Talking Points:
- US Dollar Accelerates Downward, Moves to Lowest in 4 Months
- S&P 500 in Consolidation Mode But Bearish Chart Cues Remain
- Crude Oil Stalling Above $64, Gold Rallies Most in Two Weeks
Can’t access the Dow Jones FXCM US Dollar Index? Try the USD basket on Mirror Trader. **
US DOLLAR TECHNICAL ANALYSIS – Prices cleared April’s swing bottom, sinking to the lowest level in four months. A daily close below the 61.8% Fibonacci expansion at 11638 exposes the 76.4% level at 11576. Alternatively, a push above the 50% Fib at 11688 opens the door for a challenge of the 38.2% threshold at 11737.
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 cautiously attempting to edge lower as expected after putting in a Bearish Engulfing candlestick pattern, warning that a double top may be taking shape. A break below the 38.2% Fibonacci retracement at 2065.70 exposes the 50% level at 2047.10. Key resistance remains at 2119.40, the February 25 high.
Daily Chart - Created Using FXCM Marketscope
GOLD TECHNICAL ANALYSIS – Prices are attempting to build higher anew. A break above the 61.8% Fibonacci expansion at 1219.80 exposes the 76.4% level at 1231.71. Alternatively, a turn below the 50% Fib at 1210.18 targets the 38.2% expansion at 1200.56.
Daily Chart - Created Using FXCM Marketscope
CRUDE OIL TECHNICAL ANALYSIS – Prices are attempting to build higher anew having found support above the $64.00 figure. A daily close above the 23.6% Fibonacci expansion at 68.23 exposes the May 6 high at 69.60, followed by the 38.2% level at 70.72. Alternatively, a turn below the 14.6% Fib retracement at 66.03 targets the 23.6% threshold at 63.84.
Daily Chart - Created Using FXCM Marketscope
--- Written by Ilya Spivak, Currency Strategist for DailyFX.com
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