Gold Sinks to Two-Month Low, SPX 500 Takes Aim at July High

By DailyFx | August 21, 2014 AAA

DailyFX.com -

Talking Points:

  • US Dollar Records the Strongest Two-Day Surge in Seven Weeks
  • S&P 500 Upward March Continues, July High in the Crosshairs
  • Gold Sinks to 2-Month Low as Selloff Continues to Gather Steam

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

US DOLLAR TECHNICAL ANALYSIS – Prices vaulted to a six-month highafter launching a rally as expectedhaving formed a Bullish Engulfing candlestick pattern. Near-term resistance is at 10652, 50%Fibonacci expansion, with a daily close above that exposing the 61.8% level at 10677. Alternatively, a turn below the 38.2% Fib expansion at 10627 clears the way for a test of the 23.6% threshold at 10595.

Gold Sinks to Two-Month Low, SPX 500 Takes Aim at July High

Daily Chart - Created Using FXCM Marketscope 2.0

** The Dow Jones FXCM US Dollar Index and the Mirror Trader USD basket are not the same product.

S&P 500 TECHNICAL ANALYSISPrices broke above the 38.2% Fibonacci expansion at 1963.70, exposing the 1985.30-91.40 area marked by the 50% level and the July 24 high. A further push beyond that aims for channel floor support-turned-resistance at 2001.10. Alternatively, a turn back below at 1963.70 targets the 23.6% Fib at 1937.10.

Gold Sinks to Two-Month Low, SPX 500 Takes Aim at July High

Daily Chart - Created Using FXCM Marketscope 2.0

GOLD TECHNICAL ANALYSIS – Prices continue to sink, with a daily close below the 61.8% Fibonacci expansion at 1282.47 exposing the 1269.69-72.98 area marked by a falling channel floor and the 76.4% level. Alternatively, a move back above the 50% Fib at 1290.15 opens the door for a test of the 38.2% expansion at 1297.82.

Gold Sinks to Two-Month Low, SPX 500 Takes Aim at July High

Daily Chart - Created Using FXCM Marketscope 2.0

CRUDE OIL TECHNICAL ANALYSIS – Prices are testing support at 101.61, the 61.8% Fibonacci expansion, with a break below that on a daily closing basis exposing the 76.4% level at 99.96. Positive RSI divergence points to ebbing downside momentum however, warning a bounce may be ahead. A move above 102.94, the intersection of the 50% Fib and a falling trend line set from mid-June, targets the 38.2% expansion at 104.28.

Gold Sinks to Two-Month Low, SPX 500 Takes Aim at July High

Daily Chart - Created Using FXCM Marketscope 2.0

comments powered by Disqus
Related Forex Analysis
  1. USD/JPY desperate to move away from 107.00
    Forex News

    USD/JPY desperate to move away from 107.00

  2. US Dollar Technical Analysis: Readying to Resume Uptrend?
    Forex News

    US Dollar Technical Analysis: Readying to Resume Uptrend?

  3. GBP/USD goes nowhere ahead of retail sales report
    Forex News

    GBP/USD goes nowhere ahead of retail sales report

  4. EUR/JPY Technical Analysis: Former Resistance Now Support
    Forex News

    EUR/JPY Technical Analysis: Former Resistance Now Support

  5. GBP/JPY Technical Analysis: Pound Sold vs. Japanese Yen
    Forex News

    GBP/JPY Technical Analysis: Pound Sold vs. Japanese Yen

Trading Center