Daily Market Report by GulfBrokers 2020-2021

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US Dollar hovers near the two-week high ahead of US retail sales numbers that will come out at 12:30 GMT, which is expected to show a rise of 0.8%.

EQUITIES

Global stocks trading mixed on Friday amid concerns over rising coronavirus infections and fresh lockdown restrictions in several countries around the world. Meanwhile, US futures slightly rebounded after President Donald Trump said on Thursday that he was willing to raise his offer of $1.8 trillion for a COVID-19 relief deal. Australian shares retreated from the highs after RBA Governor Philip Lowe left the door open for a November interest rate cut.

OIL

Crude oil prices slipped lower on Thursday amid concerns about weak fuel demand after a resurgent of COVID-19 infections across Europe. The daily number of new infections at a global level reached a new high in the past 24 hours as nearly 400,000 new cases were registered. On the other hand, the EIA data showed crude oil stockpiles in the US fell by 3.818 million barrels last week, more than market expectations of a 2.835 million drop.

CURRENCIES

In the currency market, the Canadian dollar surged more than 100 pips on falling oil prices and disappointed ADP employment data.

GOLD

Gold price recovered from the previous session lows after weaker-than-expected U.S. weekly jobless claims and uncertainty about new U.S. fiscal stimulus.

Economic Outlook

On the data front, the US released the latest Unemployment Claims data, which came in at 898K against the projected 810K and the previous 845K.

On the earnings front, Morgan Stanley (NYSE: MS) third-quarter financial results exceeded Wall Street expectations. The investment bank profits increased by 25% to $2.7 billion.

Moving ahead to the North American session, the Investors will likely keep a look at the economic releases includes US retail sales and industrial production data.

Coronavirus update:

The United States has the highest number of reported cases and deaths of any nation. More than 1 million people have died from the disease worldwide. Global cases exceed 38 million and the total number of recoveries stood at 29.38 million. India is on the second spot with 7.37 million cases and 112,146 deaths. France recorded a record of 30K new infections on Thursday and reimposed a state of health emergency and introduced curfews.

Technical Outlook

GBP/USD:
The British pound trading volatile ahead of UK Prime Minister Boris Johnson's speech today. He will announce his decision on whether to continue or abandon talks on future relations.

euraud


The important levels to watch for today: Support- 1.2860 and 1.2800 Resistance- 1.2950 and 1.30.



GOLD: The yellow metal trades steady above $1900 on Friday ahead of US retail sales data. Overall the momentum remained bullish throughout today.

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The important levels to watch for today: Support- 1906 and 1900 Resistance- 1914 and 1920.

Quote of the day: The stock market is designed to transfer money from the active to the patient - Warren Buffet.

Read more- https://gulfbrokers.com/en/daily-market-report-188
 
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The National Bureau of Statistics data showed on Monday China's gross domestic product (GDP) expanded 4.9 percent year on year in the third quarter of 2020, that’s lower than economists forecast, but faster than the 3.2% expansion seen in the second quarter. Meanwhile, the retail sales grew 3.3 percent year on year in September, versus a 0.5 percent growth in August. China's industrial output in September rose 6.9% from a year earlier, data shows, up from a 5.6% gain in August.

EQUITIES

Asian shares traded higher on Monday after better-than-expected Chinese economic data and hopes on the prospect of a fresh US fiscal stimulus deal. On Friday, Wall Street closed slightly higher following the strong retail sales data. The September retail sales grew by 1.9% MoM after an increase of 0.6% MoM in the previous month.

OIL

Crude oil prices retreated from the daily highs as concerns over surging coronavirus cases globally dampened the prospects for demand recovery.

CURRENCIES

In the currency market, The British pound climbed to above 1.30 on Monday amid Brexit hopes. The investors cautiously awaiting developments on the Brexit negotiations. Both chief negotiators from the UK and EU will speak by telephone later in the day to discuss the structure of future talks.

GOLD

Gold price trading slightly higher on Monday amid renewed hopes for new US fiscal stimulus after a 48-hour deadline was slapped on the stalemate between Congress and the White House.

Economic Outlook

This week the main highlights of the economic calendar will be the release of PBOC interest rate decision, RBA meeting minutes, UK, and Canada's latest inflation numbers, UK retail sales, and PMI data.

Moving ahead to the North American session, the Investors and traders now await the speech from Fed Chair Jerome Powell and the latest updates from Brexit negotiations.

Coronavirus update:

Worldwide, the number of people infected with the coronavirus approaches 40 million, of which at least 1.11 million people have died and 27.49 million have recovered, according to data released by the Johns Hopkins University. India's coronavirus cases cross the 7.5 million thresholds after 55,722 fresh infections were reported in the last 24 hours

Technical Outlook

Dollar Index:
The Dollar index trades slightly lower on Monday after Asian currencies rebounded boosted by the latest strong Chinese economic data.

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The important levels to watch for today: Support- 93.20 and 92.80 Resistance- 93.70 and 94.

GOLD: The yellow metal trades steady above $1910 on Monday. On the upper side, the next resistance to watching $1918/1920.

audusd


The important levels to watch for today: Support- 1908 and 1900 Resistance- 1914 and 1920.


Quote of the day: Profits can be made safely only when the opportunity is available and not just because they happen to be desired or needed- Gerald M Loeb.

Read more- https://gulfbrokers.com/en/daily-market-report-189
 
Dollar Index
Support: 93.20 and 92.70 Resistance: 93.60 and 94
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EURUSD
Support: 1.1710 and 1.1660 Resistance: 1.1795 and 1.1840
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USDCAD
Support: 1.3120 and 1.3090 Resistance: 1.3260 and 1.3340
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GOLD
Support: 1900 and 1880 Resistance: 1920 and 1935
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This week started with better-than-expected Chinese economic data and on the earnings front, IBM reported mixed Q3 results. Moving ahead there are other few key events to watch

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Global markets are trading mixed on Tuesday as investors are concerned about the increasing number of COVID infections. Ireland and Wales became the first countries on the continent to re-enter lockdown as the number of people who have died from Covid-19 in Europe passed 250,000. Ireland’s total COVID-19 cases confirmed since the crisis began to have just topped 50,000 — a quarter this month alone. Infections are exceeding 260 per 100,000 people over the past two weeks.

EQUITIES

Wall Street ended lower on Monday due to the lack of stimulus measures in the US. The Dow Jones Industrial Average fell 1.44%, the S&P 500 dropped 1.63% and the Nasdaq saw a steady decline of 1.65%.

OIL

Crude oil prices ended lower on Monday as investors' concerns about fuel demand recovery as rising coronavirus cases led to renewed restrictions in several countries across the globe.

CURRENCIES

In the currency market, The British pound trades slightly lower on post-Brexit uncertainty. The UK government said that talks with Chief EU Negotiator Michel Barnier were constructive, but there was still no basis to resume official negotiations. Meanwhile, the UK PM spokesman warned: The UK continues to believe there is no basis to resume talks unless there is a fundamental change of approach from the EU.

GOLD

Gold price trading lower on fading hopes for a pre-election US stimulus. US house speaker Pelosi’s spokesman said she held talks with treasury secretary Steven Mnuchin Monday and would do so again Tuesday.

Economic Outlook

On Monday, US Federal Reserve Chairman, Jerome Powell said “We do think it’s more important to get it right than to be first and getting it right means that we not only look at the potential benefits of a central bank digital currencies (CBDC) but also the potential risks,”

On the earnings front, IBM (NYSE: IBM) shares fell more than 2% after-hours trading on Monday after the company Q3 revenue reported a 2.5% decrease from the prior year.

On Tuesday, during the Asian session, the reserve bank of Australia released the last meeting minutes. RBA said its monetary policy tools have become more complex in supporting the economy through the pandemic. and the bank sees a need to further support the economy through various channels.

Moving ahead to the North American session the important economic events to watch the U.S. Building Permits, Housing Starts, and Fed's Quarles speech.

Coronavirus update:

Globally, the number of people infected with the coronavirus across the world surpassed 40.4 million, of which at least 1.11 million people have died and 27.7 million have recovered, according to data released by the Johns Hopkins University.


Technical Outlook

EUR/USD:
The currency pair climbed to a fresh weekly high of 1.1815 boosted by the weak dollar.

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The important levels to watch for today: Support- 1.1790 and 1.1760 Resistance- 1.1820 and 1.1840.



GOLD: The yellow metal trades above $1900 on Tuesday after the price fell to a fresh weekly low of $1894 during the previous session.

gold neww


The important levels to watch for today: Support- 1900 and 1890 Resistance- 1912 and 1918.

Quote of the day: Remember, your goal is to trade well, not to trade often- Alexander Elder.


Read more- https://gulfbrokers.com/en/daily-market-report-190
 
Interesting analysis. This is such an uncertain time at the minute. If we can make money in these markets we can do it in any markets
 
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In after-hours trading, the Logitech (NASDAQ: LOGI) share price rose more than 16% after the company reported strong second-quarter financial results on Monday. The company profit for the last quarter jumped to $266.9 million from $72.9 million, as sales surged 75% to $1.26 billion.

"The growth trends that drive our business have accelerated as society adjusts to its new reality, our products are essential to helping customers work, play, and create wherever they are. Logitech is well-positioned for long-term growth”. CEO Bracken Darrell said.

  • Earnings per share: $1.87 vs. $0.58 expected
  • Revenue: $1.26 billion vs. $834 million expected
The Swiss-U.S. firm said in the second quarter, the Americas sales grew to 85% from 23% in Q1. Several products reported sales that more than doubled, such as PC Webcams, education tablet keyboards, Video collaboration, and gaming. The company has raised the outlook for the fiscal year 2021 to the growth of 35-40 percent in revenues at constant currency rates and a range of USD 700-725 million for adjusted operating income.

Read more- https://gulfbrokers.com/en/logitech-stock-skyrockets-after-robust-q2-earnings
 
EURUSD surged to a fresh weekly high of 1.1860. If the price won't break above 1.1890 we may see a pullback to 1.1820 then 1.1760. On the other side break above 1.1890, the next level to watch 1.1915/1940.

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