Chart Signals: Huge reversals with momentum confirmation signal major shift in sentiment

Huge spikes and reversals over the last 24 hours signal indicate a major battle has been fought ending with capital fleeing defensive havens and returning to risk markets in droves. Many of the big spikes that followed initial voting results have been completely reversed with markets not only completing round trips but also breaking out in the other direction, confirmed by momentum signals or failures of previously bearish patterns. What a day! Wow!

Huge spikes and reversals over the last 24 hours signal indicate a major battle has been fought ending with capital fleeing defensive havens and returning to risk markets in droves. Many of the big spikes that followed initial voting results have been completely reversed with markets not only completing round trips but also breaking out in the other direction, confirmed by momentum signals or failures of previously bearish patterns. What a day! Wow! 

Asia Pacific Indices

Australia 200 has a big upward reversal underway having soared up off a low near 5,050 up through 5,300 where it has broken out to signal an upturn, and advanced on 5,330 with nest potential resistance near 5,370 then 5,420. 

Japan 225 is back under accumulation following a volatile day that saw it get hammered down toward 16,090 then soared back up through 17,000 and on toward 17,250 wow! Initial upside resistance near 17,425 and 17,500 with support rising toward 17,170. 

Hong Kong 50 has bounced up off 22,000 support but remains in a downtrend for now trading near 22,685. A catch up rally appears possible with next upside tests near 23,000 then 23,195 and 23,410. RSI regaining 50 would confirm an upturn in momentum. 


North American and European Indices

US 30 continues to rally, driving up off 18,460 support toward 18,615 with next potential resistance near 18,670 then the 19,000 round number. Initial support near 18,540 Rising RSI indicates upward momentum increasing.  

US NDAQ 100 has made back all of its initial election losses and then some, retaking 4,740 and rallying up toward 6,825 with support rising toward its 50-day average near 4,805. Next potential resistance in the 4,900 to 4,925 area.  

US SPX 500 has regained 2,100 climbing toward 2,165 while support rises toward its 50-day average near 2,145. SPX has also broke out of a downtrend of lower highs while RSI confirms momentum turning upward. Next potential resistance near 2,178 then 2,190.  

UK 100 continues to climb, trading back up into the 6,920 to 6,950 zone after a drop down toward 6,500. Initial resistance possible near 7,000 then 7,110 with next support near 6,890. 

Germany 30 has rebounded strongly from an overnight plunge briefly below 10,000 driving up through 10,500 and on toward 10,655 with next potential resistance near 10,750 and 10,830. RSI regaining 50 confirms momentum turning upward. 


Commodities 

Gold’s big rally attempt fizzled out, leaving a huge shooting star candle in its wake. Gold has been slammed back toward $1.270 from $1.340 where it peaked with $1,300 round number, Fibonacci and 50-day average support failing. RSI back under 50 signals a downturn with next potential support near $1.264 then $1,250. 

Crude Oil WTI held its 200-day average near $43.00 and has bounced back up above $45.00, the middle of its $40-$50 trading range with initial resistance possible near $45.45. Recent trading between $44.40 and $45.80.  


FX 

US Dollar Index not only completed a round trip from 98.00 to 96.00 and back overnight, it has started to climb again advancing on 98.50 with next potential resistance near 99.00 and the 100.00 round number.  

EURUSD has a huge negative reversal underway having been slammed down from near $1.1300 through $1.1000 and on toward $1.0935. RSI diving back under 50 confirms the downturn. Next potential support near $1.0860.


GBPUSD remains under accumulation consolidating recent gains in the $1.2325 to $1.2560 range recently in the $1.2390 to $1.2480 zone. Cable peeked up above $1.2500 overnight but failed to hold it again, indicating that more base building is likely needed.  

 

NZDUSD continues to advance, spiking up off $0.7260 toward $0.7360 despite the RBNZ trying to talk it down. Next potential resistance appears near $0.7400 then $0.7485. 

AUDUSD is on the rebound having successfully retested uptrend support near $0.7580 and rallying toward $0.7660 to keep an ascending triangle forming. Next potential resistance near $0.7784 then $0.7830. 

USDSGD has cleared $0.3970 and is testing $1.4000 where a breakout would confirm the start of a new upswing with next potential resistance near $1.4110. Rising RSI confirms upward momentum increasing. 

USDJPY has been all over the place overnight plunging from near 105.00 toward 102.00 then making it all back and breaking out to the upside clearing 105.15 and advancing on 105.85 with next potential resistance at the 200-day average near 106.45. 

GBPJPY shrugged off a selloff to stage a dramatic rebound rallying up from 126.60 support through 130.00 and its 50-day average signalling a breakout and on toward 131.65 with next potential resistance at 132.95 a 23% retracement of its previous downtrend. 

EURJPY is taking another run at the top of its 112.00 to 116.00 trading range with support rising toward 115.40. Next potential upside resistance near 116.15 then 117.15 and 118.35. 

USDCAD may have peaked today falling back toward $1.3370 after briefly breaking out over $1.3500 overnight and trading up toward $1.3525 before the reversal. Next potential support near $1.3310.  

USDMXN has exploded to the upside and is breaking out today. Driving up off 18.15, the pair has cleared its pre-debate high near the 20.00 round number trading up toward 20.75 before stabilizing near 19.75. RSI confirms upward momentum increasing. 

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