There has been a lot of action in currency markets today. Both JPY and gold remain under pressure with the yellow metal falling under $1,200 even though it’s oversold on the RSI. Similarly, USD, GBP and copper continue to rally defying overbought conditions.
Asia Pacific Indices
Australia 200 continues to rally toward a test of 5,500 having broken out of a downtrend near 5,435 with support rising toward 5,460. Next potential resistance near 5,600 and a recent double top. RSI confirms upward momentum increasing.
Japan 225 is breaking out again today on JPY weakness spiking up from near 18,150 toward a test of 18,450 a previous high with next potential resistance near 18,750. RSI confirms increasing upward momentum but overbought level suggests potential for a correction at some point.
Hong Kong 50 has drifted back toward 22,600 in a normal trading correction following a run up from 22,300 toward 22,800. Initial support near 22,540 with next resistance near 22,670.
North American and European Indices
US 30 is breaking out again, clearing 19,050 and advancing on 19,070 with next potential resistance near 19,090 then 19,350 based on measured moves from recent trading ranges. RSI overbought but confirming uptrend remains intact for now.
US NDAQ 100 paused near 4,880 just below resistance in the 4,900 to 4,920 zone and has slipped back toward 4,850. RSI indicates momentum turning upward but traders may wait until after the holidays before mounting another assault on channel resistance.
US SPX 500 is holding the 2,200 level consolidating its recent breakout over 2,190. Next potential resistance near a measured 2,218 then 2,270. Rising RSI confirms increasing upward momentum.
UK 100 continues to swing upward within its 6,700 to 6,925 trading channel recently advancing form near 6,780 toward the 6,870 before settling back toward 6,820.
Germany 30 has dropped back from near 10,750 toward 10,630 but this looks like a normal downswing as it continues to trend sideways between its 50-day average near 10,550 and the 10,830 level. Next support possible near 10,630 then 10,610.
Gold is breaking down in a big way, diving from near $1,210 down through $1,200 and on toward $1,190 with next potential support near $1,180 then $1,172. RSI oversold but also confirming downward momentum still increasing for now.
Crude Oil WTI is trading between $46.50 support and $48.50 resistance recently pausing in the $46.80 to $47.80 area around its 50-day average. RSI holding above 50 following a breakout indicates a pause underway within an upswing.
Copper’s latest upswing is accelerating today driving up off $2.54 support through $2.58 a Fibonacci level and the $2.60 round number rallying on toward $2.62 with nest potential resistance near $2.70. RSI indicates upward momentum still intact but also is still overbought so a correction could come again any time.
US Dollar Index is breaking out again, rallying up off 101.00 toward 101.70 with next potential resistance near 102.50 or 103.00. An overbought RSI and a big double top suggest it may have moved up too far too quickly leaving the door open to a potential correction back toward 100.00 but so far the uptrend remains relentless.
EURUSD is breaking down again, falling from near $1.0650 through $1.0580 and on toward $1.0555 with next potential support at the $1.0500 round number. Oversold RSI suggests potential for a bounce but the broader downtrend remains intact for now.
GBPUSD continues to bounce around between $1.2350 and $1.2500 below its 50-day average recently bouncing back from near $1.2370 toward the $1.2450 to $1.2470 area. RSI bouncing around 50 indicates a sideways trend.
NZDUSD has a big support test underway in the $0.7000 to $0.7020 area where a round number the 200-day average, a Fibonacci level and the neckline of a head and shoulders top converge. Next potential support on a breakdown near $0.6950 then $0.6890.
AUDUSD’s latest rebound attempt failed at a lower high near $0.7440 way short of $0.7500 round number resistance. The pair has dropped back under $0.7400 toward $0.7380 with next potential support near $0.7360 then $0.7305.
USDSGD is breaking out again, clearing $1.4280 and driving on toward $1.4310 with next potential resistance near $1.4345 then $1.4450. RSI really overbought so a correction possible but so far it continues to confirm the uptrend. Next support in the $1.4220 to $1.4240 area.
USDJPY is breaking out again today, driving up off 111.00 support through 112.20 a Fibonacci level and on toward 112.55. Next potential resistance near 113.50 with next support near 110.00. RSI extremely overbought so a correction possible but upward momentum continues to increase for now.
GBPJPY is breaking out today, clearing 140.00 with support rising toward 139.80 from 138.00. RSI really overbought so a correction possible at some point. Next resistance possible on trend near 142.25 a 50% retracement of its previous downtrend.
EURJPY is breaking out today, clearing 118.35 a Fibonacci level that may become support and advancing on its 200-day average near 118.70 with next measured resistance near 119.00 followed by the 120.00 round number. RSI starting to get overbought.
USDCAD remains in an uptrend, climbing from near $1.3380 a higher low on trend back up toward $1.3500 with next resistance near $1.3565 a Fibonacci level and support rising toward $1.3470. RSI holding 50 confirms underlying accumulation intact.