Market Wrap: Stocks, Bonds, Commodities
Global equities markets lagged on Thursday after stepping back from near-record levels earlier in the week, as investors studied strong U.S. data reports for economic recovery and inflation signals.
The Dow Jones Industrial Average fell 23.34 points (0.07%) to 34,577.04, the S&P 500 lost 15.27 points (0.36%) to 4,192.85 and the Nasdaq Composite dropped 141.82 pointS (1.03%) to 13,614.51.
Asian stocks followed Wall Street lower on Friday as signs of a strengthening U.S. recovery boosted bets for higher inflation and an earlier tapering of Federal Reserve stimulus.
MSCI’s index of Asia-Pacific stocks outside Japan slipped 0.34% to 890.44 levels. Australian index advance 0.49% to 7,295.40. Japanese Nikkei traded 0.40% lower to 28,941.52.
European stocks were slipped on Friday, with the Stoxx Europe 50 Index fell 0.12% to 4,074.04, Germany’s DAX flat to 15,628.30, and France’s CAC declined 0.10% 6,502.60, and U.K.’s FTSE 100 lost 0.23% to 7,047.30.
Benchmark 10-year U.S. Treasury rose as demand for safe assets grows again, today 10-year bond yields gained flat to 1.627.
Oil prices eased on Friday as concerns about the patchy roll-out of COVID-19 vaccinations around the globe tempered optimism over recovering fuel demand.
Spot Brent crude oil gained 0.53% to $71.69 per barrel. US West Texas Intermediate crude rose 0.49% to $69.15 a barrel.
The yellow metal traded 0.05% lower to 1870.15 dollars per ounce.
Market Wrap: Forex
The dollar was perched near multi-week highs on Friday, basking in its biggest gains in about a month after robust jobs data threw investors’ focus on to the strength of the U.S. recovery and on the possibility of it driving policy tightening.
Today, the U.S. dollar index measures the greenback against a trade-weighted basket of six major currencies, higher 0.07% to 90.562.
The Euro US Dollar (EUR/USD) is a widely traded pair that fell today. This left the pairing trading around $1.21090
The Japanese yen fell against the U.S. dollar on Friday as the stock pushes higher. Today US/JPY down 0.10% to 110.160 level.
Another commodity-related currency higher against the U.S dollar, AUD/USD rose 0.07% to 0.76630, and NZD/USD gained 0.15% to 0.71530.
EUR/USD Intraday: Trend on the downside
Our pivot point is at 1.21320
Preferable Price Action: Take short positions below pivot level with targets at 1.20900 & 1.20650 in extension.
Alternative Price Action: Above pivot looks for further upside to 1.21760 & 1.22000.
Comment: Pair below its 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
GBP/USD Intraday: Trend on the downside
Our pivot point is at 1.41120
Preferable Price Action: Sell positions below pivot with targets at 1.40690 & 1.40490 in extension.
Alternative Price Action: The price above pivot would call for further upside to 1.41560 & 1.41760.
Comment: Price 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
USD/JPY Intraday: Trend on the upside
Our pivot point is at 110.130
Preferable Price Action: Buy position above with the target at 110.400 and 110.550 in extension.
Alternative Price Action: The downside breakout of pivot would call for 109.850 and 109.700.
Comment: price above its 20MA & 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 produced
AUD/USD Intraday: Break support level
Our pivot point is at 0.76780
Preferable Price Action: Sell Positions below pivot with targets at 0.76450 & 0.76250 in extension.
Alternative Price Action: Above pivot looks for further upside with 0.77120 & 0.77320 as targets.
Comment: Pair below its 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
CRUDEOIL Intraday: Support at 68.25
Our pivot point is at 68.25
Preferable Price Action: Above pivots buy Oil with 69.10 & 69.45 as targets.
Alternative Price Action: Sell crude below pivot with targets at 67.40 and 67.05 in extension.
Comment: Crude is above its 55MA & 20MA and MACD in the 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: Trend in the downside
Our pivot point is 1877.00
Preferable Price Action: Further downside to 1864.90 & 1858.00.
Alternative Price Action: If the price gives an upside breakout of a pivot, then the price extends to 1889.10 and 1896.00.
Comment: MACD in negative territory and price below its 55MA & 20MA.
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 a consolidation zone
Our pivot point is 34,610.00
Preferable Price Action: Take sell positions below pivot with targets at 34,480.00 & 34,400.00.
Alternative Price Action: Above 34,610.00 looks for further upside to 34,740.00 & 34,810.00.
Comment: Price below 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