USD INDEX
The uptrend remains intact with technical confirmation: EMAs continuing to point up, a 5th consecutive higher low candlestick, and the ascending trendline holding strong. However, note the buyers getting held up at resistance levels for the 3rd consecutive week. Price action continues to narrow which could signal an upcoming break from the sideways activity. Resistance at 98.93 with support at 98.11.
S&P 500
Buyers closed the week strong adding to the uptrend and confirming demand for US equities. The break to the upside follows the past 4 weeks of sideways activity - a pattern which has become familiar since May 2025. Last week saw a new record high for the index. (Sunday 26th October -note a significant gap up in futures trading heading into the new week). The positive correlation between a strong USD and equities is noteworthy as traditionally the 2 assets have an inverse relationship moving in opposite directions. Resistance at $6840 with support at 6688.
GOLD
Last week saw the sharpest sell-off in gold since the start of 2024. Although the EMAs remain up, the reversal was signalled on the shorter daily timeframe. It would appear that the commodity has not lost its safe haven status, and the turnaround is based on technicals, rather than a change in fundamentals. Note the double-top candlestick pattern which is a strong reversal sign. The coming week will determine whether profit taking continues, or if buyers see the lower prices as a buying opportunity. Currently the $4000 level is looking pivotal. Resistance at $4386 and support at $3998.
BRENT OIL
A strong bounce up saw buyers end a 3 week sell-off and confirm the solid floor which has been defended successfully this year (April/May 2025). Technically note the double-bottom candlestick formation (strong reversal signal) and the solid higher close this week. Resistance at $65.91 and support at $59.85. While buyers will look up to the $70 level, sellers may see the resistance as a lower high and therefore the $66 mark could be pivotal going into the new week.
BITCOIN
Buyers won out over the week with steady demand for the cryptocurrency. However, the trend remains down (EMAs down) with a (slightly) lower high on the chart. Buyers will look to maintain above the $112K level, while sellers aim below $110K. Note the move higher has been held up at the 50% fib retracement level - $115K, measured from the $126.6K high down to the $103.7K low. Resistance at $115.5K with support at $106.7K.
