Daily Market Outlook, 09 August, 2022

Market Wrap: Stocks, Bonds, Commodities

Shares edged lower and the dollar hung off recent highs on Tuesday as investors eyed U.S. inflation data due a day later that will likely yield clues to any further aggressive Federal Reserve rate hikes.

The Dow Jones Industrial Average rose 29.07 points to 32,832.54, the S&P 500 lose 5.13 points to 4,140.06 and the Nasdaq Composite subtract 13.10 points to 12,644.46.

MSCI’s index of Asia-Pacific stocks outside Japan is drop 0.01% to 644.30 levels. Australian index higher 0.13% to 7,029.80. Japanese Nikkei Index drop 0.88% to 27,999.96.

European stocks were mixed on Tuesday, with the Stoxx Europe 50 Index fell 0.16% to 3,751.25, Germany’s DAX decline 0.29% to 13,647.67, and France’s CAC ascend 0.07% to 6,529.16, and U.K.’s FTSE 100 surge 0.10% to 7,490.30.

Benchmark 10-year U.S. Treasury fell as demand for safe assets ascend again, today 10-year bond yields a positive 0.18% to 2.7680.

Oil prices pulled back slightly on Tuesday on the latest progress in last-ditch talks to revive the 2015 Iran nuclear accord, which would clear the way to boost its crude exports in a tight market.

Spot Brent crude oil subtract 1.23% to $95.45 per barrel. US West Texas Intermediate crude is down 1.39% to $89.52 a barrel.

The yellow metal gold is advance 0.20% to 1,808.70 dollars per ounce.

Market Wrap: Forex 

The U.S. dollar edged lower in early European trade Tuesday, adopting something of a holding pattern ahead of the release of the key U.S. consumer inflation data.

Today, the U.S. dollar index measures the Greenback against a trade-weighted basket of six major currencies, which is fell 0.32% to 105.977.

The Euro US Dollar (EUR/USD) is a widely traded pair that is up 0.38% today. This left the pair trading around $1.02340.

The Japanese yen was positive against the U.S. dollar on Tuesday as the stock up. Today USD/JPY is drop 0.06% to 134.920 level.

Another commodity-related currency mixed against the U.S dollar, AUD/USD lose 0.10% to 0.69810, and NZD/USD up 0.02 to 0.62880 level.


EUR/USD Intraday: Trend on the upside

Our pivot point is at 1.01950

Preferable Price Action: Take buy positions above pivot level with targets at 1.02680 & 1.03230 in extension.

Alternative Price Action: Below pivot looks for a further downside to 1.01370 & 1.00850.

Comment: RSI above 50 levels and Pairs 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


GBP/USD Intraday: Support level at 1.20770

Our pivot point is at 1.20770

Preferable Price Action: Buy positions above pivot with targets at 1.21550 & 1.22080 in extension.

Alternative Price Action: The price below pivot would call for further downside to 1.20120 & 1.19640.

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


USD/JPY Intraday: In a consolidation zone

Our pivot point is at 135.750

Preferable Price Action: Sell position below pivot with the target at 133.190 and 131.450 in extension.

Alternative Price Action: The upside breakout of the pivot would call for 137.990 and 139.700.

Comment: MACD is flat territory.

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 0.69720

Preferable Price Action: Buy Positions above pivot with targets at 0.70410 & 0.70930 in extension.

Alternative Price Action: Below pivot looks for a further downside with 0.69120 & 0.68680 as targets.

Comment: RSI at 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


CRUDEOIL Intraday: Major trend on the downside

Our pivot point is at 89.99

Preferable Price Action: Below pivots sell oil with 86.08 & 83.20 as targets.

Alternative Price Action: Buy crude above pivot with targets at 93.53 and 96.26 in extension.

Comment: MACD is in the negative territory and Pairs below 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


XAU/USD Intraday: Trend on the upside

Our pivot point is 1785.50

Preferable Price Action: Further upside to 1805.10 and 1819.00

Alternative Price Action: If the price gives a downside breakout of a pivot, then the price extends to 1769.20 and 1755.30.

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: Trend on the downside

Our pivot point is 32,893.00

Preferable Price Action: Take sell positions below pivot with targets at 32,743.00 & 32,644.00.

Alternative Price Action: Above 32,893.00 looks for further upside to 33,016.00 & 33,115.00.

Comment: RSI below 50 levels 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

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