USD INDEX
A strong selloff for the 2nd consecutive week. The performance of the world’s reserve currency going into the last 3 weeks of the year could well be determined by the Fed’s rate decision this coming week (Wednesday 10). While the uptrend hangs on, just barely, the daily trend points down sharply. Resistance at 99.48 with support at 98.37.
S&P 500
A somewhat quiet week on the US stock markets as the S&P index closed slightly higher with a higher high and higher low on the chart. While demand was limited, sellers remained on the sidelines which amounted to buyers maintaining control. On the upside, buyers continue to aim at the 6900 level. The FOMC rate decision (Wednesday 10) will certainly contribute to next week’s moves. Resistance at 6905 with support lower at 6796.
GOLD
A slight red candlestick confirms the metal did close marginally lower over the week, but basically the close matches that of last week. Following gentle daily moves in both directions, the $4200 continues to appear a comfort zone for the commodity. Gold’s safe-haven status remains firm, although buyers seemed content to lay low over the week. Note that in spite of the USD weakening, the metal did not strengthen as per the traditional inverse relationship between the 2 assets. Resistance at $4263 with support at $4163.
BRENT OIL
A gap up to start the week, followed by buyers adding to last week’s gains was enough to signal a new uptrend on the chart (EMAs crossed up). Notwithstanding, the overall bias on the weekly chart remains down with the $65 level holding as a lower high. With no new fundamental factors contributing to price action, it seems the recent activity is of a technical nature. Resistance at $64.05 with support at $62.11.
BITCOIN
While the trend and bias remain firmly tilted to the downside, buyers did step in to at least halt further selling. Demand for the cryptocurrency continues to be limited as current support levels (low $80K area) appear to look vulnerable. With USD weakness and gold taking a rest, it seems that BTC was not quite ready to fill the empty gap as that of the “safe-haven status” asset. Resistance at $94.2K with support at $83.5K.
