There have been a number of significant swings in today’s trading action particularly a big rally for NZD and a big plunge for WTI (which also sparked a rally in USDCAD). In other action, GBP and JPY pairs are still trying to form bases with mixed success.
Asia Pacific Indices
Australia 200 remains in a downtrend with a bounce peaking at a lower high near 5,250 and the index falling toward 5,205 with next potential support near 5,185 then 5,145. RSI holding under 50 indicates neutral to downward momentum.
Japan 225 is consolidating recent losses in the 15.220 to 15.420 area with RSI indicating downward pressure intact. A retest of the 15,000 round number or 14.860 remains possible. Initial resistance on a rally possible near 15,555.
Hong Kong 50 is still bouncing around between 20,200 and 21,000 recently dropping back from near 20,750 toward 20.610 with next potential support near 20,500.
North American and European Indices
US 30 continues to struggle with 18,000 resistance with more possible near 18,150. The index has dropped today from near 17,970 toward 17,840 with next potential support near 17,750 and the 50-day average. RSI holding near 50 indicates a sideways trend.
US NDAQ 100 tested the top of a 4,375 to 4,460 range before sliding back toward 4,440. RSI holding just above 50 suggests a pause underway within an emerging uptrend. Next resistance possible near 4,500 a round number and Fibonacci level with next support near 4,345.
US SPX 500 is bouncing around 2,100 with RSI sitting just above 50 confirming a flat to slightly upward trend. Next resistance near 2,112 with next support near 2,090 then the 50-day average near 2,078.
UK 100 is trading near 6,520 as it continues to bounce around between 6,455 and 6,625 while digesting a recent rally. RSI rolling over suggests momentum shifting from upward to neutral.
Germany 30 has been trading around 9,440 in a range between 9,310 and 9,520, recently sliding toward 9,380. . RSI stuck under 50 indicates downward pressure intact with support moving up there from 9,285 and next resistance in pace near 9,510 then 9,710. Higher lows in the RSI suggest downward pressure weakening.
Gold spent the day bouncing around between $1,350 and $1,370 digesting recent gains. It’s unclear if an overbought RSI can be resolved through a sideways consolidation or if a deeper correction may be needed. Next support possible in the $1.345 to $1.350 zone.
Crude Oil WTI was hammered today, diving from $48.10 Fibonacci resistance down toward $44.80 Fibonacci support with its next downside test near $43.90 and initial bounce resistance near $45.90. RSI falling away from 50 confirms downward pressure increasing.
US Dollar Index is sitting well supported just above 96.00 as it continues to consolidate recent gains in the 95.45 to 96.60 range.
EURUSD is still drifting lower with the 200-day average near $1.1100 emerging as resistance and the pair sliding toward $1.1050 with next potential support near the $1.1000 round number then the June low near $1.0900.
GBPUSD tried to retake $1.3000 but failed to hold above it then slumped back toward the $1.2870 to $1.2920 area to confirm its recent breakdown with next support near $1.2780. RSI remains oversold keeping the door open to additional rebound attempts.
NZDUSD keeps trending higher popping up from a higher low near $0.7112 up into the $0.7210 to $0.7235 zone with next potential resistance near $0.7235 then $0.7300 its June high. A higher low in the RSI confirms upward momentum increasing.
AUDUSD was unable to hold above $0.7500 and has slipped back toward $0.7470 with next potential support near $0.7390. A head and shoulders top forming in the RSI indicates upward momentum weakening and a downturn pending.
USDSGD has resumed its downtrend with the pair slipping back under $1.3500 and the RSI remaining below 50 to confirm its downtrend still intact. Next potential support near $1.3440 then $1.3340.
USDJPY remains under pressure with resistance falling toward 101.00 and the pair declining toward 100.60 with next potential support near 100.00 then 98.80 where a retest could complete a double bottom. RSI oversold indicates selloff getting overextended but may not be done yet.
GBPJPY looks like it's trying to build a base around 130.00 following a possible selling climax. With an oversold RSI indicating the potential for a rebound, the pair took a run at 131.90 before backsliding to retest 130.00 with more downside support possible near 129.60 then 128.60.
EURJPY’s latest rebound attempt faltered short of 113.00 and the pair has resumed its downtrend falling back into the 111.20 to 111.50 area. Next potential support appears near 110.85 then the June low near 109.35 where a retest could complete a double bottom.
CADJPY’s rebound faltered at a lower thigh near 88.50 and the pair has turned south again dropping toward the 77.30 to 77.50 area with next potential support near 77/00 then the June low near 76.00.
USDCAD is testing $1.3000, a round number and Fibonacci level, once again having rallied up off its 50-day average near $1.2910. RSI above 50 confirms rising upward momentum with next potential resistance near $1.3045 then $1.3100.