The FP Markets Research Team scans the financial markets for you, highlighting clear and actionable technical structures.

Forex: EUR/USD Shaking Hands with 50-Month SMA

Monthly Timeframe:

Following the announcement of Germany and the European Union’s notable fiscal expenditure plans, this has underpinned the euro (EUR) and European yields. Consequently, the EUR/USD (euro versus the US dollar) rallied nearly 5% this month, jumping from US$1.0400 to north of US$1.0900. However, while considered bullish, meaningful resistance recently entered the fray as a 50-month simple moving average (SMA) at US$1.0929 and could result in profit-taking.

Commodities: Gold Eyes Fresh Records and US$3,000

Daily Timeframe:

Since pencilling in a higher low from support at US$2,855, Gold (XAU/USD) has been in the process of establishing an AB=CD bearish formation that should conclude around the 100% projection ratio of US$2,976. This, coupled with US$3,000 serving as a widely watched psychological figure, could prompt a downside push, particularly with the Relative Strength Index likely to demonstrate negative divergence.

Equities: S&P 500 Testing Support

Weekly Timeframe:

As shown on the weekly chart of the S&P 500, the stock market index is on track to record a fourth consecutive week underwater. However, with price action welcoming support around 5,577, a rebound higher could be on the table. This support zone includes local descending support, extended from the high of 5,669, and a channel resistance-turned-support line, taken from the high of 4,119.

Cryptocurrency: BTC/USD Rebounding from 200-Day SMA

Daily Timeframe:

This week has seen the price of BTC/USD (Bitcoin versus the US dollar) recoil from the 200-day SMA at US$77,533 – positioned just north of another support level of US$73,575. However, the question for many investors is whether this move has enough ‘juice’ to encourage further buying back to the underside of the range above at US$91,591-US$108,396, or will the unit continue to press lower and take aim at monthly support from US$68,926.

Charts created using TradingView

Written by FP Markets Market Analyst Aaron Hill

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