2022-11-23 10:04

Market Update - 23 November 2022 GBP/USD remains confined in a narrow trading band through the first half of the European session. Slightly better-than-expected UK PMIs fail to provide any impetus amid a bleak economic outlook. A mildly softer tone around the USD offers some support ahead of the key FOMC meeting minutes. (FXStreet) EUR/USD fades part of the earlier advance to the 1.0350 region. Germany flash Manufacturing PMI seen rebounding a tad in November. Markets’ attention will be on the release of the FOMC Minutes later in the day. (FXStreet) USD/CAD grinds higher while paring the biggest daily fall in a fortnight. 50-SMA, ascending trend line from early September restrict immediate downside. Seven-week-old horizontal support area challenge buyers before 200-SMA. Bearish MACD signals, steady RSI favor short-term sellers. (FXStreet) NZD/USD remains mildly bid even as Reserve Bank of New Zealand announced 75 bps lift in the benchmark interest rate. Fears of recession, China Covid woes challenge New Zealand Dollar buyers. Multiple statistics from the United States, Minutes of the latest US Federal Reserve (Fed) meetings will offer clear directions. (FXStreet) AUD/USD gains some follow-through traction on Wednesday amid the prevalent USD selling bias. Bets for less aggressive Fed rate hikes and stability in the equity markets weigh on the greenback. Investors now look to the US macro data for some impetus ahead of the FOMC meeting minutes. (FXStreet) USD/JPY retreated from the 10-day high it touched above 142.00 earlier in the week and ended up losing 100 pips on Tuesday. The pair seems to have gone into a consolidation phase above 141.00 mid-week. (FXStreet) Gold price is extending previous gains amid weak US Dollar, US Treasury bond yields. XAU/USD could gather bullish momentum ahead of Federal Reserve minutes and critical economic data from the United States, FXStreet’s Dhwani Mehta reports. (FXStreet) Silver attracts some dip-buying on Wednesday and spikes to a multi-day high. The move confirms a breakout through a one-week-old descending trend line. A sustained break below the $21.00 mark is needed to negate the positive bias. (FXStreet) USD/TRY remains sidelined for the second consecutive day. Turkiye’s geopolitical tension with Syria jostles with improved Consumer Confidence to challenge traders. US Dollar inaction ahead of the key data/events also restricts the Turkish Lira pair’s immediate moves. (FXStreet) USD/CNH extends the rebound from resistance-turned-support line towards 100-SMA. RSI suggests further grinding below the key Simple Moving Averages (SMAs). 200-SMA adds to the upside filters, sellers need validation from 7.1180-60 support confluence. (FXStreet) USD/INR picks up bids to reverse the previous day’s pullback from two-week high. Chatters surrounding RBI intervention near 81.80-90 join oil prices retreat to challenge bulls. China COVID-19 woes, cautious mood ahead of the key data, FOMC Minutes keep buyers hopeful. Support for Fed’s 75 bps rate hike, upbeat US data could portray further upside. (FXStreet) Following the sharp decline witnessed earlier in the week, Bitcoin gained nearly 3% on Tuesday and extended its recovery toward $16,500 early Wednesday. Similarly, Ethereum gained traction and was last seen trading above $1,150, where it was up 2% on the day. (FXStreet) The Nasdaq 100 index has pulled back in recent days from the upper edge of a rising channel from mid-October. However, there is quite a strong cushion at the resistance-turned-support at the late-October high of 11682. Moreover, the drop this week is about a 38.2% retracement of the November rise, which is a reasonable retracement and not an indication of the start of its well-established downtrend, just yet. (DailyFX) Brent crude oil is trading higher today after yesterday’s continuation of OPEC+ member nations denying rumors around a possible 500 million bpd output increase. In addition, the API weekly crude oil stock change which missed forecasts (2.6MMbbls), falling by 4.8MMbbls. This morning shows the greenback marginally on the back foot stemming from an underwhelming statement by the Fed’s Bullard who many expected to reiterate his prior hawkish comments which were not the case. (DailyFX) The Hang Seng Index (HSI) faces quite strong resistance, raising the chances that the three-week rebound could soon run its course. HSI jumped 25% from the October low before retreating in the past couple of sessions from near a stiff hurdle: the 89-day moving average, coinciding with the March low of 18235. The moving average has posed strong resistance since late 2021, so a retreat would by no means be surprising. (DailyFX) Source: FXStreet, DailyFX Disclaimer: This information does not represent a BUY or SELL recommendation on the stock covered. Traders and Investors are encouraged to do their own analysis on stocks instead of blindly following any Trading calls raised by various parties on the Internet.

2022-11-22 10:21

Market Update - 22 November 2022 Among the strongest losers of yesterday's USD rally was the Japanese Yen. In order to depress the USD/JPY pair, we need a sustainably weaker Dollar unless the Bank of Japan abandons its dovish stance, economists at Commerzbank report. (FXStreet) USD/CAD meets with a fresh supply on Tuesday amid the emergence of some USD selling. China’s COVID-19 woes, hawkish Fed expectations should limit the downside for the buck. Subdued Crude Oil prices might cap gains for the Loonie and lend some support to the pair. (FXStreet) AUD/USD attracts some buyers on Tuesday amid subdued USD price action. China’s COVID-19 woes, hawkish Fed expectations could limit the USD losses. RBA Governor Lowe's comments fail to impress bulls or provide any impetus. (FXStreet) GBP/USD edges higher on Tuesday amid subdued USD demand, though lacks bullish conviction. China’s COVID-19 woes, geopolitical risks should limit any meaningful downside for the Greenback. A bleak outlook for the UK economy undermines the Sterling and contributes to capping the pair. (FXStreet) NZD/USD regains some positive traction on Tuesday amid subdued USD price action. China’s COVID-19 woes, hawkish Fed signals should act as a tailwind for the greenback. Traders also seem reluctant ahead of the RBNZ and the FOMC minutes on Wednesday. (FXStreet) EUR/USD retreats from intraday high, pares the first daily gains in four. Markets fade early Asian session optimism amid mixed concerns over ECB, Fed. Covid woes exert additional downside pressure on EUR/USD price. Preliminary readings of Eurozone Consumer Confidence for November could direct Immediate moves. (FXStreet) GBP/JPY struggles to gain any meaningful traction and consolidates near a two-week high. Bets for additional rate hikes by the BoE underpin the British Pound and acts as a tailwind. A modest pickup in demand for the JPY keeps a lid on any meaningful upside for the cross. The BoJ’s dovish stance might continue to weigh on the JPY and favours the GBP/JPY bulls. (FXStreet) USD/INR is facing barricades in an attempt of overstepping the immediate hurdle of 82.00. A significant jump in demand for US Durable Goods could lift interest rate guidance. A decline in India’s retail inflation might force the RBI to a lower rate hike. (FXStreet) USD/CNH, up over 2% over the past week, is now running into stiff converged resistance: Thursday’s high of 7.18, the 200-period moving average, and the 89-period moving average on the 240-minute charts (the minor rebound earlier this month ran out of steam at the shorter moving average). With negative momentum divergence (rising price associated with declining momentum), USD/CNH could find it tough to crack the resistance for now. This follows a rebound from near support at the October low of 7.01 –a path highlighted in the previous update. Also, USD/CNH met the price objective of a minor topping pattern triggered earlier this month. (DailyFX) Oil prices are hovering around $80.00, with hopes for further recovery on OPEC+ intervention. The oil cartel will continue to cut oil production by two million bpd till the end of 2023. Sky-rocketing Covid-19 cases in China could force the administration to return to lockdown curbs. (FXStreet)Silver price fades bounce off 100-SMA, retreats from three-day-old resistance line. Bearish RSI divergence keeps sellers hopeful to aim for 200-SMA. Monthly support line adds to the downside filters, buyers need validation from $21.30. (FXStreet) Gold price has extended its recovery after resurfacing from $1,730.00 as the risk-off profile has eased. Federal Reserve policymakers have turned cautiously hawkish on interest rates as risks of upside inflation have trimmed. The US Dollar is awaiting the release of the United States Durable Goods Orders for further guidance. Gold price is marching towards $1,750.00 as prior resistance at around $1,735 has turned into a potential cushion. (FXStreet) Bitcoin (BTC) threatens psychological support as sentiment continues to dwindle. Ethereum has fallen to another level of Fibonacci support after falling below $1,200. FTX swindle intensifies as creditors mourn losses. Grayscale’s Bitcoin Trust enters spotlight after refusing to share proof of reserves. (DailyFX) Source: FXStreet, DailyFX Disclaimer: This information does not represent a BUY or SELL recommendation on the stock covered. Traders and Investors are encouraged to do their own analysis on stocks instead of blindly following any Trading calls raised by various parties on the Internet.

2022-11-21 10:08

Market Update - 21 November 2022 EURUSD is looking for an establishment below 1.0300 as risk-off sentiment has escalated. The DXY has crossed a two-day high of around 107.24 as investors have hidden behind safe-haven assets. As per the consensus, the Eurozone Consumer Confidence will improve to -26. (FXStreet) EURGBP surrenders its modest intraday gains and hangs near a two-week low. Friday’s breakdown below a two-week-old trading range favours bearish traders. Sustained strength beyond the 0.8800 mark is needed to negate the negative bias. (FXStreet) NZDUSD meets with a fresh supply on Monday amid some follow-through USD buying interest. COVID-19 hitters, geopolitical risks benefit the greenback and weigh on the risk-sensitive Kiwi. The downside seems limited ahead of the RBNZ decision and the FOMC minutes on Wednesday. (FXStreet) GBPUSD comes under fresh selling pressure on Monday amid some follow-through USD buying. China’s COVID-19 woes and geopolitical risks turn out to be key factors benefiting the greenback. A bleak outlook for the UK economy undermines the Sterling and contributes to the offered tone. (FXStreet) USDJPY scales higher for the fourth straight day and climbs to a one-week high on Monday. Some follow-through USD buying remains supportive amid the Fed-BoJ policy divergence. A sustained move beyond the 141.00 mark is needed to support prospects for further gains. (FXStreet) USDCAD climbs to a one-and-half-week high and is supported by a combination of factors. Bearish oil prices undermine the Loonie and act as a tailwind amid sustained USD buying. The fundamental and technical set-up supports prospects for a further appreciating move. (FXStreet) An H&S formation has bolstered signs of a bearish reversal head ON AUDUSD. A test of 200-EMA indicates that the asset is at a make or a break level. The RSI (14) has shifted into the bearish range of 20.00-40.00, which signals more weakness ahead. (FXStreet) USDCHF is struggling to overstep a 10-day high at 0.9570 as focus shifts to US Durable Goods Orders data. The US Treasury yields are facing pressure amid less-hawkish commentary from Fed’s Bostic. Sustainability in the US Durable Goods Orders data may compel the Fed to sound hawkish again. (FXStreet) XAUUSD ended up closing the week little changed above $1,750. The minutes of the Federal Reserve’s October policy meeting and PMI surveys could impact the US Dollar’s (USD) valuation and influence Gold’s action, FXStreet’s Eren Sengezer reports. (FXStreet) Silver remains under some selling pressure on Monday and drops to a nearly two-week low. The mixed technical setup warrants some caution before placing aggressive bearish bets. A sustained strength beyond the $22.00 mark is needed to negate near-term negative bias. (FXStreet) The index (DXY) adds to the rebound past the 107.00 mark. US yields extend the march north amidst recent hawkish Fedspeak. The Chicago Fed Index will be the sole release later in the NA docket. (FXStreet) Bitcoin came under renewed selling pressure on Sunday and lost more than 2%. BTCUSD continues to edge lower toward $16,000 in the early European morning. Ethereum broke below $1,200 on Sunday and fell over 6%. ETHUSD was last seen losing more than 1% on the day at around $1,100. (FXStreet) China’s weaker economic prospects led by rising Covid-19 infections are weighing on oil prices. An unchanged PBOC’s monetary policy has also dampened expectations of a recovery in oil. Expectations for the less-hawkish Fed’s policy are failing to support black gold. (FXStreet) Source: FXStreet, DailyFX Disclaimer: This information does not represent a BUY or SELL recommendation on the stock covered. Traders and Investors are encouraged to do their own analysis on stocks instead of blindly following any Trading calls raised by various parties on the Internet.

2022-11-18 09:35

Market Update - 18 November 2022 GBP/USD gains some positive traction on Friday amid subdued USD price action. A combination of factors limits the USD downside and keeps a lid on the major. A bleak outlook for the UK economy contributes to capping the British Pound. (FXStreet) USD/CAD is seen oscillating in a narrow trading band on the last day of the week. Bearish Crude Oil prices undermine the Loonie and offer support to the major. Softer US bond yields keep the USD bulls on the defensive and cap the upside. (FXStreet) The index fades Thursday’s uptick and remains near 106.50. US yields recede marginally following the recent recovery. Fedspeak, CB Leading Index, Existing Home Sales next on tap. The greenback, in terms of the USD Index (DXY), returns to the negative territory following Thursday’s decent advance. (FXStreet) USD/JPY dashes two-day rebound but stays on the way to post first weekly gain in five. Japanese Yen benefits from the highest inflation number since 1982. United States 10-year Treasury yields fade recovery moves from six week low. US Dollar struggles to justify hawkish comments from Federal Reserve officials. (FXStreet) EUR/USD struggles for clear directions, stays inside three-day-old symmetrical triangle. Bullish RSI divergence, sustained trading beyond two-week-old ascending trend line challenges sellers. Late June high probes upside moves before the highs marked in late June. (FXStreet) AUD/USD catches fresh bids on Friday amid subdued USD demand, though lack follow-through. A softer risk tone continues to act as a tailwind for the greenback and caps gains for the major. China’s COVID-19 woes, geopolitical risks also act as a headwind for the risk-sensitive Aussie. (FXStreet) USD/TRY picks up bids to 18.61 during the initial hour of Friday’s European session, on the way to snapping a two-week downtrend by the press time. It’s worth noting, however, that the options market data from Reuters challenge the Turkish Lira pair’s bullish performance. (FXStreet) USD/INR remains on the front foot despite the latest inaction. Clear break of two-week-old descending trend line keeps buyers hopeful. Seven-week-long horizontal area restricts immediate upside, bears need validation from 80.45. (FXStreet) Prices of the barrel of the WTI extended the leg lower on Thursday and revisited the $82.00 region, adding to Wednesday’s pullback. The move was accompanied by rising open interest and volume and leaves intact the prospect for extra decline in the very near term and with the immediate support at the key $80.00 mark per barrel. (FXStreet) Prices of the natural gas rose for the fourth consecutive session on Thursday. The move was in tandem with another uptick in open interest, which is supportive of the continuation of the leg higher in the very near term. Against that, the commodity could be in course to revisit the key hurdle at the 200-day SMA, today near $6.85 per MMBtu. (FXStreet) Gold price struggles to defend bulls despite snapping two-day downtrend. Mixed sentiment, sluggish yields challenge XAU/USD bears during the first negative week in three. Light calendar requires traders to keep their eyes on the risk catalysts for fresh impulse. (FXStreet) Bitcoin prices are on track to end the week in the green after last weeks brutal sell-off resulted in 21.99% decline in value. With the November low setting a fresh yearly low, the dramatic shift in sentiment over the past 12 months highlights the changes in the fundamental backdrop. (DailyFX) Ethereum is currently down roughly 1.5% (at the time of writing) as prices briefly did below $1200. As the 23.6% Fibonacci of the 2020 – 2021 move comes in as resistance at $1216.42, the October low holds as support at $1155. While price action hovers around the $1200 psych level, a retest of the daily low at $1182.2 could provide bears with more fuel to drive the second-largest digital asset lower. (DailyFX) While its major crypto counterparts struggle to gain traction, Litecoin is trading 5% higher on the day as prices retest $60. A move higher could see prices rise to the 10 November high of $61.08 with a break above bringing the next zone of resistance into play at the November 11 high of $64.13. (DailyFX) Source: FXStreet, DailyFX Disclaimer: The above information are provided as a general market information for educational purpose only, and do not constitute investment advice. Traders and Investors are encouraged to do their own analysis instead of blindly following any Trading calls raised by various parties on the Internet.

2022-11-17 09:50

Market Update - 17 November 2022 EUR/GBP falls to a one-week low on Thursday, though shows resilience below the 0.8700 mark. The formation of a rectangle warrants some caution before placing aggressive directional bets. Investors now await the UK government’s financial plan to determine the near-term trajectory. (FXStreet) The index navigates the lower end of the range near 106.00. US yields look steady around Wednesday’s close across the curve. Weekly Claims, Philly Fed Index next on tap in the US docket. The USD Index (DXY), which gauges the greenback vs. a bundle of its main competitors, alternates gains with losses just above the 106.00 region on Thursday. (FXStreet) GBP/JPY is seen oscillating in a narrow trading band around the 166.00 mark. Expectations for further rate hikes by the BoE continue to lend some support. Bulls now await the UK government's financial plan before placing fresh bets. (FXStreet) USD/IDR prints four-day uptrend, seesaws around intraday high of late. Bank Indonesia is likely to increase benchmark rate by 50 bps. Upside break of fortnight-old resistance line could refresh multi-month high. 21-DMA, ascending trend line from late September restrict short-term downside. (FXStreet) USD/JPY struggles to consolidate the biggest weekly loss since October 2008, sidelined of late. BOJ officials defend easy money policies despite showing readiness to act. US 10-year Treasury yields snap three-day downtrend, two-year bond coupons extend previous day’s rebound. US Dollar cheers firmer Treasury yields, sour sentiment to pare weekly loss. (FXStreet) A rebound in the risk-off market mood has strengthened the Greenback bulls. A usual test of the breakout region of the accumulation phase will offer a bargain buy to the market participants. Advancing 20-EMA adds to the upside filters. The USD/CAD pair has shifted its auction profile above the critical hurdle of 1.3350 in the early European session. (FXStreet) EUR/USD remains pressured around intraday low after snapping two-day uptrend. Fears of political deadlock in the United States, Covid woes from China underpin US Dollar’s safe-haven demand. Upbeat US Retail Sales for October also weigh on Euro. Final readings of Eurozone Inflation, second-tier US data could entertain traders. (FXStreet) GBP/USD bounces off intraday low but snaps two-day uptrend. Bearish RSI divergence, lower-high formation teases sellers. Weekly support line, 100-HMA challenges immediate downside. (FXStreet) AUD/USD attracts some dip-buying on Thursday, though the lacks follow-through. Bets for smaller rate hikes by the Fed and a positive risk tone weigh on the buck. China’s COVID-19 woes and a dovish RBA stance should cap any further upside. (FXStreet) The Greenback bulls will get strengthened after an upside break of the accumulation phase. A Spring formation around 0.9400 to remain a major support area ahead. The 20-and 50-EMAs are on the verge of delivering a bull cross. The USD/CHF pair has extended its recovery after overstepping the immediate hurdle of 0.9458 in the Tokyo session. (FXStreet) USD/INR rises for the fourth consecutive day despite easing from intraday high of late. China-linked fears join a rebound in the US Treasury yields to favor bulls. Sluggish markets and lack of major data/events challenge upside momentum. (FXStreet) USD/IDR prints four-day uptrend, seesaws around intraday high of late. Bank Indonesia is likely to increase benchmark rate by 50 bps. Upside break of fortnight-old resistance line could refresh multi-month high. 21-DMA, ascending trend line from late September restrict short-term downside. (FXStreet) Wednesday’s gains in prices of natural gas were against the backdrop of increasing open interest and volume, which is indicative that the continuation of the rebound looks in place for the time being. Against that, the next upside target for the commodity appears at the 200-day SMA, today around $6.85 per MMBtu. (FXStreet) Wednesday’s negative price action in crude oil was in tandem with diminishing open interest and volume and suggests that further decline is not favoured in the very near term. Against that, the WTI could move into a consolidative phase while a decent support seems to have emerged around the $84.00 mark per barrel so far. (FXStreet) Silver drops to a one-week low on Thursday, though finds support ahead of the $21.00 mark. The mixed technical setup warrants some caution before placing aggressive directional bets. A convincing break below the $21.00 mark is needed to support prospects for further losses. (FXStreet) Gold price has tumbled to near $1,763.00 as the risk-on profile has faded. Geopolitical tensions between North Korea and the US have improved safe haven’s appeal. Fed Daly’s hawkish commentary has supported the US Treasury yields. Gold price (XAU/USD) has witnessed a steep fall after surrendering the critical support of $1,770.00 in the Asian session. (FXStreet) Source: FXStreet, DailyFX Disclaimer: The above information are provided as a general market information for educational purpose only, and do not constitute investment advice. Traders and Investors are encouraged to do their own analysis instead of blindly following any Trading calls raised by various parties on the Internet.

2022-11-16 09:57

Market Update - 16 November 2022 USD/JPY struggles to capitalize on its modest intraday gains amid renewed USD selling bias. Failures ahead of the 140.80-141.00 confluence support breakpoint favour bearish traders. Acceptance below the 61.8% Fibo. level should pave the way for further near-term losses. (FXStreet) EUR/USD keeps the bid tone unchanged and surpasses 1.0400. ECB’s C.Lagarde is due to speak later in the European evening. US Retail Sales, Industrial Production will take centre stage on Wednesday. The European currency keeps smiling and now lifts EURUSD back above the key 1.0400 barrier on Wednesday. (FXStreet) The index adds to Tuesday’s drop near the 106.00 region. Geopolitics-led risk aversion loses steam on Wednesday. Markets’ attention is expected to be on the release of US Retail Sales. The greenback, when gauged by the USD Index (DXY) remains on the defensive and trades close to the 106.00 neighbourhood midweek. (FXStreet) EUR/GBP finds decent support ahead of the 0.8700 mark and regains positive traction on Wednesday. The recent range-bound price action constitutes the formation of a rectangle pattern on the daily chart. The technical setup favours bullish traders and supports prospects for an eventual break to the upside. (FXStreet) GBP/JPY trims a part of its intraday gains despite stronger UK consumer inflation data. A modest recovery in the risk sentiment undermines the JPY and offers some support. Investors now look to the BoE’s Monetary Policy Report Hearings for a fresh impetus. (FXStreet) GBP/USD ticks high on strong UK inflation prints for October. UK’s CPI jumps to 11.1% YoY, Core CPI reprints 6.5% figures. Recovery in market sentiment adds strength to the upside momentum ahead of US Retail Sales. (FXStreet) USD/CAD fades bounce off 100-DMA, mildly offered of late. Improvement in market sentiment pushes back US Dollar buyers. Fears of softer demand weigh on oil prices ahead of EIA inventories. Risk catalysts should also be watched closely amid the recent swings in risk appetite. (FXStreet) AUD/USD struggles for clear direction at the highest levels in two months. Mixed concerns over the rockets fired toward Poland, cautious mood ahead of the key data/events challenge momentum traders. US Retail Sales, Australia employment data will be closely observed for immediate directions. (FXStreet) NZD/USD regains positive traction amid the emergence of fresh selling around the USD. A recovery in the equity markets weighs on the buck and benefits the risk-sensitive Kiwi. Geopolitical risks and China’s COVID-19 woes might cap any further gains for the major. (FXStreet) USD/CHF struggles to defend buyers despite bouncing off seven-month low the previous day. Bearish chart pattern, pullback from 21-SMA favor sellers targeting fresh multi-month low. Two-week-old resistance line, 200-SMA acts as additional upside filters. (FXStreet) Silver regains some traction and stalls the overnight pullback from a multi-month high. The emergence of fresh buying near the very important 200 DMA favours bullish traders. The lack of follow-through buying warrants caution before positioning for further gains. (FXStreet) Prices of the natural gas added to the positive start of the week and advanced modestly on Tuesday amidst diminishing open interest and volume. Against that, the commodity is expected to keep the consolidative mood unchanged at least in the very near term. In the meantime, the 200-day SMA at $6.85 per MMBtu continues to cap the upside so far. (FXStreet) Gold price is extending its pullback from a new three-month high of $1,787. But XAU/USD downside appears capped ahead of United States Retail Sales, FXStreet’s Dhwani Mehta reports. (FXStreet) Tuesday’s uptick in prices of the WTI was on the back of declining open interest, which removes strength from the continuation of the rebound in the very near term. WTI prices could then challenge the weekly low at $82.10 (October 18). (FXStreet) Source: FXStreet, DailyFX Disclaimer: The above information are provided as a general market information for educational purpose only, and do not constitute investment advice. Traders and Investors are encouraged to do their own analysis instead of blindly following any Trading calls raised by various parties on the Internet.