USD has started to backslide lifting the lid off of resource dollars. NZD has broken out while AUD is testing resistance and CAD has been climbing. GBP is also attracting renewed interest with Cable breaking out over $1.2500. In index action, Australia 200 appears to be forming a double top while the US NDAQ and US SmallCap indices have started to roll over.
Asia Pacific Indices
Australia 200 is still running into resistance near 5,800 down from 5,830 and appears to be forming a double top. A lower high in the RSI indicates upward momentum weakening and a correction possible with initial support near 5,760 then 5,720.
Japan 225 remains in a consolidation phase with a symmetrical triangle forming and RSI bouncing around 50. Still above 19,000 the index has been trading between its 19,240 and 19,360 around its 50-day average near 19,260.
Hong Kong 50 is still trading between 24,000 and 24,250. It remains if this is a big double top or a pause within an uptrend but an overbought RSI suggests potential for a correction. Initial support near 24,140 then 24,110.
North American and European Indices
US 30 remains under accumulation breaking through 20,800 and advancing on 20,840. Initial support rises toward 20,790 from 20,700. RSI remains really overbought but also indicates upward momentum intact for now.
US SPX 500 appears to be levelling off near 2,366 with measured resistance possible near 2,373. An overbought RSI and a momentum double top suggest a pause or correction possible with initial downside support near 2,352.
US NDAQ 100 is starting to roll over, sliding back from near 5,355 toward 5,330. RSI overbought and starting to roll over suggests a correction may be starting with next support possible near 5,300 then 5,285.
US Small Cap 2000 is starting to roll over, slipping back under 1,400 causing a recent breakout to fail and slumping back toward 1,392. Next support in a correction possible near 1,388 or the 50-day average near 1,372 appears possible with RSI rolling over again. RSI rollover indicates upward momentum weakening.
UK 100 is still hanging around 7,300 quietly slipping back from 7,330 toward 7,280 with next support possible closer to 7,260 then 7,235. RSI falling toward 50 indicates upward momentum weakening.
Germany 30 continues to encounter resistance near the 12,000 round number sliding back from 12,010 toward 11,960. RSI is not confirming the new high for the index, a negative divergence indicating slowing upward momentum. Next potential pullback support near 11,930 then 11,875.
Gold has resumed its uptrend, clearing $1,240 and advancing on $1,248 where a breakout would complete a bullish ascending triangle. Next upside resistance possible in a Fibonacci cluster between $1,250 and $1,255 then the 200-day average near $1,262. Rising RSI indicates upward momentum increasing.
Crude Oil WTI has cleared $53.85 and is trading near $54.00 having reached $54.60 at one point during the day. This breakout has completed an ascending triangle, signalling the start of a new upleg following a period of consolidation. Next potential resistance near $55.00 then a measured $55.40.
US Dollar Index is still struggling with resistance at its 50-day average near 101.40 with more resistance possible near 101.75 but remains supported at 101.00 for now. RSI bouncing around 50 indicates a sideways trend. Next support in a pullback possible near 100.40 then 100.00.
EURUSD held $1.0500 for now and has bounced back up into the $1.0540 to $1.0580 area but it remains in a downtrend below $1.0585 a Fibonacci level and its 50-day average near $1.0600. RSI suggests a pause underway within a bigger downtrend.
GBPUSD is turning upward once again, breaking out over $1.2500 in a rally up from higher support near and advancing on $1.2545. RSI driving back above 50 confirms an upturn underway with next potential resistance $1.2600 then $1.2685.
NZDUSD is decisively turning back upward today, clearing $0.7200 to break out of a short-term downtrend and complete a double bottom test of 200-day average support RSI back above 50 confirms momentum upturn. Next potential resistance near $0.7240 then $0.7320.
AUDUSD is bumping up against $0.7725 Fibonacci resistance with support moving up toward $0.7700 from $0.7665. Higher lows indicate accumulation while RSI indicates steady upward momentum. Next potential test on a breakout near a measured $0.7805.
USDSGD is testing $1.4050 support which could end in a big breakdown with its next test near the $1.4000 round number, or a double bottom with initial rebound resistance near $1.4125. RSI under 50 and falling indicates downward momentum increasing.
USDJPY appears to be resuming its downtrend with resistance falling toward 113.30 from 114.05 and the pair dropping toward 112.75 with next potential support near 112.35 then 111.25 both Fibonacci levels. RSI still below 50 and falling indicates downward pressure increasing.
GBPJPY is still bouncing around between 140.00 and 142.25 recently trading near 141.40. RSI sitting on 50 confirms current sideways momentum.
EURJPY continues to trend downward with resistance falling toward 119.25 from 119.65 and 120.00 while the pair falls to test 119.00 with next support after that possible near 118.50. RSI under 50 and falling confirms downward pressure increasing.
USDCAD is turning downward again after a rally attempt failed at $1.3200 while resistance at 50 on the RSI held keeping its broader downtrend intact. The pair has dropped back under its 200-day average near $1.3145 toward $1.3115 with next potential support near $1.3070 then $1.3020.
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