12.18 Technical Scan: WTI Crude Oil, S&P 500, GBP/USD, USD/JPY Four Major Trends Forecast

Market Overview

Although the AI bubble talk continues to suppress the three major U.S. stock indices to new lows, the latest non-farm payroll data did not ignite expectations of the Federal Reserve cutting interest rates ahead of 2026. The 10-year U.S. Treasury yield remains above 4.1%, indicating limited market confidence in rate cuts. In contrast, the energy market has seen a significant rebound due to geopolitical tensions. As the Christmas holiday approaches, market trading activity may further decline, and investors should be cautious of consolidation.

WTI Crude Oil: Rebound Momentum Strengthening, Key Test at 57 Zone

On December 17, WTI crude oil rose by 2.85% intraday, with the highest price reaching around $56.81. After falling for four consecutive days, it turned positive, showing increased bullish sentiment. If the price can effectively recover the $57.1 level in the short term, it may oscillate between 57.1 and 61.4; to reverse the medium-term downtrend, a break above $64.5 is necessary to establish an upward trend.

Support Levels: 55.0, 52.5, 50.0
Resistance Levels: 57.0, 59.0, 61.5

S&P 500 Index: Technical Breakdown, Downward Pressure Continues

On December 17, the S&P 500 fell by 1.16%, with the lowest touching 6720 points, losing the 6800 level. The AO indicator shows ongoing increasing downward momentum, suggesting further downside potential. If the rebound cannot regain the 6800 level, it is expected to test support at 6700 and possibly 6600.

Support Levels: 6700, 6600, 6450
Resistance Levels: 6800, 6900, 7000

GBP/USD: Directional Choice Imminent, 1.3355 and 1.3455 as Key Dividing Lines

On December 17, GBP/USD declined by 0.35%, with the intraday high reaching 1.3311. Over the past week, the pair has been oscillating within the 1.3355-1.3455 range, and a directional decision is imminent. Technically, a successful break above 1.3455 would open upside space toward 1.3600; conversely, a fall below 1.3355 support would raise caution of a trend reversal.

Support Levels: 1.3355, 1.3200, 1.3000
Resistance Levels: 1.3450, 1.3550, 1.3600

USD/JPY: 6900 Yen Level Firm, Short-term Downtrend Signs Easing

On December 17, USD/JPY rose by 0.63%, reaching a high of 155.75, maintaining stability above 155.0 for three consecutive weeks. The 155.0 level coincides with the support line since May 13, which is technically significant. The short-term downtrend has eased; if the 155.0 level remains stable, the pair may challenge 156.20 and even 158.0 in the future. A break below 154.50 would signal potential downside testing toward 152.0.

Support Levels: 155.0, 152.0, 150.0
Resistance Levels: 156.20, 158.0, 160.0

Overall Analysis

As Christmas approaches, the market shows a divided trend: commodities and energy sectors are rebounding, but equities remain in a difficult situation. Technically, GBP/USD and USD/JPY are at a crossroads, requiring close attention to the key levels mentioned above; the S&P 500 continues to show weakness; WTI crude oil has a strong rebound momentum. Investors should stay alert and avoid blindly chasing rallies.