Talking Points:
- US Dollar Trying to Rise After First Positive Close in Feb
- SP 500 Still Treading Water Below 2013 Yearly High
- Crude Oil Tops Dec’13 High, Gold Recoils at Trend Line
Can’t access to the Dow Jones FXCM US Dollar Index? Try the USD basket on Mirror Trader. **
US DOLLAR TECHNICAL ANALYSIS – Prices are edging higher after putting a Hammer candlestick. Initial resistance is at 10576, the 23.6% Fibonacci retracement, with a break above that exposing the 38.2% level at 10610. Near-term support is at 10520, the February 17 swing low.
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 are in the midst of the longest string of consecutive daily gains in seven months. Buyers are testing resistance in the 1840.20-47.90 area, marked by the 50% Fibonacci expansion and the index’s 2013 closing high. Breaking above this boundary initially targets the 61.8% level at 1864.30. Alternatively, a reversal below support in the 1805.70-20.60 area aims for a horizontal pivot level at 1773.40.
Daily Chart – Created Using FXCM Marketscope 2.0
GOLD TECHNICAL ANALYSIS – Prices are recoiling from trend line resistance set from April 2013. A break below initial support at 1295.85, the 23.6% Fibonacci retracement, exposes the 38.2% level at 1273.49. Trend line resistance is currently at 1328.07.
Daily Chart – Created Using FXCM Marketscope 2.0
CRUDE OIL TECHNICAL ANALYSIS – Prices narrowly edged above resistance at 100.73, the December 27 high, exposing the February 12 top at 101.36 and the 76.4% Fibonacci expansion at 101.86. A break above the latter level exposes the 100% level at 103.59. Alternatively, move back below 100.73 sees initial support at 99.88, the 14.6% Fib retracement.
Daily Chart – Created Using FXCM Marketscope 2.0
— Written by Ilya Spivak, Currency Strategist for DailyFX.com
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