Chart Signals: Oil breakout, gold, AUD, NZD and JPY rally, EUR declines

CAD has gone on quite the ride rallying with oil prices then falling on neutral to dovish Bank of Canada comments. Other resource dollars, however, like AUD and NZD are rallying in tandem with commodity prices. Crude oil and gold both broke out to the upside with the yellow metal and JPY benefitting from defensive capital flows ahead of today’s debate. EUR remains under pressure ahead of tomorrow’s ECB meeting.

CAD has gone on quite the ride rallying with oil prices then falling on neutral to dovish Bank of Canada comments. Other resource dollars, however, like AUD and NZD are rallying in tandem with commodity prices. Crude oil and gold both broke out to the upside with the yellow metal and JPY benefitting from defensive capital flows ahead of today’s debate. EUR remains under pressure ahead of tomorrow’s ECB meeting. 


Asia Pacific Indices

Australia 200 continues to attract support above 5,400 with RSI bouncing back above 50 indicating its current 5,375 to 5,500 trading channel remains intact with initial resistance near 5,450.  

Japan 225 is bumping up against 17,000 again with support rising toward 16,950. RSI above 50 and climbing confirms continued accumulation following a golden cross. Next potential resistance near 17,150 then 17,425. 

Hong Kong 50 has stabilized near 23,410 a Fibonacci level having bounced up off 23,000 round number and channel support. Upside resistance remains in place near 23,545 then 23,760. RSI suggests momentum turning back up following a correction.  


North American and European Indices

US 30 bounced up from 18,110 toward 18,250 then settled back toward 18,220 as it bounces around in an 18,000 to 18,360 sideways trading range. RSI stuck under 50 indicates momentum still soft with a test of 17.915 a Fibonacci level possible on a round number break. 

US NDAQ 100 is holding steady near 4,840 and the middle of a 4,740 to 4,900 trading channel. RSI trending lower indicates upward momentum fading back toward neutral with a downturn possible. 

US SPX 500 is up slightly today but continues to struggle with resistance at 2,150, the rising neckline of a head and shoulders top but continues to hold above 2,120 the flat neckline that would confirm pattern completion. RSI between 40 and 50 indicates momentum flat to slightly downward. 

UK 100 is trading between 6,980 and 7,030 around the 7,000 round number as it continues to consolidate recent gains between 6,925 and 7,110. RSI holding 50 indicates underlying upward momentum still intact. 

Germany 30 has paused short of recent highs near 10,700 trading between 10,640 and 10,670 in what looks like normal backing and filling so far following a run up off 10,500 support. RSI near 50 confirms sideways trend intact.  


Commodities 

Gold is breaking out of a base today, retaking its 200-day average near $1,262 to signal the start of a new upswing. RSI back above 30 and gaining on 50 indicates recent selloff over and upturn confirmation pending. Next potential resistance near a measured $1,274 then $1,282 a Fibonacci level.   

Crude Oil WTI is breaking out today, clearing the top of a $49.00 to $51.30 trading range with support rising toward $51.00 while the price tests $50.90. Next potential resistance near a measured $53.60. 


FX 

US Dollar Index has levelled off in the 97.50 to 98.10 area. RSI slipping under 70 signals upward momentum slowing and a correction starting. Next potential support near 97.00.  

EURUSD has levelled off just below $1.1000 unable to rebound in what looks like a pause within an ongoing downtrend. Next potential support appears at recent lows near $1.0945 then $1.0905. RSI confirms downward pressure levelling off for now but not weakening either.  

GBPUSD has bumped into some initial resistance near $1.2330 but remains under accumulation with support rising toward $1.2260. RSI back above 30 from oversold signals a trading bounce underway with next potential resistance near $1.2460. 


NZDUSD continues to climb, clearing $0.7195 a Fibonacci level and advancing on $0.7230 and its 50-day average with next potential resistance near $0.7330. RSI regaining 50 confirms momentum turning back upward. 

AUDUSD is bumping up against $0.7725 channel resistance. RSI has broken out over 60 to signal momentum turning increasingly upward. Next potential resistance near $0.7770 then $0.7830. Support rises toward $0.7655. 

USDSGD remains in an uptrend having found support at a higher low near $1.3840 and bouncing toward $1.3875 with net resistance nae $1.3885 then $1.3930 and next support near $1.3800.  Pair still needs to work off an overbought RSI. 

USDJPY is starting to roll over on both the pair and the RSI. The pair has dropped from 103.90 toward 103.40 with next potential support near 103.70 then its 50-day average near 102.00. RASI confirms upward momentum weakening and a downturn possible.   

GBPJPY continues to stabilize in the 124.70 to 138.70 range recently trading between 126.70 and 127.30. 

EURJPY is breaking down today, taking out its 50-day average near 114.10 and diving down toward 113.25 with next potential support near 113.00 then 1112.25. RSI under 50 and falling confirms downward momentum accelerating.  
 
USDCAD staged a big bounce up off $1.3000 round number support back up through its 50-day average near $1.3065 and on toward $1.3130 with next potential resistance at the 200-day near $1.3165. RSI gaining support near 50 suggests underlying uptrend remains intact. 

USDMXN is breaking down again today, taking out 18.56 a Fibonacci level and falling toward 18.52 after a bounce up toward 18.68 failed. RSI confirms downward pressure increasing with next potential support at its 200-day average near 18.35.