Talking Points:
- US Dollar Continues to Oscillate in a Familiar Range
- SP 500 Selloff Meets Initial Fibonacci Support Level
- Crude Oil Rebound Sees Next Resistance Below $100
Can’t access to the Dow Jones FXCM US Dollar Index? Try the USD basket on Mirror Trader. **
US DOLLAR TECHNICAL ANALYSIS – Prices are consolidating below resistance in the 10641-53 area marked by the November 12 high and the 23.6% Fibonacci expansion. Support is at 10589, the 23.6% Fib retracement. A break upward aims for the 38.2% expansion at 10839. Alternatively, a move below 10589 eyes the 38.2% retracement at 10544.
Daily Chart – Created Using FXCM Marketscope 2.0
** The Dow Jones FXCM US Dollar Index and the Mirror Trader USD basket are not the same product.
SP 500 TECHNICAL ANALYSIS – Prices broke lower as expected, completing a Rising Wedge chart formation. Initial support is at 1788.80, the 14.6% Fibonacci retracement, with break below that targeting the 23.6% level at 1773.90. Near-term resistance is at 1813.10, the November 29 high.
Daily Chart – Created Using FXCM Marketscope 2.0
GOLD TECHNICAL ANALYSIS – Prices put in a bullish Morning Star candlestick pattern, hinting a move higher is ahead. Early signs of positive RSI divergence reinforce the case for an upside scenario. Resistance is in the 1237.57-51.54 area, marked by the 23.6% Fibonacci retracement and the October 15 low. A break above that initially targets the 38.2% level at 1268.98. Near-term support is at 1211.67, the December 4 low.
Daily Chart – Created Using FXCM Marketscope 2.0
CRUDE OIL TECHNICAL ANALYSIS– Prices continued higher as expected after breaking resistance at the top of a falling channel set from late August. A break above 96.57, the 23.6% Fibonacci retracement, has exposed the 38.2% level at 99.56. Alternatively, turning back below 96.57 aims for horizontal resistance-turned-support at 96.57.
Daily Chart – Created Using FXCM Marketscope 2.0
— Written by Ilya Spivak, Currency Strategist for DailyFX.com
To receive Ilya’s analysis directly via email, please SIGN UP HERE
Contact and follow Ilya on Twitter: @IlyaSpivak