Market Wrap: Stocks, Bonds, Commodities
Wall Street rebounded on Wednesday after a two-day decline in a broad rally as a tilt toward stocks poised to benefit from a recovering economy offset Netflix Inc’s sell-off after its disappointing results a day earlier.
The Nasdaq Composite added 1.19% to 13,950.22. The Dow Jones Industrial Average rose 0.93% to 34,137.31, while the S&P 500 gained 0.93% at 4,173.42.
Asian stocks rose on Thursday, extending a rebound in global markets following a sharp selloff earlier this week, while oil prices eased again on worries that rising COVID-19 cases in some countries will dampen fuel demand.
MSCI’s index of Asia-Pacific stocks outside Japan rose 0.25% to 877.63 levels. Australian index gained 0.83% to 7,055.40. Japanese Nikkei traded 2.38% higher to 29,188.17.
European stocks were advance on Thursday, with the Stoxx Europe 50 Index gained 0.73% to 4,005.42, Germany’s DAX rose 0.62% to 15,289.60, and France’s CAC higher 0.70% to 6,254.30, and U.K.’s FTSE 100 advance 0.28% to 6,912.90.
Benchmark 10-year U.S. Treasury rose as demand for risky assets grows again, today 10-year bond yield fell 1.10% to 1.546.
Oil prices fell for a third day on Thursday as a surprise build in U.S. crude inventories and a resurgence of COVID-19 cases in India and Japan raised concerns that a recovery in the global economy and fuel demand may slow.
Spot Brent crude oil fell 0.54% to $64.97 per barrel. US West Texas Intermediate crude slipped 0.59% to $60.98 a barrel.
The yellow metal traded lower 0.10% to 1791.55dollars per ounce.
Market Wrap: Forex
The dollar was down on Thursday morning in Asia, remaining near multi-week lows as falling gains in U.S. Treasury yields diminished the safe-haven U.S. currency’s interest-rate advantage.
Today, the U.S. dollar index, which measures the greenback against a trade-weighted basket of six major currencies, lost 0.08% to 91.050.
The Euro US Dollar (EUR/USD) widely traded pair higher 0.10% today. This left the pairing trading around $1.20430.
The Japanese yen rose against the U.S. dollar on Thursday as the stock pushes lower. Today US/JPY fell 0.10% to 107.940 level.
Another commodity-related currency mixed against the U.S dollar, AUD/USD flat to 0.77510 and NZD/USD down 0.32% to 0.71880.
EUR/USD Intraday: Trend on the upside
Our pivot point is at 1.20200
Preferable Price Action: Take long positions above pivot level with targets at 1.20560 & 1.20700 in extension.
Alternative Price Action: Below pivot looks for further downside to 1.20000 & 1.19860.
Comment: Pair above its 20MA & 55MA an RSI near 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: Resistance at 1.39530
Our pivot point is at 1.39530
Preferable Price Action: Sell positions below pivot with targets at 1.38950 & 1.38700 in extension.
Alternative Price Action: The price above pivot would call for further upside to 1.40070 & 1.40300.
Comment: Price below its 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
USD/JPY Intraday: Trend on the downside
Our pivot point is at 108.070
Preferable Price Action: Sell position below with the target at 107.840 and 107.700 in extension.
Alternative Price Action: The upside breakout of pivot would call for 108.300 and 108.440.
Comment: price below 20MA & 50MA and MACD in negative 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: In consolidation zone
Our pivot point is at 0.77360
Preferable Price Action: Buy Positions above pivot with targets at 0.77650 & 0.77850 in extension.
Alternative Price Action: Below pivot looks for further downside with 0.77080 & 0.76880 as targets.
Comment: Pair above its 20MA & 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: Trend on the downside
Our pivot point is at 61.50
Preferable Price Action: Below pivots sell Oil with 60.40 & 59.80 as targets.
Alternative Price Action: Buy crude above pivot with targets at 62.60 and 63.20 in extension.
Comment: Crude below its 20MA & 55MA and MACD in negative 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
XAU/USD Intraday: Break resistance level
Our pivot point is at 1787.00
Preferable Price Action: Further upside to 1793.00 & 1797.00.
Alternative Price Action: If the price gives a downside breakout of a pivot, then the price extends to 1781.00 and 1777.00.
Comment: MACD in positive territory and price above 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: Trend on the upside
Our pivot point is 34,060.00
Preferable Price Action: Take buy positions above pivot with targets at 34,160.00 & 34,230.00.
Alternative Price Action: Below 34,060.00 looks for further downside to 33,960.00 & 33,880.00.
Comment: Price above its 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 produced7