FTSE(UK100) bounces off resistance
The FTSE(UK100) dropped almost 100 points as doubts still creep around regarding a soft landing for the economy. A fall below the previous high of 8775 suggests that the directional bias has lowered. A bounce off the base of the latest decline at 8700 could see a whipsaw effect to push the index higher. However, a close below 8650 could bring in momentum sellers and send the price back towards 8500.
AUDUSD seeks support
The Australian dollar continues to slide after potential tariffs placed on China affect the Aussie. A drop below the daily support of 0.6300 has dented optimism in the short term. The sell-off could continue if the 0.6200 level is breached to send prices to the early February lows. If buying interest comes back into play, 0.6240 is the first hurdle, and 0.6280 is the next resistance as the RSI dramatically sinks into the oversold area.
XAUUSD struggles to stabilise
Gold remains under pressure as global tensions continue to reflect on the safe haven asset. On the chart, the psychological area of 2900 has proved to be a formidable barrier to push back to. A sharp fall below 2870 forced leveraged positions to liquidate, exacerbating volatility. If the current support at 2850 is not held, the next level of 2800 would be next to see if bids start to emerge. On the upside, a bounce to the supply zone around 2880 is likely to see if bulls will enter this undecided market.
