Dollar Finds Support, S&P 500 Still Struggling with 1600 Mark

DailyFX

THE TAKEAWAY: The US Dollar has managed to stage a recovery from support at a multi-month range bottom. The S&P 500 continues to struggle with resistance at the 1600 figure.

US DOLLAR TECHNICAL ANALYSIS Prices recovered after putting in a Hammer candlestick above support in the 10424-28 area marked by the 23.6% Fibonacci retracement and the March 22 close. Near-term resistance is at 10576, the March 11 high, with a break above that targeting the 38.2% Fib expansion at 10655. Alternatively, a drop below 10424 exposes the 38.2% expansion at 10428.

View gallery

.
Forex_Dollar_Finds_Support_SP_500_Still_Struggling_with_1600_Mark__body_Picture_5.png, Dollar Finds Support, S&P 500 Still Struggling with 1600 Mark

Daily Chart - Created Using FXCM Marketscope 2.0

S&P 500 TECHNICAL ANALYSIS – Prices completed a bearish Evening Star candlestick pattern below resistance marked by the 23.6% Fibonacci expansion (1595.90) and the psychologically significant 1600 figure, hinting at weakness ahead. Near-term support is at 1572.90, the14.6% expansion, with a drop beneath that targeting the 23.6% Fib retracement at 1537.30. Alternatively, a reversal above resistance aims for the 38.2% expansion at 1633.20.

View gallery

.
Forex_Dollar_Finds_Support_SP_500_Still_Struggling_with_1600_Mark__body_Picture_6.png, Dollar Finds Support, S&P 500 Still Struggling with 1600 Mark

Daily Chart - Created Using FXCM Marketscope 2.0

GOLD TECHNICAL ANALYSIS Prices are consolidating below resistance at 1487.65, the 61.8% Fibonacci retracement. Near-term support is at 1455.94, the 50% level, with a break below that targeting the 38.2% Fib at 1424.23. Alternatively, a move above resistance aims for the 76.4% retracement at 1526.88.

View gallery

.
Forex_Dollar_Finds_Support_SP_500_Still_Struggling_with_1600_Mark__body_Picture_7.png, Dollar Finds Support, S&P 500 Still Struggling with 1600 Mark

Daily Chart - Created Using FXCM Marketscope 2.0

CRUDE OIL TECHNICAL ANALYSIS Prices broke back above the 23.6% Fibonacci expansion at 91.82 to challenge resistance in the 94.66-79 area, marked by the April 10 and 29 swing highs. A push higher beyond that aims for a falling trend line set from late January, now at 96.78. The 91.82 level has been recast as near-term support, with a move back beneath that targeting the 38.2% Fib at 90.06.

View gallery

.
Forex_Dollar_Finds_Support_SP_500_Still_Struggling_with_1600_Mark__body_Picture_8.png, Dollar Finds Support, S&P 500 Still Struggling with 1600 Mark

Daily Chart - Created Using FXCM Marketscope 2.0

--- Written by Ilya Spivak, Currency Strategist for Dailyfx.com

To contact Ilya, e-mail ispivak@dailyfx.com. Follow Ilya on Twitter at @IlyaSpivak

To be added to Ilya's e-mail distribution list, please CLICK HERE

New to FX? Watch this Video. For live market updates, visit the Real Time News Feed

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.
Learn forex trading with a free practice account and trading charts from FXCM.

View Comments