THE TAKEAWAY: The US Dollar turned lower from a six-month high as expected while the S&P 500 finally punched through the closely-watched 1500 figure.
US DOLLAR TECHNICAL ANALYSIS– Prices turned lower as expected after putting in a Shooting Star candlestick below resistance marked by the 61.8% Fibonacci expansion (10181) and a rising channel top (10194). Sellers are testing initial support near 10153, the 50% level, with a sustained push below that targeting the 38.2% Fib at 10124. Alternatively, a push above the channel top exposes the 76.4% expansion at 10216.
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S&P 500 TECHNICAL ANALYSIS – Prices broke resistance at 1459.90, the 100% Fibonacci expansion, exposing the 123.6% level at 1521.30. A further push above that eyes the 138.2% expansion at 1537.00. The 1459.90 level has been recast as support, with a reversal back blow that aiming for the 1470.40-74.90 area.
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GOLD TECHNICAL ANALYSIS – Prices completed a bullish Morning Star candlestick pattern above major rising trend line support dating back to mid-May (1653.31), hinting a rebound is ahead. Near-term resistance is at 1690.39, the 38.2% Fibonacci retracement, followed by the 1700/oz figure and a channel top at 1701.65. Alternatively, a reversal below support aims for the January 4 low at 1625.69 and a falling channel bottom at 1603.70.
Daily Chart - Created Using FXCM Marketscope 2.0
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CRUDE OIL TECHNICAL ANALYSIS– Prices are testing through resistance at 97.41, a former range top, with a break above that exposing the September 14 high at 100.40. Near-term support is at 96.54, the 76.4% Fibonacci retracement, and a rising trend line set from mid-December (96.32). A break below that targets the 94.15-61 area.
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--- Written by Ilya Spivak, Currency Strategist for Dailyfx.com
To contact Ilya, e-mail ispivak@dailyfx.com. Follow Ilya on Twitter at @IlyaSpivak
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