Talking Points:
- US Dollar Pressured Lower Toward March Swing Bottom
- SP 500 Recoils from 1900 Figure, Eyes Channel Floor
- Gold Rebounds as Expected, Crude Oil Forming Triangle
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 lower within the confines of a falling channel.Near-term support is in the 10495-500 area, marked by the 38.2% Fibonacci expansion and the March 19 low. A break below this boundary aims for the channel bottom at 10488, followed by the 50% level at 10470. Alternatively, a push above the channel top at 10573 aims for the 38.2% Fib retracement at 10595.
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 recoiled downward having found resistance below the 1900.00 figure. Rising channel support lines up at 1851.40, with a break below that initially targeting the 38.2% Fibonacci retracement at 1837.50. Channel top resistance is now at 1896.20
Daily Chart – Created Using FXCM Marketscope 2.0
GOLD TECHNICAL ANALYSIS – Prices turned higher as expected after putting in a Bullish Engulfing candlestick pattern above support at 1273.88, the 38.2% Fibonacci expansion. Near-term resistance is at 1319.01, the 23.6% level, with a break above that aiming for trend line support-turned-resistance at 1357.89. Alternatively, a reversal below support eyes the 50% Fib at 1237.40.
Daily Chart – Created Using FXCM Marketscope 2.0
CRUDE OIL TECHNICAL ANALYSIS – Prices are consolidating within the confines of a Triangle pattern, a setup hinting at upward trend continuation. Confirmation requires a daily close above the formation’s top, now at 101.18, with a break initially exposing the March 28 high at 102.21. Alternatively, a push through support at 100.36, the 23.6% Fibonacci expansion, exposes the 99.21-40 area marked by the Triangle bottom and the 38.2% level.
Daily Chart – Created Using FXCM Marketscope 2.0
— Written by Ilya Spivak, Currency Strategist for DailyFX.com
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