THE TAKEAWAY: The US Dollar was rejected sharply lower at technical resistance while SP 500 positioning points to indecision, warning of possible weakness ahead.
US DOLLAR TECHNICAL ANALYSIS– Prices recoiled from resistance below the 23.6% Fibonacci expansion at 10547, slipping back below the 14.6% level at 10487 and exposing a formerly broken rising channel top at 10440. A drop beneath that eyes the April 2 low at 10391. Alternatively, a reversal back above 10487 targets 10547 anew.
Daily Chart – Created Using FXCM Marketscope 2.0
SP 500 TECHNICAL ANALYSIS – Prices put in a Spinning Top candlestick below resistance at 1573.30, the 38.2% Fibonacci expansion, pointing to indecision and hinting a move lower may be ahead. Near-term support is at 1560.10, the 23.6% Fib, with a move back below that eyeing the 14.6% expansion at 1552.00. Alternatively, a break above resistance exposes the 50% level at 1583.90.
Daily Chart – Created Using FXCM Marketscope 2.0
GOLD TECHNICAL ANALYSIS – Prices rebounded as expected after putting in a Hammer candlestick. The bulls have now cleared the 23.6% Fibonacci expansion at 1583.37, exposing the 14.6% level at 1596.19. A further push above that aims for rising trend line support-turned-resistance at 1604.64. The 1583.37 mark has been recast as near-term support, with a move back below that eyeing the 38.2% Fib at 1562.58.
Daily Chart – Created Using FXCM Marketscope 2.0
CRUDE OIL TECHNICAL ANALYSIS– Prices bounced from support at 91.96, the 38.2% Fibonacci expansion. Near-term resistance is at 94.35, marked by the underside of a formerly broken rising trend line and the 23.6% level. A break above that broadly exposes falling trend line at 97.52. Alternatively, a reversal beneath support targets the 50% expansion at 90.03.
Daily Chart – Created Using FXCM Marketscope 2.0
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— Written by Ilya Spivak, Currency Strategist for Dailyfx.com
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