Daily Market Report by GulfBrokers 2020-2021

[syamfx2020]

First-quarter earnings season kicks off on Wednesday and the Investors will shift their attention to major US banks' earnings this week. The big bank JPMorgan (NYSE: JPM) is scheduled to release results on Wednesday, followed by Citigroup (NYSE: C), Goldman Sachs (NYSE: GS), Wells Fargo (NYSE: WFC), Morgan Stanley (NYSE: MS) later in the week. JP Morgan is expected to post quarterly earnings of $2.74 per share and revenues are expected to be $31.22 billion.

EQUITIES

European shares opened lower on Wednesday while the UK stocks were flat after the release of inflation data. US stock futures remain volatile as the markets are unsettled by swings in volatility caused by the latest US inflation data and Federal Reserve meeting minutes.

OIL

Crude oil futures slightly retreat from the previous session gains following the release of weak API inventory data. The data showed the US crude inventories increased by 7.757 million barrels in the week ended April 8th of 2022.

CURRENCIES

In the currency market, the king dollar extended the rally on Wednesday following the release of the latest US inflation report. The inflation data showed that U.S. consumer inflation jumped 8.5 per cent over the past year, the sharpest spike since 1981 bolstered by rising gas and food prices. The CPI rose 1.2% month-on-month, while the core CPI rose 6.5% year on year and 0.3% month-on-month.

GOLD

The safe-haven metal remains steady above $1970 despite the strong US dollar. Moving ahead to the North American session, the gold traders should closely monitor the release of the US producer price index data.

Economic Outlook

On the data front, New Zealand's central bank increased its interest rate – official cash rate – by 50 basis points to 1.5% on Wednesday. "The Committee will remain focused on ensuring that current high consumer price inflation does not become embedded into longer-term inflation expectations," – RBNZ said.

Moving ahead today, the important events to watch:

US – PPI: GMT – 12.30

Canada – BOC interest rate decision and statement: GMT – 14.00

US – EIA crude inventories: GMT – 14.30

Coronavirus update:

Worldwide, more than 499 million people have been confirmed infected and more than 6.18 million have died. The United States has confirmed over 80 million cases and has had more than 985,000 deaths from COVID-19, the highest total in the world.

Technical Outlook and Review

EURUSD: For Euro, the first nearest support level is located at 1.0800. In case it breaks below this level, it will head towards the next support level which is located near 1.0770. On the upside, 1.0880 will act as an immediate and strong hurdle while 1.0940 will be a critical resistance zone because above this, bulls are likely to dominate.

The important levels to watch for today: Support- 1.0800 and 1.0770 Resistance- 1.0880 and 1.0940.

GOLD: For today, the resistance for metal is around $1980, any break over targets $2000/10. On the downside, any meaningful pullback now seems to find some support near the $1965 zones, below which the slide could further get extended towards the $1955/45 region.

The important levels to watch for today: Support- 1965 and 1948 Resistance- 1980 and 2000.

Quote of the day - “More money has been lost trying to anticipate and protect from corrections than actually in them.” Peter Lynch.

Read more - https://gulfbrokers.com/en/daily-market-report-478

 

[syamfx2020]

Today the attention in the markets remains focused on possible measures and changes that the European Central Bank may undertake in the April meeting to deal with rising inflation. The ECB Monetary Policy Statement is set to be released at 11:45 GMT. Along with this release will see the ECB president Christine Lagarde Conference 45-minutes after at 12:30.

European shares opened slightly higher while the EURUSD held the early gains as the traders and investors waited to hear from the ECB President Christine Lagarde, to try and understand how the ECB responds to higher inflation. For Euro, the key support area to watch today is 1.0800/1.0770. The currency pair has been moving lower in the last few months, largely due to a broad strengthening in the US dollar.

EQUITIES

Wall Street ended higher on Wednesday. On Thursday, the US stock futures trade flat as investors wait for the release of the US retail sales report. The data is expected to show a 0.6% rise in sales for March.

OIL

Crude oil prices ended higher for the second consecutive day on Wednesday despite the release of weak oil inventory data from API and EIA. On Wednesday, the EIA inventory data showed the US crude inventories rose by more than 9 million barrels last week, compared to the market expectations of a 0.863 million increase.

CURRENCIES

In the currency market, the GBPUSD surged to a fresh weekly high of 1.3140 on Thursday supported by a robust employment report from the UK. However, considering the recent rebound in the British pound, the US dollar movement will continue to play a vital role in this currency pair's future direction. The Australian dollar struggling to find upside momentum following the release of Australia's unemployment rate came weaker than expected.

GOLD

The precious metal holding the previous session gains and remained in favour as a safe haven due to a dramatic spike in US consumer inflation. The overall momentum remains bullish throughout the week after the metal received additional support amid concerns of an escalation in the Ukraine conflict.

Economic Outlook

On the data front, the Bank of Canada raised its benchmark interest rate Wednesday by half a percentage point to 1%. The central bank now expects the annual inflation rate to average almost 6% in the first half of this year and remain well above its control range of 1% to 3% throughout 2022.

Moving ahead today, the important events to watch:

Eurozone – ECB interest rate decision and statement: GMT – 11.45

US – Retail sales: GMT – 12.30

US – Jobless claims: GMT – 12.30

Coronavirus update:

Worldwide, more than 499 million people have been confirmed infected and more than 6.18 million have died. The United States has confirmed over 80 million cases and has had more than 985,000 deaths from COVID-19, the highest total in the world.

Technical Outlook and Review

EURUSD: For Euro, the resistance for the pair remains above 1.0950, any break over targets 1.1000/40. On the other side, the immediate support is near 1.0860 and any break will drag the euro to 1.0830 and 1.0800 levels.

The important levels to watch for today: Support- 1.0860 and 1.0800 Resistance- 1.0950 and 1.1040.

GOLD: Gold price trades steady above $1970. If the bullish momentum continues the next upside levels to watch are $1982 and $1998. On the downside, any meaningful pullback now seems to find some support near the $1965 zones, below which the slide could further get extended towards the $1955/50 region.

The important levels to watch for today: Support- 1965 and 1950 Resistance- 1982 and 2000.

Quote of the day - “Use limit orders exclusively-except when placing stops. Be careful what you use: there is no magic solution. Success cannot be bought; it can only be worked on.” Alexander Elder.

Read more - https://gulfbrokers.com/en/daily-market-report-479

 

[syamfx2020]

Shares of Delta Air Lines (NYSE: DAL) jumped 6% on Wednesday after the company reported a smaller-than-expected quarterly loss in its first quarter. Though the airline reported a net loss of $940 million in the last quarter, the Delta still expects to be profitable for the rest of this year. On Wednesday, Delta CEO Ed Bastian said, “The last five weeks have been the highest bookings in our history,”.

Delta reported $9.35 billion in revenue in the quarter ended March 31, more than double its revenue from first quarter of last year. The airline also said monthly revenue exceeded pre-pandemic levels for the first time in March. Delta reported losses of $1.23, which was better than the $1.27 losses expected.

• Loss per share: $1.23 vs. $1.27 expected
• Revenue: $9.35 billion vs. $8.92 billion expected

"With a strong rebound in demand as omicron faded, we returned to profitability in the month of March, producing a solid adjusted operating margin of almost 10 percent. As our brand preference and demand momentum grow, we are successfully recapturing higher fuel prices, driving our outlook for a 12 to 14 percent adjusted operating margin and strong free cash flow in the June quarter," Delta Airlines CEO, Ed Bastian said.

$DAL closed above $41 on Wednesday. The stock has a 52-week low of $29.75 and a 52-week high of $49.50. In the short-term, If the bullish momentum continues the next upside levels to watch are $44.20 and $45.40. On the downside, the immediate support is around $38.

On Wednesday, Delta’s rival American Airlines (NASDAQ: AAL) stock gained more than 10%. The world’s largest airline is scheduled to post its quarterly earnings results before the market opens on Thursday, April 21st.

Read the original article here - https://gulfbrokers.com/en/delta-airlines-stock-jumps-6-on-strong-q1-revenue-numbers

 

[syamfx2020]

Global stocks ended the last week lower after a bigger-than-expected rise in U.S. consumer prices fanned fears about an increase in inflationary pressure. Consumer prices in the US surged by 8.5 percent in March, the fastest pace since 1981.

This week, traders will now turn their attention to the Q1 earnings as more companies report their latest financial results. Meanwhile, the markets in the UK and Europe are remained closed on Monday to mark the Easter Holiday.

On the earnings front, the companies due to release their results will be the Bank of America, Netflix, Snap and Tesla will be among those reporting earnings this week.

GOLD

The safe-haven metal ended high for the second consecutive week supported by a lack of optimism surrounding talks between Russia and Ukraine. The medium-term uptrend will remain in place. However, the Bulls will need to regain the $2000 level if they want to continue their ascent towards new highs.

On the bullish side, the resistance stays above $2000, and a break above this exposes the metal to the $2020/40 level. On the flip side, rejection and pullback from the $2000 resistance allow for a dip towards $1960, with $1945/40 forming additional downside targets.

DOLLAR INDEX

The dollar index, which tracks the currency against key rivals closed above 100.50 last week. The recent strong bullish sentiment was fuelled by the upward surprise in consumer prices. Moving ahead, this week, the economic data is limited this week to the US existing home sales and weekly jobless claims reports.

This week, the key resistance for DXY is located above 100.95, a break above this level will confirm a possible move to 101.20/40. On the downside, any meaningful pullback now seems to find some support near the 100.20/100 zones, below which the slide could further get extended towards the 99.70/40 region.

EURUSD

The Euro plunged to a 23-month low against the US dollar driven hawkish stance of the European central bank and the European states continue to discuss the extent of sanctions on Moscow. ECB kept rates unchanged, as widely expected, and said it plans to end asset purchases in Q3. The biggest driver for the Euro this week is the inflation data from Eurozone and the latest PMI data from Germany and Europe.

Technically the current price action signals suggest that a short term bearish trend remains intact. On the downside, if the bearish momentum continues the key support areas to watch are 1.0750 and 1.0700. On the upper side, in case the pair manages to settle above 1.0940, it will gain upside momentum and head towards the next resistance level at 1.1050 and 1.1130.

DOW JONES

The Dow Jones traded lower during the whole last week driven by worse than expected March US retail sales data and mixed Q1 earnings results from big US banks. The dow futures started the new week on a bearish note as the risk-off mood dominates.

For this week, 34,050 is the immediate support level, followed by 33,900. If the index breaks below 33,900, the slump will quickly extend toward the 33,500 mark. On the flip side, the bullish breakout of 34,900 is likely to push the index into a new trading zone, which may offer further buying opportunities until 35,050 and 35,400.

Read more - https://gulfbrokers.com/en/weekly-review-gold-usd-eurusd-and-dow-jones-26

 

[syamfx2020]

The US dollar surged to its strongest level since March 2020 on Tuesday as geopolitical and inflation concerns boosted its safe-haven appeal. The dollar index hit the 101 level on Tuesday morning. The currency pair received Additional buying pressure after the bullish comments from the Fed. James Bullard. The biggest driver for the greenback this week is the latest US housing data and Fed Chairman Powell's speech on Thursday.

EQUITIES

US futures remain under pressure on Tuesday morning following the hawkish comments from the Federal Reserve Bank of St. Louis President James Bullard. Bullard said there may be an interest rate hike of 75 basis points if needed. He said the Fed needs to act quickly to raise interest rates by more than half a percentage point to around 3.5% this year.

OIL

Crude oil futures hold the previous weekly gains. The overall momentum remains bullish in the last 4 days after China has started to eradicate lockdown restrictions in Shanghai. On the other hand, Libya shut down its largest oil field amid protests against Libyan Prime Minister Abdul Hamid Dbeibah.

CURRENCIES

In the currency market, the Japanese yen plunged to a 20-year low against the King Dollar. At the time of writing, the USDJPY is trading above $128. Meanwhile, the EURUSD slightly recovered from the early session lows while the British pound struggled to find upside momentum against the US dollar.

GOLD

The precious metal retreats back to near the $1970 area on Tuesday morning after the buyers failed to break above the psychological resistance area of $2000. During the previous session, the gold price soared to a five-week high and touched almost $2000 an ounce.

Economic Outlook

On the data front, the Reserve Bank of Australia released the minutes of its April board meeting. The minutes said the central bank expected a further increase in inflation, with measures of underlying inflation in the March quarter expected to be above three per cent.

“These developments have brought forward the likely timing of the first increase in interest rates,” RBA minutes said.

Moving ahead today, the important events to watch:

US – Building permits: GMT – 12.30

US – Housing starts: GMT – 12.30

Coronavirus update:

Worldwide, more than 503 million people have been confirmed infected and more than 6.19 million have died. The United States has confirmed over 80 million cases and has had more than 988,000 deaths from COVID-19, the highest total in the world.

Technical Outlook and Review

EURUSD: The currency pair rebounded back to above 1.0800 during the European session. For today, the first resistance is located for the pair at around 1.0835, a break above this level will confirm a possible move to 1.0870/90.

The important levels to watch for today: Support- 1.0760 and 1.0730 Resistance- 1.0835 and 1.0870.

GOLD: For today, $1965 is the key support area to watch, any break below this level will open $1950/45 minimum. On the flip side, the bullish breakout of $2000 is likely to push the metal into a new trading zone, which may offer further buying opportunities until $2020/50.

The important levels to watch for today: Support- 1965 and 1950 Resistance- 1990 and 2000.

Quote of the day - "When I get together with other traders and they start exchanging war stories about different trades, I have nothing to say. To me, all our trades are the same." ― Larry Hite.

Read more - https://gulfbrokers.com/en/daily-market-report-480

 

[syamfx2020]

The second-largest bank in the US, the Bank of America (NYSE: BAC) reported better-than-expected first-quarter results on Monday, April 18. During the first quarter, BAC's revenue increased by 2% to $23.23 billion from $22.8 billion a year earlier supported by the strong growth in its consumer lending business.

• Earnings per share: $0.80 vs. $0.75 expected
• Revenue: $23.23 billion vs. $23.2 billion expected

"First quarter results were strong despite challenging markets and volatility, which we believe reflects the value of our responsible growth strategy," BAC CFO, Alastair Borthwick said. "Going forward, and with the forward curve expectation of rising interest rates, we anticipate realizing more of the benefit of our deposit franchise," he added.

However, the bank posted a 12% decline in first-quarter profits from a year earlier. BofA earned a profit of $7.1 billion, or 80 cents a share, compared with a profit of $8.05 billion, or 86 cents a share, in the same period a year earlier. The bank reported a 9% rise in consumer banking revenue to $8.8 billion in the quarter ended March.

BofA shares increased more than 4% higher on Monday after the release of quarterly reports but the stock is down almost 18% this year. In the short-term, If the recent upside momentum continues the next upside levels to watch are $40 and $42/44. On the downside, the key support area to watch is $36.

Read more - https://gulfbrokers.com/en/bank-of-america-bac-q1-profit-falls-but-beats-estimates

 

[syamfx2020]

The electric vehicle leader, Tesla Inc (NASDAQ: TSLA) is scheduled to announce first-quarter financial results on Wednesday, Apr 20 after market close. Consensus forecast EPS of $2.26 on revenue of $17.8 Billion. For the first quarter of 2022, Tesla delivered 310,048 units – 68 per cent more than it achieved in the same period of 2021.

Tesla stock closed above $1000 on Tuesday while recently the stock faced some downside pressure after the Tesla CEO Elon Musk’s offer to buy Twitter for $43 million in cash to take the company private.

EQUITIES

Wall Street ended higher on Tuesday supported by stronger-than-expected US housing economic data. While the US futures traded flat during the Wednesday Asian session after the disappointing earnings results from the streaming giant Netflix. Netflix shares plummeted more than 25% in after-hours trading Tuesday.

OIL

Crude oil futures slightly recovered from the previous session's losses following the release of API inventory data. The data showed the US crude inventories declined 4.496 million barrels in the week ended April 15th, compared to market expectations of a 2.533 million increase.

CURRENCIES

In the currency market, the Euro regains modest upside momentum against the US dollar and the British pound. Commodity-linked currencies such as the Australian and Canadian dollars inched toward the fresh session highs.

GOLD

The precious metal plunged to a fresh weekly low of $1940 on Wednesday. The gold traders should continue to monitor the fresh updates in the Russia-Ukraine war and the FED policymakers' comments today.

Economic Outlook

On the data front, US housing starts rose 0.3% to a seasonally adjusted annual rate of 1.793 million units last month and the US building permits increased 0.4% in March on a month to a seasonally adjusted annual rate of 1.873 million.

Moving ahead today, the important events to watch:

Canada – CPI: GMT – 12.30

US – Existing home sales: GMT – 14.00

US -EIA crude inventories: GMT – 14.30

Coronavirus update:

Worldwide, more than 503 million people have been confirmed infected and more than 6.19 million have died. The United States has confirmed over 80 million cases and has had more than 988,000 deaths from COVID-19, the highest total in the world.

Technical Outlook and Review

EURUSD: Technically the overall momentum remains mixed, the immediate support for the Euro stands near the level of 1.0780. On the flip side, the first resistance at 1.0840 any break above this level will open 1.0870/80 minimum.

The important levels to watch for today: Support- 1.0800 and 1.0780 Resistance- 1.0840 and 1.0880.

GOLD: Today the gold price is supported at below $1930, any break below $1930 will open the doors to $1920 and $1914. On the other upper side, the immediate resistance at $1950 and $1958.

The important levels to watch for today: Support- 1930 and 1920 Resistance- 1950 and 1958.

Quote of the day - “The core problem, however, is the need to fit markets into a style of trading rather than finding ways to trade that fit with market behaviour.” – Brett Steenbarger.

Read more here - https://gulfbrokers.com/en/daily-market-report-481

 

[syamfx2020]

Social network company Snap (NYSE: SNAP) is set to report financial results for the first quarter, after the market close today. The company is expected to post quarterly earnings of $0.17 per share and revenues are expected to be $1.04 billion.

During the fourth quarter, Snap's total revenue increased 42% year over year and daily active users jumped 20% year over year to 319 million.

$SNAP key technical levels to watch today:

Support: $27.70 and $24

Resistance: $34.20 and $38

EQUITIES

US futures extended the gains on Thursday morning boosted by blockbuster first-quarter earnings results from the electric vehicle giant Tesla. The company posted total revenue of $18.8 billion, up 81% year-over-year. Tesla stock jumped more than 4% in after-hours trading Wednesday, after shedding nearly 5% of its value during regular trading.

OIL

Crude oil prices ended lower on Wednesday despite the release of better-than-expected EIA crude inventory data after the IMF on Tuesday slashed its forecast for global economic growth by nearly a full percentage point. The EIA data showed that the US crude oil inventories tumbled from 8.02 million barrels to 413.7 million barrels last week.

CURRENCIES

In the currency market, the Euro again rebounded back to above 1.0850 on Thursday against the US dollar supported by the Belgian central bank Governor Pierre Wunsch. Wunsch said European central bank policy rates could turn positive this year. Moving ahead, the Euro traders should monitor the release of Eurozone inflation data which is set to be released later in the day.

GOLD

The precious metal slightly recovered from the previous session's losses, but overall momentum remains bearish after the hawkish comments from the FED policymakers. At the time of writing, the metal trades above $1950.

Economic Outlook

On the data front, Canada’s annual inflation rate rose to 6.7 per cent in March, the highest level since January 1991. On a monthly basis, consumer prices rose 1.4%, surpassing forecasts of a 1% increase.

Moving ahead today, the important events to watch:

Eurozone – CPI: GMT – 09.00

US – Jobless claims: GMT – 12.30

US – Philly fed manufacturing index: GMT – 12.30

Coronavirus update:

Worldwide, more than 503 million people have been confirmed infected and more than 6.19 million have died. The United States has confirmed over 80 million cases and has had more than 988,000 deaths from COVID-19, the highest total in the world.

Technical Outlook and Review

EURUSD: The pair holding the early gains against the dollar. if the bullish momentum continues the next upside level to watch in the 1.0940/50 zone. On the flip side, the immediate support at 1.0870 followed by 1.0840.

The important levels to watch for today: Support- 1.0870 and 1.0840 Resistance- 1.0940 and 1.0980.

GOLD: Technically the overall momentum remains bearish, the immediate support for the Euro stands near the level of $1940. On the flip side, the first resistance at $1965 any break above this level will open $1980 minimum.

The important levels to watch for today: Support- 1940 and 1930 Resistance- 1960 and 1965.

Quote of the day - “Wide diversification is only required when investors do not understand what they are doing.” – Warren Buffett.

Read more - https://gulfbrokers.com/en/daily-market-report-482

 

[syamfx2020]

France, Eurozone, and the UK reported better-than-expected manufacturing PMI data on Friday. Meanwhile, Germany's Manufacturing PMI fell to 54.1 in April from 56.9 in March, below forecasts of 54.1. Moving ahead to the North American session, the US will release the latest manufacturing PMI numbers.

• France manufacturing PMI – Actual: 55.4 Forecast: 53.0 Previous: 54.7
• Eurozone manufacturing PMI - Actual: 55.3 Forecast: 54.7 Previous: 56.5
• UK manufacturing PMI - Actual: 55.3 Forecast: 54.0 Previous: 55.2

EQUITIES

Asian shares and US futures tumbled on Friday morning session after Federal Reserve Chairman Jerome Powell said that bigger rate hikes could be looming next month. "I would say 50 basis points will be on the table for the May meeting," Powell said at the International Monetary Fund Debate. The Fed in March raised its baseline interest rate by 25 basis points to a range of 0.25 to 0.5 percent.

OIL

Crude oil prices reversed from previous session gains weighed down by the prospect of higher interest rates. On the other hand, the downside sentiment is limited after US president Joe Biden decided to place sanctions on Russian oil.

CURRENCIES

In the currency market, the EURUSD retreats back to below 1.0850 after the US dollar regains upside momentum. On Thursday, the currency pair bounced and reached a fresh 2-week high of 1.0935 after the hawkish comments from the ECB policymakers. GBPUSD plunged more than 130 pips after the UK retail sales slump in March. March's retail sales dropped by 1.4%, compared to market forecasts of a 0.3% decline.

GOLD

The precious metal struggling to find the upside momentum pressured by strength in U.S. Treasury yields The yield on the benchmark 10-year Treasury note rose 9 basis points to 2.94%. The yield on the 30-year Treasury bond moved 9 basis points higher to 2.96%.

Economic Outlook

On the data front, the US Initial jobless claims came in slightly higher than expected at 184,000 for the week ending April 16, showing a decline of 2,000, the Labor Department reported Thursday.

Moving ahead today, the important events to watch:

Canada – Retail Sales: GMT – 12.30

US – Manufacturing PMI: GMT – 13.45

Coronavirus update:

Worldwide, more than 503 million people have been confirmed infected and more than 6.19 million have died. The United States has confirmed over 80 million cases and has had more than 988,000 deaths from COVID-19, the highest total in the world.

Technical Outlook and Review

EURUSD: The currency pair retreated back to below 1.0800. Any break below 1.0770 will open the doors to 1.0750 and 1.0720. On the upper side, the immediate resistance at 1.0840/50.

The important levels to watch for today: Support- 1.0770 and 1.0750 Resistance- 1.0840 and 1.0870.

GOLD: The yellow metal trading weaker below $1950 supported by $1936. Today, gold is again expected to face resistance at around $1960 along with support around $1936 and $1930.

The important levels to watch for today: Support- 1936 and 1930 Resistance- 1950 and 1965.

Quote of the day - “Don’t worry about what the markets are going to do, worry about what you are going to do in response to the markets.”- Michael Carr.

Read more - https://gulfbrokers.com/en/daily-market-report-483

 

[syamfx2020]

Globally, the markets were cautious last week driven by hawkish comments from ECB and FED policymakers. Moving ahead to the last week of this month the investors and traders have become increasingly concerned about several ongoing issues including rising inflation pressures and China’s worsening Covid situation. On the other hand, this week Investors will likely keep a look at the economic releases which include the Bank of Japan rate decision, Eurozone and US GDP and US PCE index data.

On the earnings front, the companies due to release their results will be the Amazon, Microsoft, Alphabet, Apple and Twitter will be among those reporting earnings this week.

GOLD

The safe-haven metal trading marginally lower on Monday and the upside pressure clearly weakening amid a solid ceiling in place, the near-term bias points to precious metal weakness in the week ahead, when volatility is likely to be higher than usual due to soaring inflation would prompt central banks to tighten monetary policy abruptly.

For this week, the first nearest support level is located at $1900. In case it breaks below this level, it will head towards the next support level which is located at near $1880. However, a fresh demand for gold can be anticipated once the metal rises above the $1940 resistance. A break above this level will confirm a possible move to $1965.

DOLLAR INDEX

The US dollar index remains extra volatile. The greenback remained in demand last week after FED chairman Jerome Powell signaled aggressive interest rate hikes in the months ahead. This week in the US, the main event of interest is US first-quarter GDP data and PCE expenditure price index.

This week, the key resistance for DXY is located above 101.80, a break above this level will confirm a possible move to 102/102.20. On the downside, any meaningful pullback now seems to find some support near the 101 then 100.70, below which the slide could further get extended towards the 100.20/100 region.

EURUSD

The currency pair opens the week broadly lower after Emmanuel Macron's victory in France's presidential election. The main important events to watch for EURO traders this week are German IFO business climate data, Eurozone and German GDP numbers.

Technically the overall momentum remains bearish. For this week, the first key support area is around 1.0750. if the price break and close below 1.0750, the next immediate support is to watch 1.0700 and 1.0680. On the upper side, the short-term resistance at 1.0850 any break above this level will open 1.0880 then 1.0930.

DOW JONES

The Dow futures started the new on a bearish note on growing concerns of a sharp hike in US interest rates. Last week, the index ended sharply lower, some of the main factors that contributed to the Thursday and Friday sell-off are the hawkish comments from the FED chair Jerome Powell and rising inflation. This week Investors will likely keep a look at the earnings reports from big tech firms including Amazon, Apple, Alphabet, Meta Platforms and Microsoft.

The Index can rise if it rebounds back to above the 34,100 level, any break and closes above this level the next levels to watch 34,400/600. Nevertheless, if it continues to fall, the slump will quickly extend toward the 33,200 and 33,000 marks.

Read more - https://gulfbrokers.com/en/weekly-review-gold-usd-eurusd-and-dow-jones-27