Talking Points:
- US Dollar Chart Setup Hints Prices May Reverse Downward
- SPX 500 Extends Sharp Rebound, Takes Aim at December Top
- Crude Oil Stalling at $50 Figure, Gold Prices Treading Water
Can’t access the Dow Jones FXCM US Dollar Index? Try the USD basket on Mirror Trader. **
US DOLLAR TECHNICAL ANALYSIS – Prices may be preparing to turn lower after prices put in a Shooting Star candlestick. A daily close below the 50% Fibonacci expansionat 11648 exposes the 38.2% level at 11577. Alternatively, a push above the 61.8% Fib at 11719 opens the door for a challenge of the 76.4% expansion at 11807.
Daily Chart - Created Using FXCM Marketscope
** The Dow Jones FXCM US Dollar Index and the Mirror Trader USD basket are not the same product.
S&P 500 TECHNICAL ANALYSIS – Prices are attempting to launch a recovery after topping as expected. A break above the 2079.60-94.70 area marked by the December 5 high and the 38.2% Fibonacci expansion exposes the 50% level at 2126.90. Alternatively, a reversal below the 23.6% Fib at 2054.70 targets the 14.6% expansion at 2030.10.
Daily Chart - Created Using FXCM Marketscope
GOLD TECHNICAL ANALYSIS – Prices have transitioned into consolidated mode after reclaiming a foothold above the 1200/oz figure. A break back below the 38.2% Fibonacci expansion at 1208.13 aims for rising trend line support at 1181.76. Alternatively, bullish resumption that takes prices through the 50% level at 1220.88 targets the 61.8% Fib at 1233.62.
Daily Chart - Created Using FXCM Marketscope
CRUDE OIL TECHNICAL ANALYSIS – Prices found support at the psychologically significant $50/barrel figure, a barrier reinforced by the 61.8% Fibonacci expansion at 49.37. A break below that on a daily closing basis exposes the 76.4% level at 46.00. Alternatively, a turn above the 50% Fib at 52.10 targets the 38.2% expansion at 54.20.
Daily Chart - Created Using FXCM Marketscope
--- Written by Ilya Spivak, Currency Strategist for DailyFX.com
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