Weekly Review. S&P500, Brent, Gold | 08 July 2016


S&P500


Monthly: ADX is falling, so we'll ignore the bullish momentum of the chart. Apparently, the index will face a strong resistance around the upper Bollinger band (2159.6)



Weekly: we confirm the non-trend growth and resistance at the upper Bollinger band (2159.6)



Daily chart: the flat undirected Bollinger envelopes (2027.8-2141.2). Thus, we have the resistance zone 2141.2-2159.6



Expectations:


The main scenario - surge to 2141.2 followed by a drop in the direction of 2027.8


The alternative scenario - a higher impulse to 2159.6 and then movement under the basic scenario.


Solutions: look for Sell options around 2141.2-2159.6


"Brent"


Monthly: Oil is consolidating at the middle Bollinger band (53.92) and, apparently, this trend will continue.



Weekly: ADX is in the active zone, but it is going through correction against the oscillator, so that we can talk about the strong resistance around 53.82-54.00. Support is at the middle band region (44.04)



Daily chart:the flat undirected range inside Bollinger envelopes (47.89-52.70). ADX is going through correction, so an upward breakthrough is not expected.



Expectations:


The main scenario - touch of 52.70 and then decline towards 47.89


The alternative scenario - surge to 53.82-54.00 followed by decline under the core scenario.


Solutions: look for Sell signals around 52.70 и 53.82.


Gold


Monthly: a very active trend ADX, so we expect continuation of growth in the direction 1580.20 (in the medium run)



Weekly: a well expressed bearish divergence of the oscillator, which can lead to correction in the area of ​​the middle Bollinger band (1259.51)



Daily chart: a better expressed support in the middle zone area (1286.19). Resistance 1247.83 (upper Bollinger band).



Expectations: now we expect a downwaed rollback to 1284.19 from 1247.83, and then a strong growth phase of gold may start . So I would warn traders against any sales.


Solutions: look for Buy options around 1286.19 to 1580.20 (in the medium run)


Aleksey Panasenko
FreshForex Analyst
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