Daily Market Outlook, 14 June, 2022

Market Wrap: Stocks, Bonds, Commodities

US equities tumbled on Monday, with the S&P 500 confirming it is in a bear market, as fears grow that the expected aggressive interest rate hikes by the Federal Reserve would push the economy into a recession.

The Dow Jones Industrial Average fell 876.05 points to 30,516.74, the S&P 500 lose 151.23 points to 3,749.63 and the Nasdaq Composite subtract 530.80 points to 10,809.22.

MSCI’s index of Asia-Pacific stocks outside Japan is ascend 0.13% to 659.05 levels. Australian index lower 3.55% to 6,686.00. Japanese Nikkei Index drop 1.32% to 26,629.86.

European stocks were positive on Tuesday, with the Stoxx Europe 50 Index rose 0.31% to 3,513.25, Germany’s DAX advance 0.39% to 13,478.58, and France’s CAC lose 0.10% to 6,012.85, and U.K.’s FTSE 100 surge 0.17% to 7,219.25.

Benchmark 10-year U.S. Treasury fell as demand for safe assets ascend again, today 10-year bond yields a negative 2.81% to 3.2760.

Oil prices seesawed in positive and negative territory on Tuesday, holding up despite recession fears and potential new COVID-19 curbs in China that could dampen demand as the market remains tightly supplied.

Spot Brent crude oil add 0.83% to $123.31 per barrel. US West Texas Intermediate crude is up 0.79% to $121.86 a barrel.

The yellow metal gold is decline 0.11% to 1,829.60 dollars per ounce.

Market Wrap: Forex 

The safe-haven U.S. dollar rose to a fresh two-decade high against a basket of currencies on Tuesday, supported by fears of a global economic slowdown and bets on steep interest rate hikes by the U.S. Federal Reserve.

Today, the U.S. dollar index measures the Greenback against a trade-weighted basket of six major currencies, which is a fell 0.28% to 104.668.

The Euro US Dollar (EUR/USD) is a widely traded pair that is up 0.56% today. This left the pair trading around $1.04570.

The Japanese yen was positive against the U.S. dollar on Tuesday as the stock up. Today USD/JPY is flat to 134.420 level.

Another commodity-related currency positive against the U.S dollar, AUD/USD gain 0.38% to 0.69490, and NZD/USD up 0.34 to 0.62780 level.


EUR/USD Intraday: Support level at 1.04150

Our pivot point is at 1.04150

Preferable Price Action: Take buy positions above pivot level with targets at 1.05900 & 1.07080 in extension.

Alternative Price Action: Below pivot looks for a further downside to 1.02610 & 1.01200.

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

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


GBP/USD Intraday: May trend reverse from 1.21480

Our pivot point is at 1.21480

Preferable Price Action: Buy positions above pivot with targets at 1.23100 & 1.24360 in extension.

Alternative Price Action: The price below pivot would call for further downside to 1.20130 & 1.18700.

Comment:  RSI at 50 levels pair above 20MA.

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


USD/JPY Intraday: In a consolidation zone

Our pivot point is at 134.480

Preferable Price Action: Buy position above pivot with the target at 135.850 and 136.930 in extension.

Alternative Price Action: The downside breakout of the pivot would call for 133.300 and 132.280.

Comment: MACD is positive territory and Pair above its 20MA & 55MA.

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


AUD/USD Intraday: In a consolidation zone

Our pivot point is at 0.69400

Preferable Price Action: Buy Positions above pivot with targets at 0.70580 & 0.71470 in extension.

Alternative Price Action: Below pivot looks for a further downside with 0.68170 & 0.67200 as targets.

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

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


CRUDEOIL Intraday: Trend on the upside

Our pivot point is at 118.11

Preferable Price Action: Above pivots buy oil with 121.88 & 125.23 as targets.

Alternative Price Action: Sell crude below pivot with targets at 114.66 and 111.91 in extension.

Comment: MACD is in the positive territory and Pair above its 20MA & 55MA.

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


XAU/USD Intraday: May trend reverse from 1826.00

Our pivot point is 1826.00

Preferable Price Action: Further upside to 1851.30 and 1867.90

Alternative Price Action: If the price gives a downside breakout of a pivot, then the price extends to 1802.00 and 1786.10.

Comment: MACD is positive territory and pair above 20MA.

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


Dow Jones Intraday: Major support level at 30,643.00

Our pivot point is 30,643.00 

Preferable Price Action: Take buy positions above pivot with targets at 31,540.00 & 32,204.00.

Alternative Price Action: Below 30,643.00 looks for further downside to 29,753.00 & 29,114.00.

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

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

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