Market Wrap: Stocks, Bonds, Commodities
The S&P 500 closed at a record high on Thursday, fueled by gains in Facebook following its strong earnings report, while investors awaited upcoming results from Amazon.
Ether hit a record high on Monday above $3,000, extending last week’s rally in the wake of a report that the European Investment Bank (EIB) could launch a digital bond sale on the ethereum blockchain network.
The Dow Jones Industrial Average rose 0.71% to end at 34,059.42 points, while the S&P 500 gained 0.64% to 4,210.02.
Asian shares slipped on Friday but world stocks held near a record high after strong U.S. economic data and the Federal Reserve’s commitment to continue supporting the economy fuelled investors’ appetite for risk.
MSCI’s index of Asia-Pacific stocks outside Japan fell 0.92% to 886.50 levels. Australian index fell 0.80% to 7,025.80. Japanese Nikkei traded 0.83% lower to 28,812.63.
European stocks were advance Monday, with the Stoxx Europe 50 Index rose 0.05% to 3,999.38, Germany’s DAX rose 0.54% to 15,236.40, and France’s CAC higher 0.06% to 6,306.30, and U.K.’s FTSE 100 gained 0.19% to 6,973.85.
Benchmark 10-year U.S. Treasury rose as demand for risky assets grows again, today 10-year bond yield rose 0.33% to 1.645.
Oil headed for a weekly gain — after topping $65 a barrel on Thursday — as signs of strengthening demand from the U.S. to China stoked optimism the demand recovery from the pandemic is accelerating.
Spot Brent crude oil fell 0.72% to $67.56 per barrel. US West Texas Intermediate crude lost 0.97% to $64.39 a barrel.
The yellow metal traded higher 0.05% to 1769.70 dollars per ounce.
Market Wrap: Forex
The U.S. dollar skidded toward a fourth straight weekly decline against a basket of major peers on Friday, as the Federal Reserve stuck to its message of ultra-low interest rates for longer.
Today, the U.S. dollar index, which measures the greenback against a trade-weighted basket of six major currencies, rose 0.20% to 90.775.
The Euro US Dollar (EUR/USD) is a widely traded pair down 0.18% today. This left the pairing trading around $1.20950.
The Japanese yen fell against the U.S. dollar on Monday as the stock pushes lower. Today US/JPY flat to 108.910 level.
Another commodity-related currency mixed against the U.S dollar, AUD/USD flat to 0.77640 and NZD/USD down 0.15% to 0.72330.
EUR/USD Intraday: Trend on the downside
Our pivot point is at 1.20630
Preferable Price Action: Take short positions below pivot level with targets at 1.20200 & 1.19950 in extension.
Alternative Price Action: Above pivot looks for further upside to 1.21040 & 1.21290.
Comment: Pair below its 55MA 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
GBP/USD Intraday: Support at 1.38080
Our pivot point is at 1.38080
Preferable Price Action: Buy positions above pivot with targets at 1.38700 & 1.38950 in extension.
Alternative Price Action: The price below pivot would call for further downside to 1.37500 & 1.37250.
Comment: Price 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
USD/JPY Intraday: Trend on the upside
Our pivot point is at 109.460
Preferable Price Action: Buy position above with the target at 109.860 and 110.060 in extension.
Alternative Price Action: The downside breakout of pivot would call for 109.050 and 108.850.
Comment: price above 20MA & 50MA 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
AUD/USD Intraday: Support at 0.77050
Our pivot point is at 0.77050
Preferable Price Action: Buy Positions above pivot with targets at 0.77400 & 0.77600 in extension.
Alternative Price Action: Below pivot looks for further downside with 0.76700 & 0.76500 as targets.
Comment: Pair above its 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: Trend on the downside
Our pivot point is at 64.00
Preferable Price Action: Below pivots sell Oil with 62.80 & 62.30 as targets.
Alternative Price Action: Buy crude above pivot with targets at 65.20 and 65.70 in extension.
Comment: Crude above its 20MA 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
XAU/USD Intraday: Major Support at 1771.80
Our pivot point is at 1171.80
Preferable Price Action: Further upside to 1779.80 & 1784.30.
Alternative Price Action: If the price gives a downside breakout of a pivot, then the price extends to 1763.80 and 1759.30.
Comment: MACD in positive territory and price above it’s 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: In consolidation zone
Our pivot point is 34,000.00
Preferable Price Action: Take buy positions above pivot with targets at 34,100.00 & 34,150.00.
Alternative Price Action: Below 34,000.00 looks for further downside to 33,900.00 & 33,850.00.
Comment: Price above 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