Technical Analysis Weekly 26.09.2022

Start your week by identifying the key price levels and trends. 

The SpreadEx Research team has analysed the most popular markets, including stocks, indices, commodities & forex.

-----------------------------------------------------

SPX 500 (2 hours)

The SPX 500 slid down to the 3635 low, opening the door to 3600 as it failed to form a double-bottom. A move below there exposes 3400. If the low above holds firm, a bounce towards the channel near 3750 might offer a breath before further downside ensues.

Source: SpreadEx 

UK 100 (2 hours)

The UK 100 fell to the 7000 handle, forming a double-bottom and bouncing higher. A retest of the trendline might offer an upside move above 7100, but 7200 is unlikely to be reached. Lossing 7000 could extend the bearish leg to the 161.8% Fibonacci of 7130-7510 near 6890.

Source: SpreadEx 

Wall Street (2 hours)

Wall Street tumbled outside the bearish channel in what seems to be an accelerated leg towards 29000. If support weakens there, 28000 is next, as round level. In case of a break above the 138.2 of 34300-31000  near 29730, bulls will eye 30500 above the 30000 handle, with a high at 31000.

Source: SpreadEx 

Gold (2 hours)

Gold broke outside the flag and below the 138.2% Fibonacci of 1825-1700 near 1650, paving the way to 1620 and the round 1600. The channel-bottom rejection might offer a rally towards 1680 if the swing of 1660 gives in. Otherwise, a range could form.

Source: SpreadEx 

Silver (2 hours)

Silver had a weak attempt at 20.00, resulting in a reversal toward 18.00. If the golden pocket near 1840 succumbs, 18.00 becomes critical support for a potential inverse H&S. Failing to hold there brings the low of 17.50 back on the radar. A bounce toward the 38.2% Fibonacci at 19.00 might switch price action sideways unless bulls eye the trendline near 19.50.

Brent Crude (2 hours)

Brent oil crashed below 87.20 and the 138.2% Fibonacci of 105.00-91.50 near 87.50 before retesting it. Bears might be targeting the diagonal line of the 161.8% Fibonacci near 83.00, where a reversal is on the cards. A move above 87.20 exposes the 90.00 round resistance and the Fibonacci low of 91.50.

Source: SpreadEx 

USD/JPY (2 hours)

USD/JPY plunged at 140.50 after failing to move past 146.00 but reached a fresh high before reversing. The ascending channel top weakened, but bulls quickly bought the dip, with prices heading back to the top. 142.50 is now diagonal channel support with a range likely to form whether 145.00 holds or not. If it does, we might see an H&S formation taking place.

Source: SpreadEx 

GBP/USD (2 hours)

GBP/USD flash-crashed to the 161.8% Fibonacci of 1.3145-1.1400 at 1.0330 and recovered back to 1.0750; the resistance at 138.2% of the same leg. Highly volatile, a break above might open the door to 1.1000, whereas on the flip side, 1.0570 lies above the record low. 1.0850 is the 50% Fibonacci of the 1.1365-1.0330 leg and is likely to determine short-term sentiment.

Source: SpreadEx 

EUR/USD (2 hours)

EUR/USD pulled back to 0.9700 after plummeting to the 161.80% Fibonacci of 1.0370-0.9860 at 0.9550. Near the bottom channel, a rejection might send prices down to 0.96000 and eventually 0.9500 if the record low softens. But if the channel gets penetrated while the pair trades above the 138.2% Fibonacci near 0.9670, 0.9800 is firm resistance.

Source: SpreadEx 

GBP/JPY (2 hours)

GBP/JPY extended to levels below 150.00 before reversing toward the breakout point of 155.60 as it found support at the 138.2% Fibonacci of 168.45-155.60 near 150.75. If the pair recovers further, a retest might be possible, but it will be unlikely to break instantly, with a pullback toward the 50% Fibonacci of the 155.60-148.85 leg near 152.20 in the cards. If it gets through immediately, 157.80 is key resistance.

Source: SpreadEx