USD turned sharply downward today lifting the lid off a number of currencies and sparking breakouts in gold, GBP and NZD while powering big gains and accelerations for AUD, EUR and CAD.
Asia Pacific Indices
Australia 200 has stabilized near 5,400 having successfully retested 5,380 support. Oversold RSI suggests potential for a trading bounce with initial resistance possible near 5,440.
Japan 225 is starting to drop back after running into resistance near 17,150 last week. The index failed to hold 17,000 and has slumped back toward the 16,910 to 16,960 area with next potential support at the 200-day average near 16,850 or a Fibonacci level near 16,800.
Hong Kong 50 has met some resistance near 23,785 and slipped back toward 23,700. An overbought RSI and a negative divergence suggest that upward momentum is fading and a trading correction possible that could take it back toward 23,405 a Fibonacci level or even the 23,150 recent breakout point.
North American and European Indices
US 30 is holding steady near 18,500 trading in an 18,360 to 18,660 trading channel. RSI bouncing around 50 confirms sideways momentum.
US NDAQ 100 continues to attract support holding 4,800 and advancing on 4,820 while consolidating recent gains in the 4,740 to 4,840 range. Overbought RSI conditions have eased with momentum starting to turn back upward again.
US SPX 500 is holding steady near 2,180 as it trades in a 2,160 to 2,190 range with more resistance possible at the 2,200 round number. RSI holding 50 indicates underlying upward momentum intact and recent trading a pause within an ongoing uptrend.
UK 100 continues to struggle with resistance in the 6,900 to 6,950 zone recently dropping back toward 6,860 with next support possible near 6,825. A small double top appears to be in place while RSI suggests upward momentum easing a bit.
Germany 30 is struggling a bit with resistance near 10,750 but with support rising toward another higher low near 10,650 and the index near 10,700 it still appears be under accumulation as it advances toward the top of a 10,400-10,800 trading range.
Gold has broken out of downtrend in the price and the RSI signalling an upturn underway. Gold has rallied up off $1,325 through its 50-day average near $1,332 and on toward $1,350 with next potential resistance near $1,356 then $1,366.
Crude Oil WTI appears to be stabilizing around $45.00 near the middle of a $40-$50 channel Support has come in near $43.80 with initial upside resistance near $46.20. RSI sitting on 50 and a symmetrical triangle of higher lows and lower highs suggest a sideways trend emerging.
US Dollar Index appears to be stabilizing near 95.50 with resistance emerging at the 50-day average near 96.00 and initial support near 95.00. RSI near 50 confirms neutral momentum.
EURUSD rallied up off of support at its 50 and 200-day moving averages near $1,160 driving up through $1.1200 and on toward $1.1255 with next potential resistance near $1.1365. RSI regaining 50 indicates momentum swinging back upward.
GBPUSD’s recovery continues to accelerate with the pair soaring up off $1.3315 which has become Fibonacci support, on toward $1.3430 with next potential resistance in the $1.3475 to $1.3500 area around a previous high and round number. Rising RSI confirms upward momentum increasing.
NZDUSD has a big breakout underway today, clearing $0.7380 to complete a bullish ascending triangle and signal the start of a new uptrend with next potential resistance near the $0.7500 round number and a measured $0.7565. RSI also signals upward momentum accelerating.
AUDUSD continues to rally up off $0.7500, driving up off $0.7575 toward $0.7680 with next potential resistance near $0.7700 then $0.7755. RSI indicates momentum turning upward.
USDSGD is breaking down today, taking out $1.3500 and its 50-day average with RSI breaking down below 50 confirming the start of a new downswing. Recently trading near $1.3460, next poetntial support appears near $1.3400.
USDJPY remains stuck in a falling channel having failed to break out over downtrend resistance near 104.00 last week and diving from near 103.40 toward 101.90 today, taking out its 50-day average near 102.50 in the process where initial resistance may emerge. RSI back at 50 indicates confirmation of a downturn pending with next potential support near 100.90 then the 100.00 round number.
GBPJPY has levelled off near 137.20 consolidating recent gains at a higher level between 136.00 a 23% retracement of the post Brexit selloff. Initial resistance appears near 138.90 then the 140.00 round number.
EURJPY has slipped back under 115.00 trading near 114.80 in what looks like a normal trading correction within an emerging uptrend trading between its 50-day average near 114,.50 and last week
‘s high near 116.35.
CADJPY has dropped back toward 79.50 having run into resistance near the 80.00 round number having completed a 23% retracement of its previous downtrend. Initial support appears at the 50-day average near 78.95.
USDCAD continues its downswing breaking under $1.2900 toward a test of uptrend support near $1.2820 with next potential support near $1.2775. RSI back under 50 confirms momentum turning downward again.