Market Wrap: Stocks, Bonds, Commodities
Wall Street suffered its biggest drop since the crash of 1987 on Monday after unprecedented steps taken by the Federal Reserve, lawmakers and the White House to slow the spread and blunt the economic hit of the coronavirus failed to restore order to markets.
The Dow Jones Industrial Average declined 2,997 points (12.94%) to 20,188, the S&P 500 dropped 325 points (11.98%) to 2,386. The Nasdaq Composite fell 970.30 points (12.32%) to 6,904.
Most Asian shares fell on Tuesday a day after Wall Street’s historic market rout, with fleeting initial gains evaporating as the coronavirus remained a major risk to economic growth.
MSCI’s broadest index of Asia-Pacific shares outside Japan was down 1.31% to 543 level. Australian shares surged 5.80%, while Japan’s Nikkei stock index slid 0.50%.
European stocks were down on Thursday, with the Stoxx Europe 50 Index declined 5.85% to 2,435, Germany’s DAX dropped 5.26% to 8,746 and France’s CAC fell 5.75% to 3,881 and U.K.’s FTSE 100 down 4.01% to 5,151.
Benchmark 10-year U.S. Treasury yields down as demand for a safe asset grow on Thursday, today advanced 6.65% to 0.776.
Oil prices fell below $30 a barrel on Monday after the worldwide coronavirus outbreak worsened over the weekend, exacerbating fears that government lockdowns to contain the spread of the disease would spark a global recession.
Brent crude settled down $3.80, or 11.2%, at $30.05 a barrel. The international benchmark fell as low as $29.52 a barrel, its lowest since January 2016. US West Texas Intermediate (WTI) crude fell $3.03, or 9.6%, to end at $28.70 a barrel, its lowest since February 2016.
Market Wrap: Forex
Today, the U.S. dollar index, which measures the greenback against a trade-weighted basket of six major currencies, rose 0.15% to 98.300.
The Euro US Dollar (EUR/USD) exchange rate down by 0.15% today. This left the pairing trading around $1.11640.
The Japanese yen declined against the U.S. dollar on Tuesday as the new coronavirus cases spread slowly in European countries. Today USD/JPY advanced 0.52% to 106.400 level.
Other commodity-related currency broadly higher against U.S dollar, AUD/USD fell 0.53% to 0.60840 and NZD/USD down 0.30% to 0.60250.
EUR/USD Intraday: Bias Remain bearish
Our pivot point is at 1.12120
Preferable Price Action: Take short positions below pivot level with targets at 1.11025 & 1.10630 in extension.
Alternative Price Action: Above pivot looks for further upside at 1.13140 & 1.13611.
Comment: MACD is in negative territory and RSI at 50 level.
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 continuously down
Our pivot point is at 1.23464
Preferable Price Action: Short positions below pivot with targets at 1.21777 & 1.20980 in extension.
Alternative Price Action: Price above pivot would call for further upside to 1.25230 and 1.26200.
Comment: The RSI indicator below 50 level mark and pair 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
JPY/USD Intraday: Support at 105.300
Our pivot point is at 105.300
Preferable Price Action: Long position above pivot with the target at 10.540 and 108.570 in extension.
Alternative Price Action: The downside breakout of pivot would call for 103.330 and 102.416
Comment: Pair 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: Long term trend down
Our pivot point is at 0.61858
Preferable Price Action: Short positions below pivot with targets at 0.60582 & 0.60026 in extension.
Alternative Price Action: Above pivot looks for further upside with 0.62996 & 0.63647 as targets.
Comment: Pair below 20MA and 55MA and RSI below 50 level mark.
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: Downtrend continuously
Our pivot point is at 31.14
Preferable Price Action: Sell below pivot with targets at 28.92 and 27.82 in extension.
Alternative Price Action: Above pivots buy Oil with 32.98 & 33.89 as targets.
Comment: MACD in the positive zone and pair above 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
XAU/USD Intraday: Under pressure
Our pivot point is at 1518.20
Preferable Price Action: Further downside to 1467.83 & 1446.26 level.
Alternative Price Action: If price gives upside breakout of a pivot, then price extends to 1557.66 and 1579.87.
Comment: RSI below 50 levels and price below 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: Large volatility continue
Our pivot point is at 21,716
Preferable Price Action: Take short positions below pivot with targets at 20,340 & 29,682 in extension.
Alternative Price Action: Above 21,716 looks for further upside to 23,263 & 23,974.
Comment: Pair is trading above its 20MA and RSI at50 level.
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