Daily Market Outlook, 12 July, 2024

Market Wrap: Stocks, Bonds, Commodities

The U.S. dollar slipped lower in early European trade Friday ahead of a key inflation report later in the session, while strong growth data has boosted sterling.

The Dow Jones Industrial Average rose 32.39 points to 39,753.75, the S&P 500 loss 0.88% to 5,584.54 and the Nasdaq Composite descend 358.82 points to 18,288.62.

MSCI’s index of Asia-Pacific stocks outside Japan is down 0.07% to 720.62 levels. The Australian index was higher by 0.88% to 7,959.30. Japanese Nikkei Index decrease 2.46% today.

European stocks were positive on Friday, with the Stoxx Europe 50 Index increase 0.41% to 4,996.75, Germany’s DAX  ascend 0.13% to 18,564.55, and France’s CAC higher 0.70% to 7,680.49 and  U.K.’s FTSE 100 gain 0.33% to 8,250.67.

Benchmark 10-year U.S. Treasury rose as demand for safe assets slipped again, today 10-year bond yields increase 0.72% to 4.2200.

Oil prices inched up on Friday amid signs of easing inflationary pressures in the United States, the world’s biggest oil consumer, although Brent crude was set for a weekly decline.

Spot Brent crude oil increase 0.71% to $86.01 per barrel. US West Texas Intermediate crude is increase 0.90% to $83.36 a barrel.

The yellow metal gold is down 0.48% to 2,410.25 dollars per ounce.

Market Wrap: Forex

The dollar steadied against a basket of currencies on Friday after softer-than-expected inflation data saw the greenback sink to one-month lows, amid increased bets that the Federal Reserve will cut interest rates in September.

Today, the U.S. dollar index measures the Greenback against a trade-weighted basket of six major currencies, which decrease 0.02% to 104.1150.

The Euro US Dollar (EUR/USD) is a widely traded pair that is ascend 0.13% today. This left the pair trading around $1.08790.

The Japanese yen was positive against the U.S. dollar on Friday. Today USD/JPY is trades pair that increases 0.28% to the 159.240 level.

Another commodity-related currency positive against the U.S dollar, AUD/USD increase 0.19% to 0.67720, and NZD/USD increase 0.19% to 0.61050 level.


EUR/USD Intraday: Trend on the downside

Our pivot point is at 1.08700

Preferable Price Action: Take sell positions below pivot level with targets at 1.08570 & 1.08450 in extension.

Alternative Price Action: Buy pivot looks for a further upside to 1.08830 & 1.08940.

Comment: RSI is below 50 levels and Pairs below its 20MA.

Green Lines Indicate Resistance Levels  – Red Lines Indicate 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 1.29110

Preferable Price Action: Sell positions below pivot with targets at 1.28890 & 1.28690 in extension.

Alternative Price Action: The price above pivot would call for further upside to 1.29340 & 1.29520.

Comment: RSI is below 50 levels and Pairs below its 20MA.

Green Lines Indicate Resistance Levels  – Red Lines Indicate 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 159.340

Preferable Price Action: Sell position below pivot with the target at 158.780 and 158.300 in extension.

Alternative Price Action: The upside breakout of the pivot would call for 159.950 and 160.490.

Comment: MACD is below 50 levels and Pairs below its 55MA.

Green Lines Indicate Resistance Levels  – Red Lines Indicate Support Levels 
Light Blue is a Pivot Point   – Black represents the price when the report was produced


AUD/USD Intraday: Trend on the downside

Our pivot point is at 0.67660

Preferable Price Action: Sell positions below pivot with targets at 0.67550 & 0.67460 in extension.

Alternative Price Action: Above pivot a further upside with 0.67770 & 0.67860 as targets.

Comment: RSI is below 50 levels and Pairs below its 55MA.

Green Lines Indicate Resistance Levels  – Red Lines Indicate Support Levels 
Light Blue is a Pivot Point   – Black represents the price when the report was produced


CRUDEOIL Intraday:  Trend on the upside

Our pivot point is at 81.93

Preferable Price Action: Above pivot buy oil with 82.21 & 82.41 as targets.

Alternative Price Action: Sell crude below pivot with targets at 81.66 and 81.43 in extension.

Comment: RSI is above 50 levels and pairs above its 20MA & 55MA.

Green Lines Indicate Resistance Levels  – Red Lines Indicate Support Levels 
Light Blue is a Pivot Point   – Black represents the price when the report was produced


XAU/USD Intraday: Trend on the downside 

Our pivot point is 2408.10

Preferable Price Action: Further downside to 2398.40 and 2390.50.

Alternative Price Action: If the price gives an upside breakout of a pivot, then the price extends to 2373.20 and 2368.00.

Comment: MACD is below 50 levels and Pairs below its 20MA.

Green Lines Indicate Resistance Levels  – Red Lines Indicate 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 39,803.50

Preferable Price Action: Take buy positions above the pivot with targets at 39,907.20 & 39,993.90.

Alternative Price Action: Below 39,803.50 looks for further downside to 39,705.00 & 39,622.30.

Comment: RSI is above 50 levels and pairs above its 55MA & 20MA.

Green Lines Indicate Resistance Levels  – Red Lines Indicate Support Levels 
Light Blue is a Pivot Point   – Black represents the price when the report was produced