Daily Market Outlook, 25 July, 2022

Market Wrap: Stocks, Bonds, Commodities

US stocks ended lower on Friday as disappointing earnings from Snap spooked investors and shares in social media and ad-tech firms dropped, offsetting gains from card issuer American Express following an upbeat forecast.

The Dow Jones Industrial Average fell 137.61 points to 31,899.29, the S&P 500 lose 37.32 points to 3,961.63 and the Nasdaq Composite subtract 225.50 points to 11,834.11.

MSCI’s index of Asia-Pacific stocks outside Japan is drop 0.40% to 641.34 levels. Australian index lower 0.02% to 6,789.90. Japanese Nikkei Index drop 0.77% to 27,699.25.

European stocks were negative on Monday, with the Stoxx Europe 50 Index fell 0.29% to 3,586.05, Germany’s DAX decline 0.40% to 13,200.75, and France’s CAC drop 0.16% to 6,207.38, and U.K.’s FTSE 100 slipped 0.21% to 7,260.80.

Benchmark 10-year U.S. Treasury fell as demand for safe assets ascend again, today 10-year bond yields a positive 0.27% to 2.7890.

Oil prices dropped on Monday, extending a recent losing streak on concerns that an expected rise in U.S. interest rates would weaken fuel demand.

Spot Brent crude oil subtract 0.99% to $97.42 per barrel. US West Texas Intermediate crude is down 0.98% to $93.81 a barrel.

The yellow metal gold is decline 0.13% to 1,725.35 dollars per ounce.

Market Wrap: Forex 

The dollar was on a firm footing on Monday, as traders braced for a sharp U.S. interest rate hike this week and looked for safety as data points to a weakening global economy.

Today, the U.S. dollar index measures the Greenback against a trade-weighted basket of six major currencies, which is fell 0.13% to 106.493.

The Euro US Dollar (EUR/USD) is a widely traded pair that is down 0.02% today. This left the pair trading around $1.02090.

The Japanese yen was positive against the U.S. dollar on Monday as the stock up. Today USD/JPY is ascend 0.24% to 136.380 level.

Another commodity-related currency mixed against the U.S dollar, AUD/USD gain 0.04% to 0.69270, and NZD/USD down 0.13 to 0.62440 level.


EUR/USD Intraday: Trend on the downside

Our pivot point is at 1.02150

Preferable Price Action: Take sell positions below pivot level with targets at 1.01570 & 1.01140 in extension.

Alternative Price Action: Above pivot looks for a further upside to 1.02670 & 1.03060.

Comment: RSI below 50 levels.

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: In a consolidation zone

Our pivot point is at 1.19820

Preferable Price Action: Buy positions above pivot with targets at 1.20450 & 1.20950 in extension.

Alternative Price Action: The price below pivot would call for further downside to 1.19290 & 1.18900.

Comment:  RSI at 50 levels and pair above 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


USD/JPY Intraday: In a consolidation zone

Our pivot point is at 136.640

Preferable Price Action: Sell position below pivot with the target at 135.650 and 135.000 in extension.

Alternative Price Action: The upside breakout of the pivot would call for 137.500 and 138.160.

Comment: MACD is flat territory and Pair below 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: Major support level at 0.69150

Our pivot point is at 0.69150

Preferable Price Action: Buy Positions above pivot with targets at 0.69500 & 0.69800 in extension.

Alternative Price Action: Below pivot looks for a further downside with 0.68880 & 0.68640 as targets.

Comment: RSI above 50 levels and Pairs 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 downside

Our pivot point is at 94.51

Preferable Price Action: Below pivots sell oil with 90.31 & 87.11 as targets.

Alternative Price Action: Buy crude above pivot with targets at 98.31 and 101.51 in extension.

Comment: MACD is in the negative territory and Pairs below 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: Support level at 1723.40

Our pivot point is 1723.40

Preferable Price Action: Further upside to 1740.40 and 1751.80

Alternative Price Action: If the price gives a downside breakout of a pivot, then the price extends to 1709.70 and 1698.80.

Comment: MACD is positive territory and Pairs above 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


Dow Jones Intraday: In a consolidation zone

Our pivot point is 31,810.00

Preferable Price Action: Take buy positions above pivot with targets at 32,218.00 & 32,538.00.

Alternative Price Action: Below 31,810.00 looks for further downside to 31,490.00 & 31,227.00.

Comment: RSI at 50 levels and Pair below 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

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