US Dollar Treading Water, SPX 500 Probing Above 1800 Anew

Ilya Spivak
December 9, 2013

Talking Points:

  • US Dollar Still Treading Water in a Familiar Range
  • S&P 500 Rebounds to Probe Above 1800.00 Again
  • Crude Oil Stalling Below $98.00, Gold May Bounce

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

US DOLLAR TECHNICAL ANALYSIS – Prices continue to consolidate below resistance in the 10645, the 38.2% Fibonacci expansion. Near-term support is at 10603, the 23.6% expansion, with a break below that exposing the 38.2% Fib retracement at 10549. Alternatively, a reversal above resistance initially aims for the 50% expansion at 10679.

Forex_US_Dollar_Treading_Water_SPX_500_Probing_Above_1800_Anew_body_Picture_5.png, US Dollar Treading Water, SPX 500 Probing Above 1800 Anew
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Forex_US_Dollar_Treading_Water_SPX_500_Probing_Above_1800_Anew_body_Picture_5.png, US Dollar Treading Water, SPX 500 Probing Above 1800 Anew

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 rebounded from resistance-turned-support at 1778.90 (October 30 swing high). Resistance is in the 1813.10-17.80 area, marked by the November 29 high and the 23.6% Fibonacci expansion. A break above that targets the 38.2% level at 1842.10. Reversing below support exposes the 38.2% Fib retracement at 1749.60.

Forex_US_Dollar_Treading_Water_SPX_500_Probing_Above_1800_Anew_body_Picture_6.png, US Dollar Treading Water, SPX 500 Probing Above 1800 Anew
View photos
Forex_US_Dollar_Treading_Water_SPX_500_Probing_Above_1800_Anew_body_Picture_6.png, US Dollar Treading Water, SPX 500 Probing Above 1800 Anew

Daily Chart - Created Using FXCM Marketscope 2.0

GOLD TECHNICAL ANALYSIS Prices put in a bullish Morning Star candlestick pattern, hinting a move higher is ahead. Positive RSI divergence reinforces the case for an upside scenario. Resistance is in the 1237.57-51.54 area, marked by the 23.6% Fibonacci retracement and the October 15 low. A break above that initially targets the 38.2% level at 1268.98. Near-term support is at 1211.67, the December 4 low.

Forex_US_Dollar_Treading_Water_SPX_500_Probing_Above_1800_Anew_body_Picture_7.png, US Dollar Treading Water, SPX 500 Probing Above 1800 Anew
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Forex_US_Dollar_Treading_Water_SPX_500_Probing_Above_1800_Anew_body_Picture_7.png, US Dollar Treading Water, SPX 500 Probing Above 1800 Anew

Daily Chart - Created Using FXCM Marketscope 2.0

CRUDE OIL TECHNICAL ANALYSIS Prices continued higher as expected after breaking resistance at the top of a falling channel set from late August. Resistance is at 98.02, the 23.6% Fibonacci expansion, with a break above that targeting the 38.2% level at 101.90. Near-term support is at 95.36.

Forex_US_Dollar_Treading_Water_SPX_500_Probing_Above_1800_Anew_body_Picture_8.png, US Dollar Treading Water, SPX 500 Probing Above 1800 Anew
View photos
Forex_US_Dollar_Treading_Water_SPX_500_Probing_Above_1800_Anew_body_Picture_8.png, US Dollar Treading Water, SPX 500 Probing Above 1800 Anew

Daily Chart - Created Using FXCM Marketscope 2.0

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

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