MRG MEGA BERJANGKA
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Gold and Crude Oil Prices Press Higher as US Dollar Nose-Dives

Posted By : MRG Mega Berjangka, Apr 09, 2014 – 10:57

Talking Points:

US Dollar Clears Support, Drops the Most in Six Months
S&P 500 Stalls at Chart Support After Dramatic Selloff
Crude Oil Breaks Out, Gold Trying to Prolong Recovery

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

US DOLLAR TECHNICAL ANALYSIS – Prices plunged through multiple levels of chart support to post its largest one-day decline in six months. Sellers are now aiming to test the 61.8% Fibonacci expansion at 10439, with a break below that exposing the 76.4% level at 10401. Alternatively, a bounce above the 50% Fib at 10470 aims for falling channel floor support-turned-resistance at 10478, followed by the 38.2% expansion at 10500.

Gold-and-Crude-Oil-Prices-Press-Higher-as-US-Dollar-Nose-Dives_body_Picture_5.png, Gold and Crude Oil Prices Press Higher as US Dollar Nose-Dives

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 ANALYSIS – Prices recoiled downward having found resistance below the 1900.00 figure to test rising channel support set from mid-February, now at 1845.80. A break below that initially targets the 38.2% Fibonacci retracement at 1837.50, followed by the 50% level at 1818.50. Channel top resistance is now at 1895.00.

Gold-and-Crude-Oil-Prices-Press-Higher-as-US-Dollar-Nose-Dives_body_Picture_6.png, Gold and Crude Oil Prices Press Higher as US Dollar Nose-Dives

Daily Chart - Created Using FXCM Marketscope 2.0

GOLD TECHNICAL ANALYSIS – Prices turned higher as expected after putting in a Bullish Engulfing candlestick pattern. Buyers are now testing resistance at 1308.11, the 14.6% Fibonacci expansion, with a break above that exposing the 23.6% level at 1327.29. Near-term support is at 1277.00, the April 1 low.

Gold-and-Crude-Oil-Prices-Press-Higher-as-US-Dollar-Nose-Dives_body_Picture_7.png, Gold and Crude Oil Prices Press Higher as US Dollar Nose-Dives

Daily Chart - Created Using FXCM Marketscope 2.0

CRUDE OIL TECHNICAL ANALYSIS – Prices broke higher as expected out of a Triangle chart formation, with buyers now challenging resistance at 102.68 marked by the 38.2% Fibonacci expansion. A further push above this boundary aims for the 50% level at 104.33. Near-term support is at 100.64, marked by the intersection of the 23.6% Fib and the Triangle top.