USD INDEX
A familiar pattern - U$ sold off early with buyers stepping in late in the US session and recouping a portion of the day’s losses. By the end of the day, sellers added to the losses for a 4th consecutive day with a lower high and lower low adding to the downtrend. Negative sentiment and lack of confidence in the USD continue to weigh on the global reserve currency. Resistance sits at 97.20 with support at 96.59. Should the US fight back, current levels could be the springboard for a reversal, short term, at least.
S&P 500
With buyers firmly in control and continued demand across the major US stock markets, the S&P went onto set new record highs. Resistance was established at 6200 with support at 6144 - today’s open price. No news is good news continues to be the theme, as well as the traditional inverse relationship between a weak USD and strong equities adding to the rally. Perhaps new trade deals closer to the July 7 deadline (Trumps grace period re. retaliatory tariffs) may bring sellers back to the market.
GOLD
Neither buyers or sellers made a move out of the new comfort zone which hovers close to the $3320 mark. Resistance sits at $3350 with support below at $3309. In the absence of new developments on the geopolitical front, the safe haven commodity moved sideways for the 2nd consecutive day within the daily downtrend. Big picture - the $3300 level continues to look pivotal.
BRENT OIL
The oil market continued its day-off stance and traded in a very narrow range, closing alongside yesterday’s close. While the downtrend is clearly still very much intact, the current middle east ceasefire has calmed supply concerns for now. Perhaps the market will once again concentrate on the possibility of a global economic slowdown, as well as the new chapter in the tariff/trade deal scenario as the contributing factors to affect the oil price. Resistance is set at $67.77 with support at $66.17. Buyers will look to regain the $70 mark while sellers aim below $66.
BITCOIN
Today was a non-event as buyers and sellers traded punches with no follow through and a daily doji-like candlestick confirming the lack of direction. Price activity was contained within a narrow $1.8K range between $106.5K and $108.3K. Although the close was very slightly lower than the open which configured a red candlestick, note the conflicting higher high and higher low adding to the uptrend. While buyers aim above $108K, sellers look below $105K as a first downside target to reverse the trend.
