Latetly both US indexes and majors were rising. From the beginning of this week we have a correction. Or maybe this is end of rises?

First, lets have a look at SP500 index. I wrote before why it stopped in that area. For now we have a small correction, which for now ended on 23.6% retracement level and 20 moving average. This is just around 1300 level, so important level to watch. Break below that level may bring move down to next retracement levels.

sp500-retracement

sp500-retracement

Of course there is a chance that price is going to move up, but for now it looks like it is undecided.

Now lets move on to eurusd. Around 1.3111 there are to Pivots – weekly and monthly. It looked like they are going to hold, but today price went lower. As yuo can see from chart, almost exactly to 61.8% retracement line. This does not mean that we are going to see move up from that level. There is such a chance, but it is a good idea to wait for another confirmation.

eurusd-correction

eurusd-correction

Still, it is good to know that price is respecting Fibonacci so we can plan our trades :).

If there will be confirmation, than we are going to look at extension lines as a possible exit level.

Oh, it is worth to check gold. After strong rise it stopped at 78% retracement level, which is around 1740$. It is very important place, because 78% lines on many times are strong resistance and investors who went long, are taking profits here. If bulls are stronger, price shoud move above 1740$ level. You can clearly see this lines at weekly chart:

fibonacci-gold-retracement weekly chart

fibonacci-gold-retracement weekly chart