Having completed double bottom bases against USD and JPY, GBP is starting to roar back to life, embarking on a new recovery trend. Meanwhile, WTI continues to rally toward the top of its $40-$50 trading range. JPY which had lagged earlier on is starting to take advantage of USD weakness with USDJPY testing the 100.00 big round number.
Asia Pacific Indices
Australia 200 continues to bounce around between 5,480 and 5,570 although RSI breaking under 50 indicates momentum may be starting to turn downward. Next potential support on a breakdown near 5,450 a previous breakout point.
Japan 225 is still rolling over as it falls away from 17,000 with resistance falling toward 16,560 and the index testing 16,500 with next potential support near 16,450 and 16,330 a Fibonacci level. RSI testing 50 where a break would confirm a downturn in momentum.
Hong Kong 50 remains under accumulation breaking out over 23.000 and advancing on 23,130. An overbought RSI suggests potential for a retest or a correction at some point. Initial support near 23,090.
North American and European Indices
US 30 is still bouncing around between 18,470 and 18,670 as upward momentum fades and a double top emerges, recently drifting down toward the 18,530 to 18,570 area. Next downside support possible near 18,360.
US NDAQ 100 is sitting just above 4,800 as it trades in a 4,770 to 4,830 range while working off overbought RSI conditions which are starting to ease.
US SPX 500 is bouncing around within a 2,170 to 2,190 consolidation range with next downside support possible near 2,150 then 2,135 and next resistance near the 2,200 round number.
UK 100 has dropped back from above 6,900 toward 6,850 with next potential support near 6,785 a previous resistance level. RSI under 70 and falling indicates a trading correction within an uptrend underway.
Germany 30 continues its trading correction, drifting back down toward the 10,550 – 10,600 area while resistance falls back toward 10,630. Next potential support near 10,495 where a recent breakout point could be retested. Falling RSI indicates cracks in recent uptrend growing.
Gold is loitering around $1,350 as an ascending triangle continues to form below $1,375 with the price currently in a $1,330 to $1,365 range. RSI holding 50 confirms underlying uptrend remains intact.
Crude Oil WTI continues to power ahead with the price driving up from near $47.00 through $47.50 and on toward $48.30 with next resistance looming near $49.10 then the $50.00 round number. RSI confirms upward momentum still increasing.
US Dollar Index remains under pressure falling away from a failed attempt to retake 95.00 back toward 94.30 well into the lower half of a 94.00 to 96.00 trading range. Falling RSI indicates downward pressure increasing with next potential support near 93.70.
EURUSD keeps steadily climbing, clearing $1.1300 and advancing on $1.1350 with next potential resistance near $1.1400. Rising RSI confirms upward momentum increasing.
GBPUSD is rallying today up off of $1.3050 support toward $1.3170. RSI bumping up against 50 where a breakout would confirm an upturn in momentum. Next potential resistance near $1.3310 a 23% retracement of the Brexit vote selloff.
NZDUSD is bumping up against $0.7300 where a breakout would complete a bullish ascending triangle that has been forming with next potential resistance near a measured $0.7450 then the $0.7500 round number. Rising RSI confirms upward momentum increasing.
AUDUSD remains under accumulation in a trend of higher lows with the pair near $0.7690 and support near $0.7600. Initial resistance appears near $0.7760 followed by the April high near $0.7830.
USDSGD is sitting on $1.3400 as it continues to base build in the $1.3340 to$1.3480 range below its 50-day average.
USDJPY is starting to break down again sliding back under the 100.00 round number toward 99.85 with next potential support near 99.50 then the June low near 98.80. Falling RSI confirms downward pressure increasing.
GBPJPY continues to rally up off 130.00 confirming a double bottom in place. RSI turning up toward 50 confirms downward pressure relenting. The pair has advance don 132.00 with next potential resistance near 133.60 initially.
EURJPY is trading near 113.40 in the upper half of a 112.00 to 114.00 trading range. RSI creeping toward 50 indicates downward pressure weakening.
CADJPY has dropped back from near 78.50 toward 78.00 sitting near the middle of a broader 76.00 to 80.00 trading range with next potential support near 77.50.
USDCAD remains in a downtrend with resistance falling toward $1.2880 from $1.2920 and the pair dropping to test $1.2760 with next potential support near $1.2670. RSI under 50 and dropping confirms downward momentum accelerating.
CMC Markets is an execution-only service provider. The material (whether or not it states any opinions) is for general information purposes only, and does not take into account your personal circumstances or objectives. Nothing in this material is (or should be considered to be) financial, investment or other advice on which reliance should be placed. No opinion given in the material constitutes a recommendation by CMC Markets or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person.
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.