THE TAKEAWAY: The US Dollar continues to push higher, touching the highest levels in nearly two years, while SP 500 struggles to maintain momentum at chart resistance.
US DOLLAR TECHNICAL ANALYSIS– Prices broke above resistance at 10588, the 23.6% Fibonacci expansion, exposing the 38.2% level at 10710. A further push higher beyond that aims for the 50% mark at 10809. The 10588 mark has been recast as near-term support.
Daily Chart – Created Using FXCM Marketscope 2.0
SP 500 TECHNICAL ANALYSIS – Prices put in a Harami candlestick pattern below resistance at 1633.20, the 38.2% Fibonacci expansion, hinting a move lower may be ahead. Near-term support is marked by the psychologically significant 1600 figure and the 23.6% level at 1595.90. A break below that initially exposes the 14.6% Fib at 1572.90. Alternatively, a reversal above resistance eyes the 50% expansion at 1663.30.
Daily Chart – Created Using FXCM Marketscope 2.0
GOLD TECHNICAL ANALYSIS – Prices are testing below support at 1448.77, the 14.6% Fibonacci retracement to challenge the 23.6% level at 1424.59. A break below the latter level on a daily closing basis exposes the 1400/oz figure and the 38.2% Fib at 1385.36. Near-term resistance is at 1487.65, the 61.8% Fib expansion.
Daily Chart – Created Using FXCM Marketscope 2.0
CRUDE OIL TECHNICAL ANALYSIS– Prices put in a Harami candlestick pattern below falling trend line set from early January, hinting a turn lower may be ahead. Near-term support is at 94.16, marked by a rising trend line set from the April 18 low, with a push beneath that aiming for the 38.2% Fibonacci retracement at 92.71. Alternatively, a push above the trend line (now at 96.63) aims for the 38.2% Fib expansion at 97.73.
Daily Chart – Created Using FXCM Marketscope 2.0
— Written by Ilya Spivak, Currency Strategist for Dailyfx.com
To contact Ilya, e-mail ispivak@dailyfx.com. Follow Ilya on Twitter at @IlyaSpivak
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