Talking Points:
- US Dollar Launches Sharp Recovery, Advances Most in a Month
- S&P 500 Remains Locked in Consolidation Below Range Top
- Crude Oil Stalls at 4-Month High, Gold Prices May Be Topping
Can’t access the Dow Jones FXCM US Dollar Index? Try the USD basket on Mirror Trader. **
US DOLLAR TECHNICAL ANALYSIS – Prices launched a swift recovery after dipping to the lowest level in a month. A daily close above 12027, the intersection of trend line support-turned-resistance and the 23.6% Fibonacci expansion, exposes the 38.2% level at 12089. Alternatively, a move below the 14.6% expansion at 11989 opens the door for a challenge of the 50% Fib retracement at 11950.
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 continue to hover below resistance in the 2111.00-19.40 area (23.6% Fibonacci expansion, February 25 high). A break above that on a daily closing basis exposing the 38.2% level at 2154.90. Alternatively, a reversal below the 14.6% Fib at 2084.00 targets the March 12 low at 2040.10.
Daily Chart - Created Using FXCM Marketscope
GOLD TECHNICAL ANALYSIS – Prices may be carving out a bearish Head and Shoulders top chart pattern. Confirmation is required on a daily close below 1185.23, the 23.6% Fibonacci expansion, with the first downside target thereafter coming in the 38.2% level (1161.16). Near-term resistance is at 1224.15, the April 6 high.
Daily Chart - Created Using FXCM Marketscope
CRUDE OIL TECHNICAL ANALYSIS – Prices are treading water after narrowly overcoming resistance in the 62.98-63.56 area (February 17 high, 61.8% Fibonacci expansion). Near-term resistance is at 66.16, the 76.4% level, with a break above that exposing the 100% level at 70.36. Alternatively, a turn back below 62.98 targets the 50% Fib at 61.45.
Daily Chart - Created Using FXCM Marketscope
--- Written by Ilya Spivak, Currency Strategist for DailyFX.com
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