USD INDEX
The USD took a breather today with an overall sell-off for the global currency. Apparent easing of tension surrounding the middle east conflict, yields down on the day, and a natural bout of profit-taking all contributed. The trend remains up and although marginally, a higher high on the chart. Perhaps a retracement rather than a reversal? For now, the 99.00 level looking pivotal. Resistance at 99.38 with support at 98.88.
S&P 500
Demand for equities across the board, with the index erasing yesterday’s losses with an emphatic higher close. Notwithstanding, the downtrend remains intact. Treasury yields pulling back and a sharp drop in oil prices (reducing inflation fears) contributing. And keeping with the positive tone, investors prepare for Nvidia earnings. Resistance at 7458 with support at 7352.
GOLD
Buyers stepped in and halted, if not reversed, the strong downtrend. While lower yields and a dip in oil prices both help gold prices, today’s move looks more like a technical rebound than a “risk panic” rally. Although today’s bounce is reflected as a green candlestick, the lower high and lower low add to the existing downtrend. Sellers look below $4500 while buyers aim at $4600 as a first step in initiating a new uptrend. Resistance at $4548 with support at $4465.
BRENT OIL
President Trump declared that negotiations with Iran were in “final stages”. Add to this, several oil tankers did pass through the straits of Hormuz. The forward- looking oil market welcomed the developments which saw prices drop over $10 from $110 down to the $100 mark. Late in the US session prices were sitting at $101. Resistance at $111.49 with support at $99.48.
BITCOIN
Buyers won out on the day, yet the rally was tepid, to say the least. Price activity remains contained within a narrow $1.5 range with neither buyers or sellers able to add to intraday moves. Downtrend remains in place. The $76K support continues to be guarded by buyers, while sellers protect the $77.5K area. Resistance at $77.7K with support at $76K.
