Market Wrap: Stocks, Bonds, Commodities
Wall Street ended higher on Friday, on a fresh wave of China-US tensions that raised doubts about the trade deal reached early this year between the world’s two largest economies and also Hong Kong law bill by china raise issue between both countries.
The Dow Jones Industrial Average flat to 24,465.30 points, while the S&P 500 higher 0.24% to 2,955.45. The Nasdaq Composite gain 0.43% to 9,324.59.
A gauge of Asian stocks pared early gains on Monday amid souring relations between China and the United States, with Hong Kong shares extending losses on mounting fears about future stability in the city.
Japan Nikkei jumped 1.5% after the Nikkei newspaper reported the country was considering a fresh stimulus package worth over $929 billion that will consist mostly of financial aid programmes for companies hit by the coronavirus pandemic.
MSCI’s index of Asia-Pacific stocks outside Japan down 0.10% to 587.20 levels. Australian index advanced 1.73% to 5,591.90.
European stocks were mixed on Friday, with the Stoxx Europe 50 Index rose 0.05% to 2,905.47, Germany’s DAX gain 0.10% to 11,073.87 and France’s CAC flat to 4,444.56 and U.K.’s FTSE 100 declined 0.37% to 5,993.28.
Benchmark 10-year U.S. Treasury rose as demand for safe asset grow again, today 10-year bond yield down 0.30% to 0.657.
Spot Brent crude Oil flat to $35.13 per barrel. US West Texas Intermediate crude futures were higher 0.60% to $33.41 a barrel.
Today, gold prices slipped 0.65% to $1725.30 per ounce.
Market Wrap: Forex
Today, the U.S. dollar index, which measures the greenback against a trade-weighted basket of six major currencies, flat to 99.877.
The Euro US Dollar (EUR/USD) widely traded pair lower by 0.15% today. This left the pairing trading around $1.08880. The pound traded 0.10% higher to 1.21740.
The Japanese yen rose against the U.S. dollar on Friday as demand for safe currency rose. Today US/JPY gain 0.10% to 107.690.
Other commodity-related currency broadly edged lower against U.S dollar, AUD/USD slipped 0.15% to 0.65270 and NZD/USD down 0.25% to 0.60910.
EUR/USD Intraday: Bias downside
Our pivot point is at 1.09000
Preferable Price Action: Take Short positions below pivot level with targets at 1.08590 & 1.08385 in extension.
Alternative Price Action: Above pivot looks for further upside at 1.09417 & 1.09631.
Comment: Pair below 20MA & 55MA.
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: pair have least resistance on the upside
Our pivot point is at 1.21550
Preferable Price Action: Long positions above pivot with targets at 1.22043 & 1.22335 in extension.
Alternative Price Action: Price below pivot would call for further downside to 1.21073 & 1.20792.
Comment: MACD in the negative zone and pair below 20MA & 55MA.
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
JPY/USD Intraday: Bias on the upside
Our pivot point is at 107.550
Preferable Price Action: Long position above pivot with the target at 107.906 and 108.100 in extension.
Alternative Price Action: The downside breakout of pivot would call for 107.168 and 106.963.
Comment: Pair above 55MA & 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
AUD/USD Intraday: Support at 0.65000
Our pivot point is at 0.65000
Preferable Price Action: Long positions above pivot with targets at 0.65502 & 0.65742 in extension.
Alternative Price Action: Below pivot looks for further downside with 0.64513 & 0.64273 as targets.
Comment: MACD in the negative zone and RSI at 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: Support at 32.80
Our pivot point is at 32.80
Preferable Price Action: Buy crude above pivot with targets at 34.10 and 34.70 in extension.
Alternative Price Action: Below pivots buy Oil with 31.50 & 30.90 as targets.
Comment: MACD in the positive zone and price above 20MA and 55MA.
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: Bias on the upside
Our pivot point is at 1720.00
Preferable Price Action: Further upside to 1730.57 & 1735.58 level.
Alternative Price Action: If price gives downside breakout of a pivot, then price extends to 1710.37 and 1705.44.
Comment: RSI below 50 level mark and price below 20MA & 55MA.
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: Trend may change to up
Our pivot point is at 24450.00
Preferable Price Action: Take buy positions above pivot with targets at 24804.44 & 25009.00 in extension.
Alternative Price Action: Below 24450.00 looks for further downside to 24089.96 & 23878.35.
Comment: Index above 20MA & 55MA and also 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 produced7