Market Wrap: Stocks, Bonds, Commodities
The Nasdaq posted a record closing high on Monday, becoming the first of the major indexes to confirm a new bull market, while the S&P 500 ended in positive territory for the year as expectations for a swift recovery from a coronavirus-driven downturn increased.
The Dow Jones Industrial Average rose 461.46 points (1.7%) to 27,572.44, the S&P 500 gained 38.46 points (1.20%) to 3,232.39 and the Nasdaq Composite added 110.66 points (1.13%) to 9,924.75.
Asian stocks were set to climb on Tuesday as confidence in an economic recovery pushed the Nasdaq benchmark to a record high, although doubts about crude supply cuts were likely to keep oil prices under pressure.
European stocks were higher on Wednesday, with the Stoxx Europe 50 Index flat to 3,362.50.29, Germany’s DAX down 0.26% to 12,786.68 and France’s CAC lost 0.15% to 5,170.53 and U.K.’s FTSE 100 fell 0.33% to 6,451.30.
Benchmark 10-year U.S. Treasury rose as demand for safe asset grow again, today 10-year bond yield lost 5.88% to 0.832.
Oil prices climbed on Tuesday, paring losses from the previous session, as markets broadly rose on growing confidence in a global recovery with pandemic lockdowns easing.
Spot Brent crude oil rose 0.20% to $40.86 per barrel. US West Texas Intermediate crude higher 0.50% to $38.37 a barrel.
Today, Gold fell 0.15% on the morning to $1697 per ounce level.
Market Wrap: Forex
Today, the U.S. dollar index, which measures the greenback against a trade-weighted basket of six major currencies, higher 0.30% to 96.888.
The Euro US Dollar (EUR/USD) widely traded pair lost 0.25% today. This left the pairing trading around $1.12650. The pound traded 0.40% lower to 1.26740.
The Japanese yen rose against the U.S. dollar on Monday as demand for safe currency rose. Today US/JPY down 0.45% to 107.950.
Other commodity-related currency broadly edged lower against U.S dollar, AUD/USD down 1.21% to 0.69340 and NZD/USD fell 0.65% to 0.65120.
EUR/USD Intraday: Resistance at 1.13000
Our pivot point is at 1.13000
Preferable Price Action: Take Short positions below pivot level with targets at 1.12506 & 1.12251 in extension.
Alternative Price Action: Above pivot looks for further upside at 1.13491 & 1.13746.
Comment: Trend reverse to the downside now.
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: May trend reverse
Our pivot point is at 1.27300
Preferable Price Action: Short positions below pivot with targets at 1.26704 & 1.26381 in extension.
Alternative Price Action: Price above pivot would call for further upside to 1.27877 & 1.28171.
Comment: Price below 20MA 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
JPY/USD Intraday: Resistance at 108.300
Our pivot point is at 108.300
Preferable Price Action: Short position below pivot with the target at 107.851 and 107.606 in extension.
Alternative Price Action: The upside breakout of pivot would call for 108.749 and 109.004.
Comment: Pair below 20MA & 55MA 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
AUD/USD Intraday: Resistance at 0.69700
Our pivot point is at 0.69700
Preferable Price Action: Short positions below pivot with targets at 0.69248 & 0.69045 in extension.
Alternative Price Action: Above pivot looks for further upside with 0.70141 & 0.70338 as targets.
Comment: MACD in the negative zone and RSI at oversold 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: Trend pause temporary
Our pivot point is at 38.00
Preferable Price Action: Buy crude above pivot with targets at 39.10 and 39.71 in extension.
Alternative Price Action: Below pivots sell Oil with 36.88 & 36.29 as targets.
Comment: MACD in the positive zone 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
XAU/USD Intraday: Bias on the upside
Our pivot point is at 1690.30
Preferable Price Action: Further upside to 1704.51 & 1710.78 level.
Alternative Price Action: If price gives downside breakout of a pivot, then price extends to 1677.18 and 1671.39.
Comment: RSI above 50 level mark 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
Dow Jones Intraday: Trend on the upside
Our pivot point is at 27350.00
Preferable Price Action: Take buy positions above pivot with targets at 27720.81 & 27922.60 in extension.
Alternative Price Action: Below 27350.00 looks for further downside to 26960.24 & 26745.80.
Comment: Price above 20MA and 55MA 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 produced7