Capital is moving back into defensive havens in a big way. Gold is breaking out of a cup with handle base while JPY is breaking out against USD, EUR and JPY. EUR is starting to struggle in general along with the Germany 30 which is leading indices lower.
Asia Pacific Indices
Australia 200 is trading below its 50-day average and testing 5,600 support where a failure would complete a descending triangle and signal the start of a new downtrend. Next potential support appears near 5,500 then the 200-day average near 5,440. Initial rebound resistance possible near 5,665 a lower high. RSI under 50 and falling signals downward pressure growing.
Japan 225 is breaking down day, diving down from 50-day average resistance near 19,085 through the 19,000 round number and on toward 19,850 RSI falling away from 50 confirms downward momentum increasing. Next potential support near 18,660 its January low.
Hong Kong 50 continues to consolidate recent gains between 23,000 and 23,500 recently trading between 23,280 and 23,320 having dropped down from 23,380. RSI confirms upward momentum levelling off and a downturn possible.
North American and European Indices
US 30 is still above 20,000 for now but showing signs of exhaustion again with the index peaking at a lower high near 20,090 and falling back into the 20,030 to 20,050 area. Next support on a breakdown possible near 19,970 then 19,850. RSI sending mixed signals falling toward 50 but not breaking it.
US SPX 500 is struggling with 2,300 resistance and appears to be forming a double top to go along with the head and shoulders top in its RSI indicator, both signs indicating the recent uptrend appears to have peaked and a retreat possible. Recently trading near 2,290, next potential support appears possible near 2,282 then 2,252,
US NDAQ 100 is still bouncing around between 5,100 and 5,170 trying to decide whether it’s topping or if this is a consolidation phase within an ongoing uptrend. Next potential resistance near a measured 5,240 with next support possible near the 5,000 round number.
UK 100 tried to retake 7,200 but has failed on its initial attempt peeking up toward 7,210 before sliding back toward 7,170. RSI bouncing around 50 indicates a sideways trend emerging. Initial support tests near 7,165 then 7,125.
Germany 30 increasingly looks like it’s breaking down. The index has dropped from 11,660 down below 11,500 while RSI has broken down below 50 to confirm a downturn in momentum. Next potential support near 11,445 then the 50-day average near 11,360.
Gold is breaking out of a cup with handle base today, rallying up off of $1,220 through $1,229 a Fibonacci level. Next potential resistance on trend appears near $1,235 the $1,250-$1,255 area. RSI above 60 and rising indicates upward momentum accelerating.
Crude Oil WTI has tumbled back from near $53.50 toward $52.50 but continues to form an ascending triangle of higher lows below $54.20. The price trending higher above its 50-day average near $51.45 and RSI holding above 50 also confirm underlying accumulation. Next potential resistance near $55.00 with support near $53.35.
US Dollar Index is testing the 100.00 round number again with resistance falling toward 100.10 from 100.30 but support rising toward 99.65 from 99.50 and 99.15.
EURUSD is starting to break down. After confirming $1.0800 resistance, the pair dropped to test $1.0720 a Fibonacci level before settling near $1.0750. RSI rolling over confirms the recent uptrend has peaked and a downturn underway. Next potential support near $1.0640 then $1.0600 and the 50-day average.
GBPUSD is still in a downdraft trading below $1.2500 near $1.2475 but downward momentum appears to be slowing with the RSI holding 50 and the pair holding above its 50-day average near $1.2410. So far this appears to be a pause within an emerging uptrend.
NZDUSD is trading just above $0.7300 in a range between $0.7240 and $0.7350. A symmetrical triangle of lower highs and higher lows suggests consolidation within an uptrend. Next potential resistance near $0.7400 with next potential support near $0.7200.
AUDUSD is starting to encounter some resistance in the $0.7700 to $0.7725 area. It has slipped back toward $0.7650 and remains in an uptrend above $0.7600. It may pause in the near term to work off a slightly overbought RSI.
USDSGD remains in a downtrend, consolidating recent losses in a range between$1.4040 and $1.4140. RSI flat near 40 indicates steady distribution. Next potential support near the $1.4000 round number then $1.3950 a Fibonacci level.
USDJPY is breaking down today, falling from a lower high near 112.60 through 112.35 a Fibonacci level and on toward 111.80 with next potential support near 111.25 then 110.00. RSI remaining below 50 and turning down again confirms distribution trend. Resistance falls toward 112.15.
GBPJPY is breaking down today, taking out the 140.00 round number and its 200-day moving average to signal the start of a downtrend. RSI under 50 and falling confirms momentum turning increasingly downward. Next potential support near 139.00 then 138.10 a Fibonacci test.
EURJPY is breaking down today, taking out 121.00 a former channel bottom and Fibonacci level, and diving down to test the 120.00 round number. RSI falling away from 50 confirms downward momentum increasing. Next potential support near 119.10 a 38% retracement of its previous uptrend.
USDCAD bounced up from $1.3010 toward where it retested resistance at its 200-day average but has since resumed its confirmed downtrend sliding back toward $1.0390. RSI under 50 confirms downward momentum. Next support in place between the $1.3000 round number and $1.2975 a Fibonacci level. Next upside resistance near $1.3170.
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