Let’s start today’s analysis with the Dow Jones (US30) index, which recently launched an upward correction and broke above local resistance at 30580 pts which is marked with 23.6% Fibonacci retracement of the last downward wave. Sentiment worsened during today's session, nevertheless buyers still manage to defend this level. If bulls manage to uphold recent momentum, upward move may accelerate towards next resistance at 31760 pts. On the other hand, breaking below the aforementioned zone, may trigger a bigger downward move. In such a scenario the nearest support to watch lies at 28660 pts, where the lower limit of local 1:1 structure (blue rectangle) is located.
US30, D1 interval. Source: xStation5
Looking at the GBPUSD chart, we can see that the pair is oscillating around the major resistance zone at 1.1290, which is marked with 23.6% Fibonacci retracement of the last downward wave, 200 SMA (red line) and 100 EMA (purple line). Pair also continues to trade in an ascending triangle pattern and only a decisive break out of this formation, may lead to a bigger move. In case of a break lower, another downward impulse may be launched towards local support at 1.0930 which is marked with previous price reactions. On the other hand, if buyers manage to push the price higher, then the next major resistance to watch lies at 1.1870 and is marked by 38.2% retracement.
GBPUSD, H4 interval. Source: xStation5
Last but not least, let’s take a look at the NATGAS market. Taking a look at the precious metal from a broader perspective, one can see that the price is approaching key support at $5.35, where lows from July 2022 are located. Should break lower occur, the next target for sellers can be found around local support at $4.75, which is marked with previous price reactions. On the other hand, if buyers manage to halt declines, a local double bottom formation may surface on the chart and upward impulse towards local resistance at $6.35 may be launched.
NATGAS, D1 interval. Source: xStation5
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