US Dollar Range Holding, SPX 500 Rally May Be Losing Steam

| 6 mars, 2014 | 0 kommentarer

Talking Points:

  • US Dollar Still Consolidating Above Familiar Trend Support
  • SP 500 Bullish Momentum Might Be Starting to Dissipate
  • Crude Oil Turns Lower as Expected, Gold Prices May Follow

Can’t access to the Dow Jones FXCM US Dollar Index? Try the USD basket on Mirror Trader. **

US DOLLAR TECHNICAL ANALYSISPrices are still struggling to find direction, with trading locked in a narrow consolidation range above support at a rising trend line set from September 2012. A break above resistance at 10614, the 23.6% Fibonacci expansion, initially exposes the 38.2% level at 10673. Trend line support is now at 10559, with a reversal below that eyeing the February 17 low at 10520.

Forex_US_Dollar_Range_Holding_SPX_500_Rally_May_Be_Losing_Steam_body_Picture_5.png, US Dollar Range Holding, SPX 500 Rally May Be Losing Steam

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 ANALYSISPrices recovered above the 23.6% Fibonacci expansion at 1863.60 to test rising channel top resistance at 1879.40. This barrier is reinforced by the 38.2% level at 1881.30. A break above the latter boundary exposes the 50% Fib at 1895.70. Emerging negative RSI divergence warns of ebbing bullish momentum and hints a turn lower may be ahead however. Sliding back below 1863.60 opens the door for another test of the channel floor, now at 1847.40.

Forex_US_Dollar_Range_Holding_SPX_500_Rally_May_Be_Losing_Steam_body_Picture_6.png, US Dollar Range Holding, SPX 500 Rally May Be Losing Steam

Daily Chart – Created Using FXCM Marketscope 2.0

GOLD TECHNICAL ANALYSIS – Prices put in a bearish Dark Cloud Cover candlestick pattern below resistance at a falling trend line set from April 2013, hinting a turn lower may be ahead. Negative RSI divergence bolsters the case for a downside scenario. Breaking below the 23.6% Fibonacci retracement at 1313.14 exposes the 38.2% level at 1287.48. Trend line resistance is now at 1356.08.

Forex_US_Dollar_Range_Holding_SPX_500_Rally_May_Be_Losing_Steam_body_Picture_7.png, US Dollar Range Holding, SPX 500 Rally May Be Losing Steam

Daily Chart – Created Using FXCM Marketscope 2.0

CRUDE OIL TECHNICAL ANALYSIS – Prices turned lower as expected after forming a bearish Dark Cloud Cover candlestick pattern. Sellers have moved to challenge support at 101.73, the December 27 high, a barrier reinforced by the 38.2% Fibonacci retracement at 99.85. A break below the latter level exposes the 50% Fib at 98.20. Alternatively, a turn back above the 23.6% retracement at 101.89 eyes rising trend line support-turned-resistance at 103.15.

Forex_US_Dollar_Range_Holding_SPX_500_Rally_May_Be_Losing_Steam_body_Picture_8.png, US Dollar Range Holding, SPX 500 Rally May Be Losing Steam

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

Taggar: ,

Kategori: Analys från DailyFX

Om skribenten ()

DailyFX från FXCM ger dig dagligen färska tekniska analyser på valuta och råvaror. FXCM är en ledande handelsplattform för trading av finansiella tillgångar med kraftfulla verktyg för alla sorters handel.

Lämna ett svar

Din e-postadress kommer inte publiceras. Obligatoriska fält är märkta *