It looks like the recent selloff in gold and the Yen is over and a rebound starting with JPY pairs peaking and gold bouncing off a bottom. Indices are mixed with Hong Kong 50 and UK 100 still climbing but Australia 200 and Japan 225 showing signs of exhaustion.
Asia Pacific indices
Australia 200 continues to slide, with resistance falling toward 5,875 and the index falling toward 5,825 and its 50-day average. RSI has broken under 50 to signal a downturn which a break by the index under 5,800 would confirm with next potential support near 5,660.
Hong Kong 50 finished last week strong with a rally up from 25,170 toward 25,300. Next upside tests appear near the 25,500 round number then a measured 25,700. Additional support near 25,000. Rising RSI confirms increasing upward momentum.
Japan 225 appears to be rolling over, dropping back toward 19,790 from 19,900 as it continues to reel back from a failed attempt to break through the 20,000 barrier. RSI back under 70 signals a correction starting with next potential support near 19,695 the recent breakout point.
North American and European Indices
US 30 is still rolling over and falling away from 21,000 sliding into the 20,870 to 20,900 zone. RSI falling toward 50 indicates uptrend fading and a downturn pending. Initial support at the 50-day average near 20,790 followed by the 20,630 to 20,670 area.
US SPX 500 is still sliding down from 2,400 and it increasingly looks like a bull trap peak has been put in place. The index is trading near 2,390 with next potential support at the 50-day average near 2,365. RSI falling toward 50 indicates a downshift from upward to neutral underway with a deeper downturn possible.
US NDAQ 100 is sitting just below 5,690 resistance trading near 5,670. Lower highs indicate profit-taking while an overbought and falling RSI indicates potential for a correction with initial support possible near 5,607 a 23% retracement of the recent rally.
UK 100 continues to climb, clearing, 7,400, former shoulder resistance with its next upside test near 7,445 its March peak. Support rises toward 7,392 while rising RSI confirms increasing upward momentum.
Germany 30 is still stuck between 12,700 and 12,900 trading near the bottom of that range consolidating recent advances. RSI slipping under 70 suggests upward momentum fading and a correction possible with next potential support near 12,605 then 12,500.
Gold is starting to turn back upward, with support moving up toward $1,225 from $1,220 and the price advancing on $1,230 with next potential resistance near $1,238 then a moving average cluster near $1,245. RSI rising up from 30 indicates downward pressure easing.
Crude Oil WTI has encountered some resistance near $48.00 but at the same time, remains in an upswing holding above $47.50 with more support possible near $46.80. Next potential resistance at the 200-day average near $49.00.
US Dollar Index is holding steady near 99.55, above its recent 99.00 breakout point but below its 10-day average and the 100.00 round number. RSI sitting on 50 confirms current sideways momentum.
EURUSD appears to be settling into a $1.0800 to $1.1000 sideways trading range. The pair recently bounced up off of its $1.0870 toward $1.0930 with more support in place near $1.0820 the 200-day average. RSI holding 50 confirms the underlying uptrend.
GBPUSD has slipped back under $1.2900 and with RSI rolling over, a correction appears to be underway with support possible in the $1.2820 to $1.2840 area. Meanwhile the 50-day average is approaching a golden cross of the 200-day average.
NZDUSD is sending mixed signals. The pair remains in a downtrend with resistance falling from $0.6945 toward $0.6875 with next support in the $0.6800 to $0.6820 area. RSI stuck under 50 and falling indicates continued distribution.
AUDUSD peeked up above $0.7390 toward $0.7225 but then dropped back. RSI suggests downward pressure easing but it needs to trade consistently back above $0.7400 to indicate a bounce has started. Next resistance possible at a Fibonacci cluster between $0.7440 and $0.7460.
USDSGD has started to roll over, falling back under $1.4085 a Fibonacci level, back toward $1.4040 but is holding above $1.4000 and a moving average cluster. RSI falling toward 50 indicates upward momentum fading.
USDJPY appears to be peaking for now. Resistance has emerged near 114.40 and the pair has slipped back under 114.00 toward 113.35 a Fibonacci level. Next support possible near 113.00 then 112.15 with next resistance possible near 114.60.
GBPJPY appears to have started an overdue correction within an uptrend. The pair has dropped back into the 145.80 to 146.20 area from 147.95 resistance. RSI falling back under 50 from overbought territory signals upward momentum has peaked. Next potential support near 145.10 a 23% retracement of the recent uptrend and 145.00.
EURJPY has levelled off between 123.40 and 124.40 and appears to be starting to consolidate a recent rally and work off an overbought RSI. Next resistance near 125.00 a round number with next support possible near 123.00 a former resistance level.
USDCAD is sitting on $1.3700 as it bounces around between $1.3650 and $1.3800 consolidating a recent advance at a higher level. RSI back under 70 indicates upward momentum slowing but so far this appears to be a pause within an ongoing uptrend.
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.