Talking Points:
- US Dollar Continues to Tread Water in a Narrow Range
- S&P 500 Resumes Upward Push, Sets New Record High
- Crude Oil in Digestion Mode, Gold Attempting Recovery
Can’t access the Dow Jones FXCM US Dollar Index? Try the USD basket on Mirror Trader. **
US DOLLAR TECHNICAL ANALYSIS – Prices are struggling to find follow-through after falling as expected having formed a bearish Evening Star candle pattern. Near-term support is at 11740, the 14.6% Fibonacci retracement, with a break below that on a daily closing basis exposing the 23.6% level at 11653. Alternatively, a reversal above the 11854-76 zone (14.6% Fib expansion, March 2009 high) opens the door for a challenge of the 23.6% expansion at 11963.
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 resumed their upward push after a brief period of consolidation, rising to set yet another record high. A daily close above the 38.2% Fibonacci expansion at 2131.30 exposes the 50% level at 2145.70. Alternatively, a reversal below the 23.6% Fib at 2113.60 targets the 14.6% expansion at 2102.60.
Daily Chart - Created Using FXCM Marketscope
GOLD TECHNICAL ANALYSIS – Prices are attempting to launch a recovery from support at 1197.86, the 61.8% Fibonacci retracement. The reversal requires a push above a major resistance cluster in the 1209.67-18.80 area, marked by a falling channel top, the underside of a recently broken trend line and the 50% Fibonacci retracement. If a break does materialize, the next upside barrier comes in at 1239.73, the 38.2% level. Alternatively, a turn below 1197.86 aims for the intersection of channel floor support and the 76.4% Fib at 1171.96.
Daily Chart - Created Using FXCM Marketscope
CRUDE OIL TECHNICAL ANALYSIS – Prices remain in digestion mode after an expected recovery found resistance below the $63/barrel figure. A break below the 58.17-78 area marked by the February 9 close and the 23.6% Fibonacci retracement exposes the 38.2% level at 56.18. Alternatively, a turn above the 14.6% Fib at 60.38 targets the February 17 high at 62.98.
Daily Chart - Created Using FXCM Marketscope
--- Written by Ilya Spivak, Currency Strategist for DailyFX.com
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