Американские горки
Dow Jones Industrial Average
The Dow is testing support at 8000, with rising volume indicating buying pressure. Respect would signal another test of 9000, while failure would warn of a primary down-swing. In the longer term, expect further support at the November low of 7500; but the target is 6000: 7500 - ( 9000 - 7500 ).
By Colin Twiggs
Gold
Spot gold is headed for another test of $900, close to the upper border of the long-term descending wedge formation, and resistance is likey to be stronger. Breakout would signal the start of a new (primary) up-trend - but wait for confirmation from a retracement that respects the new support level ($900). Failure to breach resistance remains as likely, however, and would signal another test of support at $800.
Crude Oil
West Texas Crude is headed for another test of resistance at $50/barrel. Shrinking global demand is likely to lead to retracement to test support at $35. Failure of support would offer a target of the 2003 low of $20/$25, calculated as 35 - (50 - 35).
Euro
The euro is retracing to test support at $1.25. Failure would offer a target of $1.00 as shown on the monthly chart below, and calculated as 1.25 - ( 1.50 - 1.25 ). The primary trend is uncertain and respect of support would signal another test of $1.45/$1.50.
The Dow is testing support at 8000, with rising volume indicating buying pressure. Respect would signal another test of 9000, while failure would warn of a primary down-swing. In the longer term, expect further support at the November low of 7500; but the target is 6000: 7500 - ( 9000 - 7500 ).
By Colin Twiggs
Gold
Spot gold is headed for another test of $900, close to the upper border of the long-term descending wedge formation, and resistance is likey to be stronger. Breakout would signal the start of a new (primary) up-trend - but wait for confirmation from a retracement that respects the new support level ($900). Failure to breach resistance remains as likely, however, and would signal another test of support at $800.
Crude Oil
West Texas Crude is headed for another test of resistance at $50/barrel. Shrinking global demand is likely to lead to retracement to test support at $35. Failure of support would offer a target of the 2003 low of $20/$25, calculated as 35 - (50 - 35).
Euro
The euro is retracing to test support at $1.25. Failure would offer a target of $1.00 as shown on the monthly chart below, and calculated as 1.25 - ( 1.50 - 1.25 ). The primary trend is uncertain and respect of support would signal another test of $1.45/$1.50.