Market Wrap: Stocks, Bonds, Commodities
The Nasdaq Composite Index closed at a record high on Thursday, lifted by Tesla Inc, while the S&P 500 fell after a report indicated that Pfizer Inc had slashed the target for the rollout of its COVID-19 vaccine.
The Dow Jones Industrial Average rose 0.29% to end at 29,969.52 points, while the S&P 500 lost 0.06% to 3,666.72. The Nasdaq Composite climbed 0.23% to 12,377.18.
Investors in Asia geared up for modest stock gains on Friday as US legislators wrangled over a fiscal stimulus and negotiations over a Brexit trade deal continued.
MSCI’s index of Asia-Pacific stocks outside Japan jumped 0.90% to 816.44 levels. Australian index advances 0.28% to 6,634.10. Japanese Nikkei advance down 0.22% to 26,751.24.
European stocks were lower on Wednesday, with the Stoxx Europe 50 Index gained 0.25% to 3,526.35, Germany’s DAX flat to 13,250.65 and France’s CAC up 0.34% to 5,593.92 and U.K.’s FTSE 100 rose 0.48% to 6,522.65.
Benchmark 10-year U.S. Treasury down as demand for risky asset grow again, today 10-year bond yield down 0.52% to 0.916.
Oil prices rose on Friday, heading for the fifth week of gains after major producers agreed to continue to restrain production to cope with coronavirus-hit demand but the compromise fell short of expectations.
Spot Brent crude Oil climbed 1.99% to $49.68 per barrel. US West Texas Intermediate crude gained 1.77% to $46.45 a barrel.
The yellow metal traded 0.10% higher to 1838.80 dollar per ounce.
Market Wrap: Forex
The dollar was up on Friday morning in Asia, with investors continuing to bet on further declines as optimism that the COVID-19 pandemic is slowly starting to come to an end. The euro, on the other hand, benefitted from the dollar’s weakness and looked set to close its best week in a month.
Today, the U.S. dollar index, which measures the greenback against a trade-weighted basket of six major currencies, down 0.05% to 90.675.
The Euro US Dollar (EUR/USD) widely traded pair rose 0.10% today. This left the pairing trading around $1.21530.
The Japanese yen down against the U.S. dollar on Friday as stock pushes higher. Today US/JPY rose 0.16% to 104.000 level.
Other commodity-related currency declines against U.S dollar, AUD/USD down 0.13% to 0.74290 and NZD/USD slipped 0.18% to 0.70610.
EUR/USD Intraday: Strong Trend on the upside
Our pivot point is at 1.21265
Preferable Price Action: Take Long positions above pivot level with targets at 1.21950 & 1.22290 in extension.
Alternative Price Action: Below pivot looks for further downside at 1.20590 & 1.20275.
Comment: Pair above its 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
GBP/USD Intraday: Support at 1.34260
Our pivot point is at 1.34260
Preferable Price Action: Buy positions above pivot with targets at 1.34810 & 1.35020 in extension.
Alternative Price Action: Price below pivot would call for further downside to 1.33770& 1.33530.
Comment: Price 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
USD/JPY Intraday: Trend on the downside
Our pivot point is at 104.120
Preferable Price Action: Sell position below pivot with the target at 103.850 and 103.750 in extension.
Alternative Price Action: The upside breakout of pivot would call for 104.350 and 104.450.
Comment: price below its 20MA & 55MA and MACD in negative 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 produced
AUD/USD Intraday: Support at 0.74100
Our pivot point is at 0.74100
Preferable Price Action: Buy Positions above pivot with targets at 0.74435 & 0.74580 in extension.
Alternative Price Action: Below pivot looks for further downside with 0.73745 & 0.73600 as targets.
Comment: Pair below its 55MA & 20MA 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
CRUDEOIL Intraday: Support at 46.00
Our pivot point is at 46.00
Preferable Price Action: Above pivots buy Oil with 46.80 & 47.15 as targets.
Alternative Price Action: Sell crude above pivot with targets at 45.25 and 45.85 in extension.
Comment: Crude above 55MA & 20MA 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 produced
XAU/USD Intraday: Strong support at 1830.00
Our pivot point is at 1830.00
Preferable Price Action: Further upside to 1854.00 & 1863.00 level.
Alternative Price Action: If price gives downside breakout of a pivot, then price extends to 1804.00 and 1793.30.
Comment: MACD in positive territory and price above its 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: Break resistance level
Our pivot point is at 29,923.00
Preferable Price Action: Take buy positions above pivot with targets at 30,085.00 & 30,140.00 in extension.
Alternative Price Action: below 29,923 looks for further downside to 29,750.00 & 29,675.00
Comment: Price above its 20MA & 55MA 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 produced7