Crude oil staged a major technical breakdown today with WTI plunging down toward $45.00 while gold extended its selloff following a big breakdown yesterday. Germany 30 reached a new high but Japan 225 failed at channel resistance and the Australia 200, Hong Kong 50, US 30 and US SPX 500 confirmed double tops. EUR has been strong gaining on USD and GDP, Yen trading was mixed while AUD and NZD remain under pressure.
Asia Pacific Indices
Australia 200 continues to roll over, falling away from a double top near 5,955, dropping back under 5,900 and falling toward 5,870 while RSI falling toward 50 indicates upward momentum weakening. Initial support possible in the 5,815 to 5,835 area between the 50-day average and recent breakout point followed by 5,795 the April low.
Japan 225 ran into channel resistance near 19.695 but failed to break through and has turned back downward, falling into the 19,500 to 19,570 area. RSI near overbought and flattening suggests upward momentum stalling for now. Next resistance on a breakout near the 20,000 round number with next support near 19,400.
Hong Kong 50 failed to break through 24,765 resistance, completing a double top and has started to decline, dropping back into the 24.580 to 24.640 area. RSI suggests upward momentum starting to weaken. Next potential support near 24,500 then 24,460.
North American and European Indices
US 30 briefly regained 21,000 but failed to hold it and faltered well short of the 21,230 level, keeping a double top intact. Trading near 20,925 next potential support appears near 20,900 then the 50-day average near 20,760.
US SPX 500 is still bouncing around between 2,380 and 2,400 keeping a double top in place. Flat RSI confirms sideways momentum. Next resistance on a breakout possible near 2,420 with next support at the 50-day average near 2,365.
US NDAQ 100 is holding above 5,600 but at the same time, despite morning gains, it remains stuck below its recent high near 5,645. Next resistance on a breakout possible near 5,690 with next support near 5,575. RSI is overbought and suggests upward momentum levelling off with the risk of a correction.
UK 100 popped up toward 7,280 but has dropped back from a lower high back under 7,260 the neckline of a completed head and shoulders top. Next support near 7,200 with next resistance near 7,300 and the 50-day average. RSI still under 50 keeps its downtrend intact, it needs to break out to signal an upturn.
Germany 30 is breaking out today, clearing 12,535 and rallying toward 12,635 with next measured resistance possible near 12,690. RSI is getting overbought but for now is confirming increasing upward momentum.
Gold continues to retreat building on Wednesday’s big breakdown that took out $1,250 plus its 50 and 200-day averages. Resistance has dropped toward $1,240 with the price falling toward $1.228. Next potential support near $1,220 a Fibonacci level. Falling RSI confirms increasing downward momentum.
Crude Oil WTI plunged after support in the $46.55 to $47.00 area failed. The price then accelerated downward quickly diving down toward the $45.00 round number while initial resistance dropped toward $45.65. RSI is getting really oversold, but so far is confirming downward pressure. Next support possible near $44.65.
US Dollar Index failed to break through 99.30 resistance and turned back downward, dropping back toward 98.65 but holding 98.55 channel support. So far this appears to be a pause within a bigger downtrend with next potential support near a measured 97.85.
EURUSD is breaking out today, clearing $0.0950 to complete and ascending triangle and signal the start of a new upleg. Next potential resistance appears in the $1.1000 to $1.1020 area where a round number, measured move and Fibonacci level cluster together.
GBPUSD’s consolidation range continues to widen with the pair dropping toward $1.2830 before finding support and rebounding back up toward $1.2920. RSI indicates upward momentum shifting toward neutral in a normal consolidation phase. Next resistance near $1.2950 then $1.3000.
NZDUSD is testing $0.6840 support which has held for now but the pair remains in a downtrend with resistance falling toward $0.6865 from $0.6890. Next support possible near $0.6800 then $0.6755. RSI still well under 50 confirms ongoing distribution.
AUDUSD remains under pressure following a plunge under $0.7500 toward $0.7440 with a drop toward the $0.78400 level. RSI falling away from 50 signals downward pressure increasing. Next potential support near $0.7390 a Fibonacci level then $0.7350.
USDSGD is breaking out today, with the pair clearing $1.4000 and the RSI breaking out over 50 to confirm momentum turning upward. Initial resistance appears at the 50-day average near $1.4020 then $1.4085 a Fibonacci level. Support in place near $1.3975.
USDJPY’s latest rally may be starting to run out of gas. The pair peeked above 112.70 but ran into resistance near 113.00 short of 113.35 a Fibonacci level. It then reversed downward, falling toward 112.40 with next support possible near 112.15 then 111.70, a Fibonacci level then the 50-day average.
GBPJPY has settled back toward 145.00 having encountered some resistance near 145.70. With RSI overbought and levelling off, the recent rally appears to be winding down and a pause or correction possible. Next support possible near 144.60 then 144.00.
EURJPY has rallied up into a big resistance test near 124.00 the top of a channel where it peaked back in December. RSI is really overbought but still confirming upward momentum for now. In a correction, initial support may appear near 123.20 then 122.60.
USDCAD remains under accumulation with support rising form $1.3680 to $1.3700 and the pair advancing on $1.3770. Next resistance appears possible near $1.3830 a Fibonacci level. Overbought RSI suggests potential for a pause or correction at some point but for now its uptrend continues.
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