Weekly Technical Analysis

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.

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US TECH 100 (4 hours)

US TECH formed a double top at 15290 and reversed to the 15k handle, where bulls defend the line. Losing the base might open the door to 14700, offering a chance for a double bottom. Additional bets could see the index decelerate to 14250 unless bulls have a go at 15500.

Source: SpreadEx

UK 100 (1 day)

UK’s top 100 index has either formed or is near forming a double bottom by 7200, pending a reversal or a respite and further downside. Sliding under the regional support will expose 7100, bringing the low of 6750 into the spotlight. Conversely,  7560 is resistance above 7400.

Source: SpreadEx

US RUSSELL 2000 (4 hours)

Price action in Russell 2000 resembles the beginning of a triangle as the index completed a lower high and a higher low versus its preceding swings. The break of 1905 or 1810 will either confirm or invalidate the pattern, paving the way to 1940 and 1780, respectively.

Source: SpreadEx

GOLD (4 hours)

After failing to get through 1940/oz, gold remained in the post-wedge completion stage, but prices have not succumbed below 1900/oz. If bulls reclaim the short-term resistance, it might clear the path to 1950/oz but unlikely 1980/oz, whereas failing to hold the bottom opens up  1890/oz and 1865/oz.

Source: SpreadEx

SILVER (4 hours)               

Silver’s consolidating price action resembles a flag pattern, pending further breakdown towards 22.30/oz unless we witness an attempt at 24.10/oz. The break of either short-term level will shift focus on 21.60/oz and 24.60/oz next, with the latter acting as flag invalidation.

Source: SpreadEx

LIGHT CRUDE (4 hours)

WTI may be heading towards the 75/bbl top before seeing substantial rejection, as long as the bulls defend the 72.75/bbl swing. Falling lower might see gain reversed to 67/oz in case 71.90/oz and 70/bbl ease. On the flip side, a decisive breakout might see prices reach as high as 76.70/bbl.

Source: SpreadEx

GBP/USD (4 hours)

Cable’ 's flag pattern proved completed as bulls recapture the top of 1.2850, and if the double top formation fails, we might experience a new wave of longs towards 1.30 in the aftermath of a 1.29 breakout. Dropping below 1.2734 might send prices all the way back to 1.26 in case 1.2680 caves, but a rejection might print a cup-and-handle pattern.

Source: SpreadEx

EUR/USD (4 hours)

The EUR/USD pair appears in both a wedge and a flag pattern, depending on whether bulls can take out the top at $1.1012 before sliding to a fresh regional low under $1.0834. The former might accelerate prices to $1.1055, whereas losing $1.09 will increase the chances of getting a flag.

Source: SpreadEx

AUD/USD (4 hour)

Aussie appears to be consolidating unless the double bottom acts as a reversal point towards $0.6764, following a potential move past $0.67. Otherwise, the double top may have the opposite effect towards 0.66, with a breakdown bringing  $0.6562 in focus.

Source: SpreadEx

BTC/USD (1 day)

The price of Bitcoin has left a wedge pattern behind but has also put a top in, which can be considered a double top with a rejection by the 31k area. If bulls lose the support at 28350, a leg to 24500 may enact, raising chances of further continuation but also of a head-and-shoulders neckline low. Any upside above the local top at 32200 may instead see an extension to the gap low of 34230, with a recapture opening the door to 40k, pending resistance at 37180.  

Source: SpreadEx