Market Wrap: Stocks, Bonds, Commodities
The S&P 500 dropped on Thursday, pulled lower by Microsoft Corp and Apple Inc, as elevated levels of unemployment claims heightened concerns about the economic toll from rising coronavirus cases.
The Dow Jones Industrial Average slipped 0.49% to end at 26,734.80 points, while the S&P 500 down 0.34% to 3,215.60. The Nasdaq Composite lost 0.73%, to 10,473.90.
Asian markets appear set to open with a firmer tone on Friday, shrugging off an overnight fall in US stocks as the United States prepares to debate fresh economic stimulus to see the country through its coronavirus outbreak.
MSCI’s index of Asia-Pacific stocks outside Japan rose 0.44% to 683.00 levels. Australian index higher 0.38% to 6,033.60. Japan’s Nikkei fell 0.40% to 22,680.50.
European stocks were lower on Thursday, with the Stoxx Europe 50 Index slipped 0.38% to 3,365.35, Germany’s DAX fell 0.43% to 12,874.97 and France’s CAC lost 0.46% to 5,085.28 and U.K.’s FTSE 100 down 0.68% to 6,250.69.
Benchmark 10-year U.S. Treasury down as demand for risky asset grow again, today 10-year bond yield fell 0.20% to 0.610.
Crude Oil prices fell on Thursday after OPEC+ agreed to ease record supply curbs and as new infections of the coronavirus continue to surge in the United States.
Spot Brent crude oil fell 0.25% to $43.26 per barrel. US West Texas Intermediate crude futures were down 0.12% to $40.70 a barrel.
The yellow metal declined on Thursday traded 0.10% lower to $1800 per ounce.
Market Wrap: Forex
The dollar held onto gains against most currencies as worries that a resurgence in the coronavirus is starting to curb economic activity drew safe-haven flows into the U.S. currency.
Today, the U.S. dollar index, which measures the greenback against a trade-weighted basket of six major currencies, rose 0.10% to 96.250.
The Euro US Dollar (EUR/USD) widely traded pair lost 0.10% today. This left the pairing trading around $1.13800.
The Japanese yen down against the U.S. dollar on Tuesday as stock pushes higher. Today US/JPY down 0.15% to 107.000 level.
Other commodity related currency broadly higher against U.S dollar, AUD/USD gained 0.25% to 0.69860 and NZD/USD advanced 0.23% to 0.65480.
EUR/USD Intraday: Resistance at 1.14080
Our pivot point is at 1.14080
Preferable Price Action: Take Short positions below level with targets at 1.1357 & 1.13325 in extension.
Alternative Price Action: Above pivot level looks for further upside at 1.14594 & 1.14842.
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
GBP/USD Intraday: Support at 1.25300
Our pivot point is at 1.25300
Preferable Price Action: Long positions above pivot with targets at 1.25722 & 1.25973 in extension.
Alternative Price Action: Price below pivot would call for further downside to 1.24877 & 1.24617.
Comment: Price below 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
USD/JPY Intraday: Support at 107.050
Our pivot point is at 107.050
Preferable Price Action: Long position above pivot with the target at 107.356 and 107.504 in extension.
Alternative Price Action: The downside breakout of pivot would call for 106.749 and 106.608.
Comment: Pair above 55MA and MACD in the positive zone.
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 0.69700
Our pivot point is at 0.69700
Preferable Price Action: Long positions above pivot with targets at 0.70008 & 0.70160 in extension.
Alternative Price Action: Below pivot looks for further downside with 0.69380 & 0.69227 as targets.
Comment: Pair 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 produced
CRUDEOIL Intraday: support at 40.65
Our pivot point is at 40.65
Preferable Price Action: Buy crude above pivot level with targets at 41.10 and 41.35 in extension.
Alternative Price Action: Below pivots sell Oil with 40.21 & 39.96 as targets.
Comment: Crude above Its 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
XAU/USD Intraday: Resistance at 1804.50
Our pivot point is at 1804.50
Preferable Price Action: Further downside to 1794.67 & 1790.14 level.
Alternative Price Action: If price gives upside breakout of a pivot, then price extends to 1814.30 and 1818.95.
Comment: MACD in negative zone and price below its 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: Support at 26600.00
Our pivot point is at 26600.00
Preferable Price Action: Take buy positions above pivot with targets at 26877.91 & 27014.69 in extension.
Alternative Price Action: Below 26600.00 looks for further downside to 26327.52 & 26187.48.
Comment: Price above 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 produced7