Top three charts of the week: US500, GOLD, DE30

US500

Let’s start today’s analysis with the US large-cap index - S&P500 (US500). Looking at the D1 interval, one can see that the index has been trading in an upward channel for some time. Should the current sentiment prevail, the price is set to test the 4,552 pts resistance, which is marked with exterior 161.8% Fibonnaci retracement of the recent downward correction. If buyers manage to break above it, the index may launch another upward impulse into an uncharted area. On the other hand, if the downward correction occurs, the nearest mid-term support lies at 4,422 pts, where the lower limit of 1:1 structure, as well as lower limit of upward channel are located. Buyers should also watch the 4,470 pts support, where one may find recent price reactions.

 US500 D1 interval. Source: xStation

GOLD

Moving to the gold market,we can see that the precious metal has been trading in an upward move since the slump in early August. Looking at the H4 interval, one can see that the upward momentum slowed down but an attack on the resistance area at $1,830 remains a possibility. Should buyers manage to break above, the upward move may accelerate. On the other hand, if sellers manage to take the lead, the correccion towards the lower limit of 1:1 structure may happen. However, according to the Overbalance strategy, the main sentiment remains positive and the odds are on the demand side

GOLD H4 interval. Source: xStation5

DE30

Last but not least, let’s take a look at the German index - DAX (DE30). Looking at the H4 interval, one can see that the area at 15,800 pts looks critical in the short term. The sellers tried to break below several times, but each time turned out to be stronger. On the other hand, despite support defense, the index has a problem with a move to higher levels and the round 16,000 pts handle remains the key resistance to watch. It seems that it is best to wait at the moment for the mentioned 15,800 or 16,000 to be broken to determine the direction of the next big move.

DE30 D1 interval. Source: xStation5