US Dollar Finds Support as Stocks, Key Commodities Position to Decline

US DOLLAR INDEX - The greenback has found support at a rising trend line connecting major swing lows since prices broke out a falling channel that had guided a five-month downtrend since early June. Initial channel-line resistance lines up at 81.20, with a break above that clearing the way for a run at November's top at 81.44.

MSCI WORLD STOCK INDEX - Back-to-back Doji candlesticks and negative divergence on relative-strength studies hint prices may be carving out a double top below resistance at November's swing top. Initial support is seen at the 76.4% Fibonacci retracement of the 11/5-11/30 downswing.

CRUDE OIL - Prices are showing a bearish Harami candlestick pattern below resistance at the upper boundary of a rising channel set from August (now at $92.77). Negative RSI divergence bolsters the case for a downside scenario. A move lower from here sees initial support at $89.76.

GOLD - Prices surged higher to meet resistance at $1407.28, the 23.6%Fibonacci retracements of the 11/16-12/7 rally. Broadly speaking however, the metal remains in the same range that has held for much for the month, with a Bearish Engulfing candlestick preceding current consolidation giving overall positioning a bias favoring the downside. Near term, a reversal from current resistance sees initial support at $1392.46, the 38.2% Fib.

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