Crude oil has staged a big round trip diving under its 200-day average then making it all back in what looks like s selling climax or bear trap bottom with a hammer candle forming. Meanwhile JPY appears to be regaining strength with JPY pairs showing signs of peaking.
Asia Pacific Indices
Australia 200 is bouncing around between 5,730 and 5,760 as it continues to form an ascending triangle above 5,700 support and below 5,830 resistance.
Japan 225 has been unable to break through 19,675 resistance dropping back toward 19,540 but it continues to form an ascending triangle of higher lows above its 50-day average near 19,265. RSI holding 50 indicates underlying upward momentum remains intact.
Hong Kong 50 has started to resume its downtrend after a rally ran out of gas short of 24,000 near 23,925 and the index slumped back toward the 23,720 to 23,760 area. RSI near 50 indicates sideways to downward momentum. Next potential support near 23,600 then 23,500.
North American and European Indices
US 30 is breaking down today, taking out an uptrend support line near 20,900 and falling toward 20,840. Falling RSI confirms momentum starting to break down too. Next potential support near 29,790 then 20,645.
US SPX 500 has paused in the 2,365 to 2,375 to digest recent losses and declines down from 2,400. Falling RSI suggests this may be a pause within a downward correction with next support in place near 2,315 where a Fibonacci level and the 50-day average cluster.
US NDAQ 100 is still having trouble getting through 5,395 resistance and appears to be forming a double top falling back toward 5,380. A lower high in the RSI indicates upward momentum weakening and a correction possible with initial support tests near 5,330 then 5,300.
UK 100 ran into resistance at 7,400 again and appears to be completing a double top. The index has dropped back toward 7,365 while lower highs in the RSI indicate emerging distribution. Next potential uptrend support appears near 7,300 then 7,245.
Germany 30 once again failed to retake 12,000 resistance and has turned downward, falling toward 11,940 with next potential support near 11,900 then its 50-day average near 11,750. Falling RSI indicates upward momentum weakening and a downturn pending.
Gold spent the day trying to stabilize in the $1,200 to $1,208 area near a Fibonacci cluster but sold off late in the day down toward $1,198. Next resistance possible near $1,218 with next support possible near $1,188.
Crude Oil WTI has a big bullish reversal underway. It broke its 200-day average falling from $48.70 toward $47.00 then staged a full rebound, completing a bear trap bottom and a hammer candle, both signs recent bearishness may be peaking. Meanwhile and oversold RSI suggests potential for a bounce with initial resistance possible near $49.45 then $50.00.
US Dollar Index found support near 100.90 with more possible near 100.30 and 100.00. The index has bounced up toward 101.60 keeping its underlying uptrend intact but faces resistance near 102.10 then 103.00.
EURUSD continues to fall back from $1.0720 Fibonacci resistance dropping through $1.0640 through its 50-day average an on toward $1.0600. Next potential downside support appears near $1.0585 then $1.0500. RSI faltering suggests recent upswing may be over and a downturn pending.
GBPUSD was knocked back from $1.2220 toward $1.2110 but has since come up off its lows toward $1.2150. At this point the pair has been bent but not broken as an H&S right shoulder remains intact. Should the pair turn down, next support possible near $1.2050 with next resistance near $1.2255.
NZDUSD continues to stabilize near $0.6900 and $0.6940 while working off an oversold RSI. It remains unclear if this is a pause of a base forming but it is clear that the pair needs to retake $0.7000 to call off the current downtrend, otherwise it remains vulnerable with next support possible near $0.6800.
AUDUSD is stuck bouncing around between $0.7500 and $0.7600 having dropped back form $0.7725. RSI under 50 and falling suggests this may be a pause within a bigger downswing with next potential support on a breakdown possible near $0.7420.
USDSGD has levelled off near $1.4155 the middle of a sideways range between $1.4085 support and resistance at the 50-day average near $1.4200. RSI siting on 50 indicates sideways to slightly upward momentum.
USDJPY is running into resistance at the 115.00 round number down from 115.50 a Fibonacci level, while its RSI indicates upward momentum levelling off. Trading near 114.75, next support in a pullback looks possible near 114.80 then 114.05.
GBPJPY remains in a downtrend slipping back under 140.00 toward 139.40. RSI stuck under 50 confirms downward momentum. Next potential support near 138.10 where the 200-day average and a Fibonacci level converge.
EURJPY’s latest upswing appears to be over. Not only did it smack into channel resistance near 122.90 and fall back toward 121.70, the pair appears to have completed a bearish Evening Star over the last three days.
USDCAD is trading between $1.3440 and $1.3490 just below the $1.3500 round number as it attempts to form a top. RSI back under 70 indicates a correction underway. Next downside support near $1.3415 then $1.3375 with next upside resistance near $1.3530.
CMC Markets Singapore may provide or make available research analysis or reports prepared or issued by entities within the CMC Markets group of companies, located and regulated under the laws in a foreign jurisdictions, in accordance with regulation 32C of the Financial Advisers Regulations. Where such information is issued or promulgated to a person who is not an accredited investor, expert investor or institutional investor, CMC Markets Singapore accepts legal responsibility for the contents of the analysis or report, to the extent required by law. Recipients of such information who are resident in Singapore may contact CMC Markets Singapore on 1800 559 6000 for any matters arising from or in connection with the information.