DailyFX.com -

Talking Points:

  • US Dollar Awaits Direction Cues Having Set 4-Month High
  • S&P 500 Vulnerable to Deeper Losses After Support Break
  • Crude Oil Sellers Continue to Challenge March Swing Low

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

US DOLLAR TECHNICAL ANALYSIS – Prices are consolidating gains after turning higher as expected having put in a Bullish Engulfing candle pattern. A daily close above resistance at 10560, the 50% Fibonacci retracement, exposes the 61.8% level at 10606. Alternatively, a turn back below resistance-turned-support in the 10513-27 area marked by the May 28 high and 38.2% Fib clears a path for a challenge of 10481, the intersection of a horizontal pivot in play since April and a rising trend line established from the July 1 low.

US Dollar Waiting for Direction Cues, SPX 500 at Risk of Deeper Losses

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 declined as expected after putting in a bearish Evening Star candlestick pattern with negative RSI divergence. A break below the 38.2% Fibonacci retracement at 1921.80 has exposed the 50% level at 1900.30. Moving further below that eyes the 61.8% Fib at 1878.70. Alternatively, a reversal back above 1921.80 opens the door for a test of the 23.6% retracement at 1948.40.

US Dollar Waiting for Direction Cues, SPX 500 at Risk of Deeper Losses

Daily Chart - Created Using FXCM Marketscope 2.0

GOLD TECHNICAL ANALYSIS – Prices put in a bullish Piercing Line candlestick pattern, hinting a move higher may be ahead. Initial resistance is at 1295.37, the 14.6% Fibonacci expansion. A break above that on a daily closing basis exposes the 23.6% level at 1304.81. Near-term support is at 1278.65, marked by the intersection of a horizontal pivot in play since early April and a falling trend line connecting major lows from late June.

US Dollar Waiting for Direction Cues, SPX 500 at Risk of Deeper Losses

Daily Chart - Created Using FXCM Marketscope 2.0

CRUDE OIL TECHNICAL ANALYSIS – Prices are testing support in the 97.30-34 area, marked by the March 17 low and the 76.4% Fibonacci expansion. A break below that on a daily closing basis exposes a rising trend line set from June 2012, now at 96.40. Alternatively, a reversal above the 61.8% level at 98.56 aims for the 99.00 figure, followed by the 50% Fib at 99.58.

US Dollar Waiting for Direction Cues, SPX 500 at Risk of Deeper Losses

Daily Chart - Created Using FXCM Marketscope 2.0

Related Articles
  1. Investing Basics

    Building My Portfolio with BlackRock ETFs and Mutual Funds (ITOT, IXUS)

    Find out how to construct the ideal investment portfolio utilizing BlackRock's tools, resources and its popular low-cost exchange-traded funds (ETFs).
  2. Investing

    3 Things About International Investing and Currency

    As world monetary policy continues to diverge rocking bottom on interest rates while the Fed raises them, expect currencies to continue their bumpy ride.
  3. Chart Advisor

    These 3 ETFs Suggest Commodities Are Headed Lower (COMT,CCX,DBC)

    The charts of these three exchange traded funds suggest that commodities are stuck in a downtrend and it doesn't look like it will reverse any time soon.
  4. Trading Strategies

    4 ETFs To Trade the Russian Ruble (RSX, ERUS)

    Discover which exchange-traded funds (ETFs) provide investors with the greatest exposure to the Russian ruble and learn about the risks that come with each.
  5. Chart Advisor

    3 Charts That Suggest Now Is The Time To Invest In Real Estate (VNQ, SPG,PSA)

    Real estate assets have some of the strongest uptrends around. We'll take a look at three candidates poised for a move higher.
  6. Products and Investments

    Are Dividend Stocks a Good Substitute for Bonds?

    Are dividend paying stocks a good substitute for bonds in a low interest rate environment?
  7. Mutual Funds & ETFs

    When Is the Right Time to Change From Mutual Funds to ETFs

    Find out how to determine when it's the right time for you to switch from mutual funds to ETFs, including the benefits of ETFs and who they are best for.
  8. Investing Basics

    An Introduction To Structured Products

    Structured products take a traditional security and replace its usual payment features with a non-traditional payoff.
  9. Investing Basics

    Understanding Alternative Investments

    An alternative investment is one that’s not among the three traditional asset types – stocks, bonds or cash.
  10. Investing

    New Year, New Investing Strategy: Exploring ETFs

    Whether you’re a seasoned investor or new to the markets, you need to learn as much as you can about the present environment and how to navigate it.
RELATED FAQS
  1. Should mutual funds be subject to more regulation?

    Mutual funds, when compared to other types of pooled investments such as hedge funds, have very strict regulations. In fact, ... Read Full Answer >>
  2. Do ETFs pay capital gains?

    Exchange-traded funds (ETFs) can generate capital gains that are transferred to shareholders, typically once a year, triggering ... Read Full Answer >>
  3. How do real estate hedge funds work?

    A hedge fund is a type of investment vehicle and business structure that aggregates capital from multiple investors and invests ... Read Full Answer >>
  4. Are Vanguard ETFs commission-free?

    While some Vanguard exchange-traded funds (ETFs) are available commission-free from third-party brokers, a large portion ... Read Full Answer >>
  5. Do Vanguard ETFs require a minimum investment?

    Vanguard completely waives any U.S. dollar minimum amounts to buy its exchange-traded funds (ETFs), and the minimum ETF investment ... Read Full Answer >>
  6. Can mutual fund expense ratios be negative?

    Mutual fund expense ratios cannot be negative. An expense ratio is the sum total of all fees charged by an asset management ... Read Full Answer >>
COMPANIES IN THIS ARTICLE
Trading Center