Gold Hits 3-Month High, SPX 500 Secures Topside Breakout

2015-05-19 06:09:00 Ilya Spivak

Talking Points:

US Dollar Rebounds But Monthly Down Trend Remains Intact
S&P 500 Secures Upside Breakout, Moves to New Record High
Crude Oil Still Locked in Range, Gold Pauses to Digest Gains

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

US DOLLAR TECHNICAL ANALYSIS – Prices launched a corrective recovery having found support at the lowest level in four months. Near-term resistance is at 11759, the 23.6% Fibonacci retracement, with a break above that on a daily closing basis exposing the 38.2% level at 11836. Alternatively, a turn below the 61.8% Fib expansion at 11638 clears the way for a test of the 76.4% threshold at 11576.

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 broke above range resistance, setting a new record high. From here, a daily close above the 50% Fibonacci expansion at 2140.70 exposes the 61.8% level at 2159.30. Alternatively, a move back below the 38.2% Fib at 2122.10 targets the 23.6% expansion at 2099.10.

Daily Chart - Created Using FXCM Marketscope

GOLD TECHNICAL ANALYSIS – Prices paused to digest gains after touching the highest level in three months. A break above the 76.4% Fibonacci expansion at 1231.71 exposes the 100% level at 1250.96. Alternatively, a turn below the 61.8% Fib at 1219.80 targets the 50% expansion at 1210.18.

Daily Chart - Created Using FXCM Marketscope

CRUDE OIL TECHNICAL ANALYSIS – Prices are stalling having rebounded from 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.