Daily Market Outlook, 17 November, 2021

Market Wrap: Stocks, Bonds, Commodities

U.S. stocks closed higher on November 16 as earnings from Home Depot and retail sales data signaled solid consumer health and eased worries about a Federal Reserve that may have to become more aggressive in the face of rising inflation.

The Dow Jones Industrial Average rose 57.34 points (0.16%) to 36,144.79. The S&P 500 gained 17.68 points (0.40%) to end at 4,701.44 points, while the Nasdaq Composite was up 118.68 points (0.75%) to 15,972.52.

MSCI’s index of Asia-Pacific stocks outside Japan is fell 0.23% to 828.15 levels. Australian index lost 0.68% to 7,369.90. Japanese Nikkei Index lowers 0.40% to 29,688.33.

European stocks were higher on Wednesday, with the Stoxx Europe 50 Index gaining 0.11% to 4,405.45, Germany’s DAX rose 0.12% to 16,261.90, and France’s CAC advances 0.05% to 7,155.82, and U.K.’s FTSE 100 slipped 0.14% to 7,316.80.

Benchmark 10-year U.S. Treasury rose as demand for safe assets grows again, today 10-year bond yields gained 0.29% to 1.639.

Oil prices dropped on Wednesday after U.S. gasoline stocks fell more than expected last week, which could heighten pressure on the Biden administration to release oil from emergency reserves to cap soaring gasoline prices.

Spot Brent crude oil loss 0.62% to $81.91 per barrel. US West Texas Intermediate crude slipped 0.71% to $79.17 a barrel.

The yellow metal traded advanced 0.21% to 1857.95 dollars per ounce.

Market Wrap: Forex 

The dollar rose to a 16-month high on Tuesday after data showed U.S. consumers looked past rising prices and drove retail sales higher than expected last month, while the euro slumped amid growth concerns and a surge in COVID-19 cases in Europe.

Today, the U.S. dollar index measures the greenback against a trade-weighted basket of six major currencies, which advanced 0.03% to 95.942.

The Euro US Dollar (EUR/USD) is a widely traded pair that is falling 0.06% today. This left the pairing trading around $1.13100.

The Japanese yen fell against the U.S. dollar on Wednesday as the stock pushes higher. Today US/JPY is gained 0.07% to 114.890 level.

Another commodity-related currency mixed against the U.S dollar, AUD/USD slipped 0.11% to 0.72930, and NZD/USD gained 0.24% to 0.70060 level.


EUR/USD Intraday: Trend on the downside

Our pivot point is at 1.13350

Preferable Price Action: Take Short positions Below pivot level with targets at 1.12670 & 1.12320 in extension.

Alternative Price Action: Above pivot looks for a further Upside to 1.14150 & 1.14500.

Comment: Pair below its 55MA & 20MA and RSI below 50 levels.

Green Lines Indicate Resistance Levels  – Red Lines Indicates Support Levels 
Light Blue is a Pivot Point   – Black represents the price when the report was produced


GBP/USD Intraday: Support at 1.34100

Our pivot point is at 1.34100

Preferable Price Action: Buy positions above pivot with targets at 1.34660 & 1.34930 in extension.

Alternative Price Action: The price below pivot would call for further downside to 1.33580 & 1.33330.

Comment: Pair above its 20MA and RSI above 50 levels.

Green Lines Indicate Resistance Levels  – Red Lines Indicates Support Levels 
Light Blue is a Pivot Point   – Black represents the price when the report was produced


USD/JPY Intraday: Trend on the upside

Our pivot point is at 114.620

Preferable Price Action: Buy position Above pivot with the target at 115.190 and 115.430 in extension.

Alternative Price Action: The Downside breakout of the pivot would call for 114.090 and 113.820.

Comment: Price above its 55MA & 20MA and MACD in positive territory.

Green Lines Indicate Resistance Levels  – Red Lines Indicates Support Levels 
Light Blue is a Pivot Point   – Black represents the price when the report was produced


AUD/USD Intraday: Trend on the downside

Our pivot point is at 0.73000

Preferable Price Action:  Sell Positions below pivot with targets at 0.72600 & 0.72430 in extension.

Alternative Price Action: Above pivot looks for a further upside with 0.73370 & 0.73540 as targets.

Comment: Pair below its 55MA & 20MA and RSI below 50 levels.

Green Lines Indicate Resistance Levels  – Red Lines Indicates Support Levels 
Light Blue is a Pivot Point   – Black represents the price when the report was produced


CRUDEOIL Intraday: In a consolidation zone

Our pivot point is at 79.70

Preferable Price Action: Below pivots Sell Oil with 78.20 & 77.40 as targets.

Alternative Price Action: Buy crude Above pivot with targets at 81.00 and 81.60 in extension.

Comment: Crude is below its 55MA & 20MA and MACD in the negative territory.

Green Lines Indicate Resistance Levels  – Red Lines Indicates Support Levels 
Light Blue is a Pivot Point   – Black represents the price when the report was produced


XAU/USD Intraday: In a consolidation zone

Our pivot point is 1852.50

Preferable Price Action: Further upside to 1868.80 and 1876.70.

Alternative Price Action: If the price gives a downside breakout of a pivot, then the price extends to 1840.00 and 1834.70.

Comment: MACD in positive territory and price above its 20MA.

Green Lines Indicate Resistance Levels  – Red Lines Indicates Support Levels 
Light Blue is a Pivot Point   – Black represents the price when the report was produced



Dow Jones Intraday: In a consolidation zone

Our pivot point is 36,173.00

Preferable Price Action: Take Short positions below pivot with targets at 36,040.00 & 35,968.00.

Alternative Price Action: Above 36,173.00 looks for further upside to 36,313.00 & 36,392.00.

Comment: Price below its 55MA & 20MA and RSI below 50 levels.

Green Lines Indicate Resistance Levels  – Red Lines Indicates Support Levels 
Light Blue is a Pivot Point   – Black represents the price when the report was produced

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