Market Wrap: Stocks, Bonds, Commodities
American major stock indices are higher and Nasdaq index closed at a record high on Thursday as gains in heavyweight technology stocks outweighed downbeat data about jobless claim that affirmed the Federal Reserve’s view of a difficult road to economic recovery.
The Dow Jones Industrial Average ended up 46.85 points (0.17%) to 27,739.73, the S&P 500 gained 10.66 points (0.32%) to 3,385.51 and the Nasdaq Composite added 118.49 points (1.06%) to 11,264.95.
Asian stock index are started rising on Friday after a tech-driven rally on Wall Street despite less than expected American economic data.
MSCI’s index of Asia-Pacific stocks outside Japan gained 1.24% to 715.80 levels. Australian index fell 0.14% to 6,111.20. Japanese Nikkei rose 0.17% to 22,920.50.
European stocks were higher on Friday, with the Stoxx Europe 50 Index rose 0.24% to 3,280.10, Germany’s DAX gained 0.26% to 12,862.85 and France’s CAC up 0.14% to 4,918.26 and U.K.’s FTSE 100 slipped 0.20% to 6,002.65.
Benchmark 10-year U.S. Treasury down as demand for risky asset grow again, today 10-year bond yield higher 0.82% to 0.649.
Oil prices rose in early trade on Friday, on track for a third straight week of gains, buoyed by major oil producers’ efforts to hold back output amid concerns about the economic recovery from the coronavirus pandemic.
Spot Brent crude oil fell 0.22% to $44.80 per barrel. US West Texas Intermediate crude futures were down 0.30% to $42.70 a barrel.
The yellow metal trading 0.20% higher to 1938.30 dollars per ounce.
Market Wrap: Forex
The dollar was down on Friday morning in Asia, as an unexpected rise in the number of Americans claiming unemployment benefits and a slight decline in Treasury yields dampened traders sentiment.
Today, the U.S. dollar index, which measures the greenback against a trade-weighted basket of six major currencies, higher 0.05% to 92.817.
The Euro US Dollar (EUR/USD) widely traded pair lower by 0.18% today. This left the pairing trading around $1.18370.
The Japanese yen rose against the U.S. dollar on Wednesday as stock pushes lower. Today US/JPY slipped 0.28% to 105.500 level.
Other commodities-related currency mixed against U.S dollar, AUD/USD rose 0.07% to 0.71960 and NZD/USD flat to 0.65330.
EUR/USD Intraday: Major Trend on Upside
Our pivot point is at 1.18510
Preferable Price Action: Take Long positions above level with targets at 1.18934 & 1.19182 in extension.
Alternative Price Action: Below pivot looks for further downside at 1.18073 & 1.17838.
Comment: Pair above it’s 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: Strong trend upside
Our pivot point is at 1.32100
Preferable Price Action: Long positions above pivot with targets at 1.32710 & 1.33003 in extension.
Alternative Price Action: Price below pivot would call for further downside to 1.31481 & 1.31163.
Comment: Price above 55MA & 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: Minor trend on downside
Our pivot point is at 105.800
Preferable Price Action: Short position below pivot with the target at 105.309 and 105.052 in extension.
Alternative Price Action: The upside breakout of pivot would call for 106.293 and 106.549.
Comment: price below 20MA & 55MA and RSI at oversold 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
AUD/USD Intraday: Bias on the upside
Our pivot point is at 0.71790
Preferable Price Action: Long positions above pivot with targets at 1.72184 & 0.72431 in extension.
Alternative Price Action: Below pivot looks for further downside with 0.71402 & 0.71146 as targets.
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
CRUDEOIL Intraday: Support at 42.65
Our pivot point is at 42.65
Preferable Price Action: Buy crude above pivot with targets at 43.05 and 43.25 in extension.
Alternative Price Action: Below pivots sell Oil with 42.24 & 42.03 as targets.
Comment: Crude above 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
XAU/USD Intraday: Resistance at 1957.40
Our pivot point is at 1957.40
Preferable Price Action: Further downside to 1935.06 & 1925.14 level.
Alternative Price Action: If price gives upside breakout of a pivot, then price extends to 1980.19 and 1990.46.
Comment: RSI at 50 levels and price above 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 26,675.80
Our pivot point is at 27675.80
Preferable Price Action: Take buy positions above pivot with targets at 27896.92 & 28012.58 in extension.
Alternative Price Action: Below 27675.80 looks for further downside to 27456.61 & 27337.40.
Comment: Price above 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 produced7