Intraday Analysis - Monday, April 6

USDJPY is hitting firm resistance

Our USDJPY analysis shows The Japanese yen gained traction after hitting a double top towards the 160.00 level. On the chart, the pair is stuck in a consolidation since the move, as the RSI’s overbought condition has triggered a bearish divergence, which could pull prices lower.
• Bulls will need to clear 160.00 before they can push for a continuation above 160.50.
• On the downside, 158.40 would be a second layer of support.

USOIL climbing higher

WTI continues to climb as the Q2 outlook points to more volatility for the black gold. After a lengthy bullish rally, prices are now continuing their climb.
• A slight pullback in today’s early session below the first support of 110.00 could trigger a correction towards 100.00
• Oil is now looking to recapture the 114.00 handle in the near term.
• Another run at the top channel towards 120.00 could be tested.

SPX 500 turns lower

The S&P remains risky as traders worry that ongoing global risks could sink stock prices. The index is at a crossroads on the chart as prices hit the 6600 area again.
• A failure to lift bids to 6730 indicates that the downward pressure still lingers in the wake of the recent fall away from its recent progression.
• A drop below 6470 could see a sharp turnaround in fortunes for the index.
• The upcoming earnings season is expected to bring major revenue declines.