.
UK 100 has bounced up off of 7,405 the neckline of a head and shoulders top, trading up toward 7,480 before slumping back toward 7,450. It remains in a sideways channel below 7,600 with initial resistance near 7,500 and shoulder resistance near 7,555.
Germany 30 tried to regain 12,800 but failed to hold it, falling back from 12,840 toward 12,750. RSI holding 50 indicates underlying accumulation remains intact for now but lower highs suggest upward momentum faltering.
Gold plunged from its 50-day average down toward its 200-day average then bounced back, establishing a $1,238 to $1,258 trading range. RSI remains stuck below 50 which it needs to regain to signal an upturn while the price has settled near $1,246.
WTI crude oil continues to rebound. RSI has regained 30 from oversold territory, indicating downward pressure easing, while the price has regained $43.00 as support moves up toward $42.90. Next resistance possible near $43.40 then $44.00 and $45.00.
US Dollar Index is holding steady near 97.00 within a 96.20 to 97.60 trading range. RSI sitting on 50 confirms sideways trend momentum.
EURUSD tried to turn back upward within its $1.1118 to $1.1290 trading range, regaining $1.1200 for a while but then dropping back from $1.1220 toward $1.1170 with next support near $1.1140. RSI holding 50 and then climbing suggests underlying uptrend may be re-asserting itself.
GBPUSD continues to rebound with support moving up toward $1.2700 and the pair testing $1.2750 before dropping back toward $1.2710. RSI indicates downward pressure easing, and the recent selloff ending but it needs to regain 50 to signal an upturn. Next resistance possible near $1.2790 the neckline of a head and shoulders top then $1.2855 the 50-day average.
NZDUSD remains under accumulation while consolidating recent gains in the $0.7200 to $0.7300 range as support rises toward $0.7265. RSI indicates underlying upward momentum intact through this pause. Next resistance possible near $0.7375 then February high with additional support near $0.7160.
AUDUSD continues to attract support above $0.7500 and its 200-day average, climbing toward $0.7590 with next potential resistance near $0.7630 then $0.7660. RSI holding 50 and rising indicates continuing accumulation.
USDSGD remains in an upswing with support moving up toward $1.3850, the pair climbing toward $1.3890 and RSI holding above 50. Next potential resistance near $1.3910 the 50-day average followed by $1.3950 a Fibonacci level.
USDJPY is breaking out today, clearing 111.50 to signal the start of a new upleg and advancing on 111.90. RSI rallying up off of 50 signals momentum turning increasingly upward. Next potential resistance near 112.15 a Fibonacci level then 112.80.
GBPJPY continues to climb after breaking out of a downtrend. RSI regaining 50 signals confirms the upturn in momentum. Support moves up toward 141.85 with the pair advancing on 142.30. Next resistance possible near 143.20 where a Fibonacci level and the 50-day average cluster.
EURJPY has regained the 125.00 round number as the current upswing continues. Next potential resistance appears near 125.80 the top of the current trading channel then 127.40. RSI rising off 50 indicates the recent correction has ended and the broader uptrend is reasserting itself.
USDCAD continues to bounce around between $1.3200 and $1.3300 recently dropping from $1.3260 toward $1.3220 before rebounding toward $1.3250. RSI under 50 and in a downtrend indicates continuing distribution.