Technicals | 10:30 AM
Earlier today, Tony Sycamore, Market Analyst, IG updated his views and thoughts on financial markets, including the technical analysis.
All material has been re-published with permission and does not by association represent FNArena’s views (we have none, we simply report).
First Up, Nasdaq100
Friday the 21st of November’s test and hold of critical support followed by Monday the 24th of November’s strong rally was an important turning point for US equity markets.
Specifically for the Nasdaq100, it left the 23,854 low (21st of November) as a false break lower and the likely bottom of the correction (Wave IV) from the late October 26,182 high (Wave III).
Looking ahead, providing the Nasdaq100 remains above medium-term support at 24,000/23,800, we hold a bullish bias, looking for the current rally (Wave V) to test and break the record 26,182 high, before a push towards 27,000.
ASX200
After reaching an all-time high of 9115 in mid-October, the ASX200 hit a low of 8383 in late November for a -7.7% pullback, marking its deepest correction since April.
Providing the 8383 low holds, the index is expected to extend its rebound back towards 8830/50 by year end 2025.
Aware that a retreat through the 8383 low would negate the bullish bias and open the way for a decline towards 8200.
Crude Oil
WTI Crude Oil is trading lower at US$58.35/bbl, down -0.85%. Its falls came ahead of Thursday’s FOMC meeting which is expected to deliver a hawkish cut.
Traders are also on edge ahead of tomorrow’s EIA inventory report, with gasoline stockpiles having built steadily for three consecutive weeks, highlighting softer refined-product demand as the northern hemisphere winter approaches.
Crude oil needs to hold above support in the mid US$50s, otherwise the risks are for a tumble towards US$50.00/bbl.
Gold
Gold is trading higher at US$4212/oz, up 0.52%, ahead of tomorrow morning’s FOMC meeting.
The rally in gold came as silver hit record highs overnight, surging 4.51% to US$60.78 and now up over 110% year-to-date.
Silvers gains are being driven by deepening structural supply deficits, worsened by falling mine production in major regions and persistently low global inventories—combined with rapidly rising industrial demand from the green-energy transition, especially solar photovoltaics, electric vehicles, and AI-related hardware.
Technical limitations
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