Daily Market Outlook, 21 June, 2024

Market Wrap: Stocks, Bonds, Commodities

The U.S. dollar pushed to a fresh eight-week top above 159 yen and clung close to a five-week peak to sterling on Friday, with the Federal Reserve’s patient approach to cutting interest rates contrasting with more dovish stances elsewhere

The Dow Jones Industrial Average rose 299.90 points to 39,134.76, the S&P 500 loss 0.25% to 5,473.17 and the Nasdaq Composite Descend 144.34 points to 17,717.90.

MSCI’s index of Asia-Pacific stocks outside Japan is below 0.83% to 699.44 levels. The Australian index was higher by 0.34% to 7,796.00. Japanese Nikkei Index decrease 0.07% today.

European stocks were negative on Friday, with the Stoxx Europe 50 Index decrease 0.50% to 4,923.05, Germany’s DAX  descend 0.17% to 18,207.55, and France’s CAC lower 0.35% to 7,644.41 and  U.K.’s FTSE 100 loss 0.27% to 8,250.27.

Benchmark 10-year U.S. Treasury rose as demand for safe assets slipped again, today 10-year bond yields decrease 0.45% to 4.2330.

Crude oil futures were little changed on Friday but were set to rise for a second week amid signs of improving demand and falling oil and fuel inventories in the U.S., the world’s biggest oil consumer.

Spot Brent crude oil down 0.32% to $85.44 per barrel. US West Texas Intermediate crude is decrease 0.32% to $81.03 a barrel.

The yellow metal gold is up 0.45% to 2,379.70 dollars per ounce.

Market Wrap: Forex

The dollar rose to a seven-week high against the yen on Friday, while the sterling and euro fell amid on the U.S. economy is coming off the boil while traders watch for more data bolstering the case for a Federal Reserve rate cut this year.

Today, the U.S. dollar index measures the Greenback against a trade-weighted basket of six major currencies, which ascend 0.17% to 105.404.

The Euro US Dollar (EUR/USD) is a widely traded pair that is decrease 0.17% today. This left the pair trading around $1.06820.

The Japanese yen was negative against the U.S. dollar on Friday. Today USD/JPY is trades pair that decreases 0.13% to the 158.700 level.

Another commodity-related currency mixed against the U.S dollar, AUD/USD either up or down 0.02% to 0.66540, and NZD/USD ascend 0.12% to 0.61270 level.


EUR/USD Intraday: Trend on the downside

Our pivot point is at 1.07170

Preferable Price Action: Take sell positions below pivot level with targets at 1.06850 & 1.06600 in extension.

Alternative Price Action: Buy pivot looks for a further upside to 1.07450 & 1.07700.

Comment: RSI is below 50 levels and pairs are below 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


GBP/USD Intraday: Trend on the downside

Our pivot point is at 1.26700

Preferable Price Action: Sell positions below pivot with targets at 1.26400 & 1.26170 in extension.

Alternative Price Action: The price above pivot would call for further upside to 1.26990 & 1.27210.

Comment: RSI is below 50 levels and pairs are 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


USD/JPY Intraday: In consolidation state at 158.770

Our pivot point is at 158.770

Preferable Price Action:  Buy position above pivot with the target at 159.390 and 159.840 in extension.

Alternative Price Action: The downside breakout of the pivot would call for 158.150 and 157.680.

Comment: MACD is at 50 levels.

 

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: Resistance level at 0.66640

Our pivot point is at 0.66640

Preferable Price Action: Sell positions below pivot with targets at 0.66530 & 0.66440 in extension.

Alternative Price Action: Above pivot a further upside with 0.66750 & 0.66840 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 downside

Our pivot point is at 81.25

Preferable Price Action: Below pivot sell oil with 80.51 & 79.93 as targets.

Alternative Price Action: Buy crude above pivot with targets at 81.93 and 82.48 in extension.

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


XAU/USD Intraday: Trend on the downside 

Our pivot point is 2362.80

Preferable Price Action: Further downside to 2347.30 and 2333.70.

Alternative Price Action: If the price gives an upside breakout of a pivot, then the price extends to 2377.30 and 2389.70.

Comment: MACD is below 50 levels and Paris 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 downside

Our pivot point is 39,182.60

Preferable Price Action: Take sell positions below the pivot with targets at 38,906.10 & 38,671.90.

Alternative Price Action: Above 39,182.60 looks for further upside to 39,447.90 & 39,653.80.

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