Market Reports by GulfBrokers - 2023

syamfx2020

Recruit
Messages
0
To our clients, partners and traders, we wish you a happy and prosperous new year.

Markets in the US, UK, Australia and New Zealand remained closed on Monday to mark the New year holiday. However, the first week of 2023 is expected to be a busy one, with the main focus on the highly anticipated inflation data from Eurozone and Germany. Investors will also be keeping an eye on the FOMC minutes on Wednesday as well as the US nonfarm payroll data for December on Friday. The December NFP data is expected to show that the economy added more than 200k jobs in December while the unemployment rate stays at 3.7%.

GOLD

The precious metal ends the last week of 2022 in positive territory on expectations of slower rate hikes by the Federal Reserve. For this week, the main drivers for the precious metal remain the movement of the US dollar, the US jobs report and the resurgence of coronavirus cases.



This week, the key resistance is located around $1835, a break above this level will confirm a possible move to $1845/48. On the downside, any meaningful pullback now seems to find some support near the $1810 zones, below which the slide could further get extended towards the $1800 and $1796 regions.

DOLLAR INDEX

The U.S. Dollar Currency Index, which measures the greenback against a basket of six currencies plunged to the lowest level since June on Friday. During December, major currencies remained stronger than the US dollar throughout the month. For this week, traders and investors will also pay attention to the important data for the USD this week, U.S. Federal Reserve's minutes of the latest meeting on Wednesday and the U.S. unemployment report for December are due Friday.



For USD, the first nearest support level is located at 103.30/20. In case it breaks below 103.20, it will head towards the next support level which is located near 102.80/60. On the upper side, 103.80 will act as an immediate and strong hurdle while 104.10 will be a critical resistance zone because above this, bulls are likely to dominate for the short term.

EURUSD

EURUSD started the first week of 2023 on a bullish note supported by hawkish comments from the ECB policymakers and a softer dollar. This week the Euro traders are likely to return their focus back to fundamentals with the German employment data, and German and Eurozone retail sales. On the other hand, traders should also monitor the latest inflation report from Germany and Eurozone which will offer a crucial guide to the interest rate outlook.



The technical scenario is absolutely bullish after the last few weeks of bullish sentiment. While considering the strong bullish momentum the currency pair may find strong resistance above 1.0780 this week. On the downside, good support is expected at the 1.0600 area, with this zone having held last week while further down, demand is also expected around 1.0570, which will act as the next area of support.

DOW JONES

US stock markets closed on Monday in observance of the New Year’s holiday so Tuesday, January 03 will mark the first trading day of 2023 for Dow Jones and other US indices. The key data for the Dow this week will once again be the FOMC as we get the latest minutes from their most recent meeting and the US Nonfarm Payrolls report.



Technically the overall momentum remains mixed and the initial bias remains neutral for the upcoming week. The key resistance is located for the pair around 33,500, a break above this level will confirm a possible move to 33,900/34,000. On the downside, the immediate support will be the same as last week's low near 32,800, below which the slide could further get extended towards 32,400 and then 32,200/000.


Read more with charts here - https://gulfbrokers.com/en/weekly-review-gold-usd-eurusd-and-dow-jones-61
 
Gold price started the new year on a strong bullish note. The precious metal surged to a fresh 6-month high of $1848 on Tuesday lifted by expectations that the global central banks will slow down its tightening campaign in coming months.

Moving ahead, this week the metal could continue to strengthen due to its status as a safe haven asset, but the long-term direction of the gold price will depend on the US employment report which will release on Friday.

The technical scenario is absolutely bullish after the price break above $1835 zones. While considering the recent bullish rally the metal may find strong resistance in the area of $1850/65 where the price has strong resistance.

EQUITIES

US stock futures opened flat while European shares opened lower after the latest PMI data showed that the Eurozone's and the German manufacturing downturn eased in December. On the other hand, Chinese shares traded lower on Tuesday due to mixed economic data and rising coronavirus cases in China.

OIL

Crude oil futures are moderately higher in early European trading Tuesday, as the oil price has quickly rebounded from early morning selling pressure. While the upside momentum is limited as Investors remained concerned over the economic outlook for the new year, underpinned by growing fears of recession.

CURRENCIES In the currency market, the dollar index, which measures the currency against six major peers slightly recovered from the early losses. However, the US dollar is expected to remain under pressure in the near term as investors price in the adoption of a more dovish stance from the Fed. For this week, the main drivers for the Dollar will be the US FOMC meeting minutes, the US job report and the resurgence of coronavirus cases.

GOLD

The precious metal slightly retreated after reaching fresh 6-month highs. As of this writing, the metal trades near $1840. Moving ahead to the North American session, the investors should closely monitor the release of US manufacturing data.

Economic Outlook

On the data front, the latest Chinese economic data showed the Caixin China General Manufacturing PMI fell to 49.0 in December 2022 from 49.4 in November, compared with the market consensus of 48.8.

Moving ahead today, the important events to watch:

Germany – Employment report: GMT – 08.55

Germany – CPI: GMT – 13.00

US – Manufacturing PMI: GMT – 14:45

Coronavirus update:

Worldwide, more than 665 million people have been confirmed infected and more than 6.69 million have died. The United States has confirmed over 102 million cases and has had more than 1.11 million deaths from COVID-19, the highest total in the world.

Technical Outlook and Review

EURUSD:
For today, the first key support level is located at 1.0600. In case it breaks below this level, it will head towards the next support level which is located near 1.0550. On the upper side, If the pair regains upside momentum and press back above 1.0680 then the key resistance area to watch is 1.0710.



The important levels to watch for today: Support- 1.0600 and 1.0570 Resistance- 1.0680 and 1.0710.

GOLD: For today, the key resistance is located around $1850, a break above this level will confirm a possible move to $1855/60. On the downside, any meaningful pullback now seems to find some support near the $1835/30 zones.



The important levels to watch for today: Support- 1832 and 1826 Resistance- 1850 and 1855.

Quote of the day - “From a strictly economic point of view, buying gold in a major inflation and holding it probably presents the least risk of capital loss of any investment or speculation” – Henry Hazlitt.

Read more here - https://gulfbrokers.com/en/daily-market-report-594
 
The share price of the world’s most valuable automaker TESLA (NASDAQ: TSLA) crashed by more than 68% in 2022 and In December alone, the stock dropped almost 40%. The recent crazy fall has put investors into a dilemma over whether they should buy the stock.

Tesla has witnessed nearly 70% of its market cap being erased in 2022. Elon Musk became the first man in history to lose 200 billion dollars of his net worth due to a sharp decline in the net value of Tesla’s shares. While the stock slightly regained momentum in the final days of 2022 lifted by the positive comments from Elon Musk, the CEO of Tesla and Twitter.

"Don't be too bothered by stock market craziness. As we demonstrate continued excellent performance, the market will recognize that," – Elon Musk said.

Why is TESLA stock plummeting?

2022 was the worst year for stocks since the Great Recession. The plunge in technology, entertainment, and auto sector stocks this year was sparked by soaring inflation that prompted an aggressive response from the Federal Reserve.

A variety of other events have occurred throughout the year, dragging Tesla’s stock down. Elon Musk's takeover of Twitter has likely had a significant impact on the company’s stock. Musk has also sold a majority of its shares to cover his purchase of Twitter. One of the other reasons was China's strict COVID-19 policies which caused the company to reduce production at its Shanghai factory. China is the highest EV market for Tesla.

How can the TESLA find a way to rise again?

It is impossible to definitively say that Tesla stock will recover. Tesla’s outlook is clearly not as gloomy as the market expects. Tesla delivered more vehicles in the fourth quarter than a year ago, but less than experts expected. The carmaker delivered more than 1.3 million cars of all models in 2022, an increase of 40% from the previous year. In the fourth quarter alone, the company delivered more than 405,278 vehicles and produced over 439,000 vehicles during the quarter. Tesla will announce its quarterly earnings for the fourth quarter on January 25. If results expectations are surpassed, we could expect the stock will regain some upside momentum.

On the negative side, If the overall stock market sentiment is down over the next several months Tesla stock could drop further as its growth slows down even more. On the other hand, if Elon Musk sells more Tesla shares in future, then definitely it will impact the stock price in the short term.

$TSLA technical review

The below weekly chart of Tesla shows how aggressive the decline has been in 2022. In the short term, if the stock breaks above the $130 price mark bring a new potential barrier into the picture. A break this and close above this level then expect the stock to zoom up to $150 and $165. To the downside, bearish actions could send the price to test the 52-week low of $108. Sliding beneath that floor, $103/100 may come under examination. A break below this area could then open the door to $93/90.

ocado


Long-term investors looking to get involved in the stock might prefer to wait for some confirmation that the price is starting to reverse and watch for a weekly close above the $180/200 area.

Read more here - https://gulfbrokers.com/en/tesla-stock-sank-70-in-2022-is-a-rebound-coming
 
The king dollar is continuing its struggle to rise. The dollar index, which tracks the currency against key rivals rose to a high of 104.85 on Tuesday but failed to extend the gains. As of this writing, the DXY trades below 103.90. Moving ahead to the North American session, dollar Investors and traders should closely monitor the release of the minutes of the US Federal Reserve’s December meeting, which will give traders a lot of hints about where monetary policy is headed this year.

Technically the overall momentum remains bearish after the currency pair experienced a sharp slide in the last couple of weeks. However, the greenback can rise if it rebounds back to above the 104.80 level again, any break and closes above this level the next upside levels to watch are 105.40 and 105.80. Nevertheless, if it continues the bearish momentum, the slump will quickly extend toward the 103.40 and 103 marks.

EQUITIES

European shares traded higher on Wednesday boosted by the recent batch of upbeat economic data from the Eurozone and Germany. The latest economic data showed that Services activity dropped at a slower rate in Germany and Eurozone during December. Meanwhile, US stock futures trading in a narrow range as traders and investors are waiting for fresh triggers from FOMC meeting minutes.

OIL

Crude oil futures extended the losses on Wednesday morning as recession fears and a flare-up in COVID-19 cases in China raised concerns over global demand. Moving ahead, the Fed meeting minutes, and weekly crude inventory data will be key to deciding the further price movement for oil prices.

CURRENCIES

In the currency market, the EURUSD rebounded back to above 1.0600 as investors welcomed a better-than-anticipated reading on the service sector and the currency pair received additional buying pressure after the bullish comments from the ECB policymakers. However, the US dollar movement will continue to play a vital role in this currency pair's future direction.

GOLD

The precious metal slightly reversed from the daily highs ahead of US ISM Manufacturing PMI data, which is set to be released later today. On the other hand, gold traders should also closely monitor the December FOMC meeting minutes because gold is highly sensitive to rising interest rates since higher rates dent gold's appeal as they increase the opportunity cost of holding non-yielding bullion.

Economic Outlook

On the data front, German inflation falls more sharply than expected. The first estimate of German headline inflation came in at 8.6% year-on-year in December, down from 10% in November.

Moving ahead today, the important events to watch:

US – ISM manufacturing PMI: GMT – 15.00

US – JOLTS jobs openings: GMT – 15.00

US – FOMC meeting minutes: GMT – 19:00

Coronavirus update:

Worldwide, more than 665 million people have been confirmed infected and more than 6.69 million have died. The United States has confirmed over 102 million cases and has had more than 1.11 million deaths from COVID-19, the highest total in the world.

Technical Outlook and Review

EURUSD:
The currency pair rebounded back to above 1.0630 during the European session. For today, the first resistance is located for the pair at around 1.0650, a break above this level will confirm a possible move to 1.0680/1.07. On the downside, any meaningful pullback now seems to find some support near the 1.0570/50 zones, below which the slide could further get extended towards the 1.0510/00 region.



The important levels to watch for today: Support- 1.0570 and 1.0550 Resistance- 1.0650 and 1.0680.

GOLD: Technically If the bullish momentum continues then the next upside level is to watch 1865 and 1872. On the flip side, a breakdown through 1840 would negate that bias and suggest a test of the 1830 and 1818 support regions.



The important levels to watch for today: Support- 1852 and 1840 Resistance- 1865 and 1872.

Quote of the day - “When it comes to investing, we want our money to grow with the highest rates of return, and the lowest risk possible. While there are no shortcuts to getting rich, there are smart ways to go about it.” – Phil Town.

Read more - https://gulfbrokers.com/en/daily-market-report-595
 
The major cryptocurrency exchange Coinbase (NASDAQ: COIN) saw its stock jump more than 12% on Wednesday after the company reached an agreement with the New York State Department of Financial Services (NYDFS). The U.S. cryptocurrency exchange will pay a $ 50 million fine in response to violations of New York’s financial services and banking laws, as well as invest $50 million to correct its compliance program over the next two years.

“Coinbase has acknowledged its failures in this respect to the Department,” the New York State Department of Financial Services said.

Coinbase is a global prime broker platform for digital assets. The company was founded in 2012 and has been licensed by the NYDFS since 2017. Coinbase shares have fallen more than 80% in 2022.

EQUITIES

US stock futures struggling to find the upside momentum after the FED minutes for December revealed that officials expect higher interest rates to remain in place. While European and UK shares traded flat on Thursday as the investors are waiting for the US employment data and Eurozone inflation report, both the economic data set to be released on Friday.

OIL

Crude oil prices are still struggling to find strong upside momentum despite a weaker US dollar as investors remain concerned about the global demand outlook. However, considering the last two session’s strong bearish momentum the oil prices can surely rebound in the short term if market sentiment stabilises. On the other hand, API released the crude inventory report. The report showed that US crude inventories expanded by 3.3 million barrels last week.

CURRENCIES

In the currency market, the dollar index, which compares the value of the dollar to those of six other currencies slightly recovered from the previous session's lows following the release of FED meeting minutes. Meanwhile, the GBPUSD reversed from the early gains and retreated back to near the 1.2000 psychological support area. The sustainability of any gain in the currency pair in the coming days will largely depend on how the US dollar behaves.

GOLD

The safe-haven metal reversed from the previous session's gains after the metal failed to close above the key resistance area of $1865. As of this writing, the precious metal trades are below the $1850 zone. Moving ahead, gold traders should closely monitor the release of the US ADP employment report and jobless claims data.

Economic Outlook

On the data front, the US Federal Reserve published the minutes of the December monetary policy meeting. The minutes revealed that officials continue to anticipate that ongoing rate increases would be appropriate to achieve the Fed's dual objectives of maximum employment and price stability.

Moving ahead today, the important events to watch:

US – ADP employment report: GMT – 13.15

US – Jobless claims: GMT – 13.30

Coronavirus update:

Worldwide, more than 665 million people have been confirmed infected and more than 6.69 million have died. The United States has confirmed over 102 million cases and has had more than 1.11 million deaths from COVID-19, the highest total in the world.

Technical Outlook and Review

EURUSD:
Technically the overall sentiment remains mixed. However, a fresh demand for EURUSD can be anticipated once the pair rises above the 1.0650 resistance. Nevertheless, if it continues to consolidate near the 1.0570/50 support, the slump will quickly extend toward the 1.0500 and 1.0480 marks.



The important levels to watch for today: Support- 1.0570 and 1.0540 Resistance- 1.0630 and 1.0650.

GOLD: For today, the first support for the pair appears to be around 1840, in the short-term any break below 1840 the next downside level is to watch 1832. On the other upper side, the immediate resistance is around 1855 any break and close above this level will open at 1860/65.



The important levels to watch for today: Support- 1840 and 1834 Resistance- 1855 and 1860.

Quote of the day - “Do not anticipate and move without market confirmation - being a little late in your trade is your insurance that you are right or wrong.” - Jesse Livermore.

Check out the detailed daily market report here - https://gulfbrokers.com/en/daily-market-report-596
 
Global markets made slim gains on Friday as investors await U.S. employment data that might influence the Federal Reserve’s decision on whether to act more aggressively. The NFP data is an indicator of American employment, NFP measures the change in the number of people employed during the previous month.

The US Bureau of Labor Statistics (BLS) will release the December jobs report today at 13.30 GMT. The expectations are for 200k jobs to have been added to the US economy in December and the unemployment rate is expected to be unchanged at 3.7%.

EQUITIES

US futures are in a cautious mood on Friday ahead of the US employment report as investors continued to bet on further Federal Reserve tightening to bring decades-high inflation under control. On Thursday, Wall Street ended lower despite the release of better-than-expected US economic data. The UK and Asian shares extend the gains on Friday supported by robust macroeconomic data.

OIL

Crude oil prices traded with strong bearish sentiment throughout this week due to rising tensions about the recent coronavirus pandemic in China and its impact on the global economy and oil demand. Meanwhile, the latest EIA crude inventory data showed the US crude stocks increased by 1.694 million barrels in the week ended December 30th, more than market expectations of a 1.154 million rise.

CURRENCIES

In the currency market, the Euro trades near the session lows against the US dollar following the release of mixed economic data from Germany. Factory orders in Germany dropped 5.3% in November while retail sales in Germany jumped 1.1% in November of 2022, following a 2.8% drop in October. Meanwhile, the US dollar remains steady as Investors shift their focus to the safe-haven currency as global market sentiment remains cautious.

GOLD

The safe-haven metal remains under pressure. The data to come later today on US payroll numbers could prove key to determining the next moves. The expected trading range for gold today is between 1820 support and 1865 resistance. At the time of writing, the precious metal trades below $1835.

Economic Outlook

On the data front, U.S. labor market data showed weekly initial jobless claims fell to 204K from 225K expected and 223K previously. The ADP data showed private-sector payrolls rose by 235,000, exceeding the market consensus of 150,000.

Moving ahead today, the important events to watch:

US – Non-Farm payrolls: GMT – 13.30

US – ISM services PMI: GMT – 15.00

Coronavirus update:

Worldwide, more than 665 million people have been confirmed infected and more than 6.69 million have died. The United States has confirmed over 102 million cases and has had more than 1.11 million deaths from COVID-19, the highest total in the world.

Technical Outlook and Review

EURUSD:
The currency pair remains under pressure a clear breakdown of the support at 1.0500 could open space for further declines while only recovery to 1.0560 would reverse the short-term negative trend.



The important levels to watch for today: Support- 1.0480 and 1.0450 Resistance- 1.0560 and 1.0600.

GOLD: The gold price slightly rebounded from the early session lows; the key support remains below the previous session low of $1824. On the flip side, the immediate resistance is located above $1842, a break above this level will confirm a possible move to $1848/50.



The important levels to watch for today: Support- 1830 and 1820 Resistance- 1842 and 1850.

Quote of the day - A trading philosophy is something that cannot just be transferred from one person to another; it’s something that you have to acquire yourself through time and effort - Richard Driehaus.

Read more - https://gulfbrokers.com/en/daily-market-report-597
 
Global stocks and precious metals ended the first trading week of 2023 on a positive note. The bullish sentiment was driven by the latest inflation data from Germany and Eurozone, both the CPI data came in cooler than expected, signaling that the persistent inflation in Europe may have peaked. On the other hand, the US employment report showed the US economy added more jobs than expected and that the Unemployment Rate edged lower.

This week, all eyes will be on the US inflation data to gain further clarity into whether the inflation peaked, with many fearing a more severe recession on the horizon. The inflation data might influence the Federal Reserve’s decision on whether to act more aggressively. The markets expect to see a further moderation in the annual rate of inflation from 7.1% down to 6.6% - still more than three times higher than the Fed's 2% target.

On the earnings front, the companies scheduled to release their last quarter financial results this week will be Delta Airlines, JP Morgan, Wells Fargo, Citi and Bank of America.

GOLD

The precious metal extended its recent run and surged above the 1865 level on Friday. The bullish rally was driven by worries about a slowing global economy and a weaker dollar. The strong upside move was also lifted by hopes for less aggressive rate hikes. Fundamentally the precious metals are expected to be extra volatile this week due to a busy economic calendar and all eyes remain on Thursday's US Inflation data. On the other hand, gold traders should also closely monitor any news surrounding COVID-related curbs in top bullion consumer China.



Technically the overall momentum remains bullish after the strong upside move. This week, the key resistance is located above $1880, a break above this area will confirm a possible move to $1890/95. On the downside, any meaningful pullback now seems to find some support near the $1840 zones, below which the slide could further get extended towards the $1832/20 regions.

DOLLAR INDEX

The U.S. Dollar was sold off heavily on Friday following the release of US jobs reports and ISM service PMI data, the mixed economic data raised bets the Fed will deliver smaller rate increases. This week USD traders await the latest US CPI data, looking for clues on future rate hikes by the central bank. The USD trader's focus will also turn to the FED chair Jerome Powell's speech on Tuesday, which should prompt even more volatility.



Technically the current price action signals suggest that a long-term bearish trend remains intact. This week, the immediate support for the greenback stands near 103.40 followed by 103.20. On the flip side, the first resistance is at 104.40 then 104.90 any break above 104.90 will open at 105.30 and 105.60 minimum.

EURUSD

The currency pair extend the gains on Monday boosted by robust economic data and a softer US dollar. The latest data showed, In November, industrial production rose by 0.2% in Germany versus a forecasted 0.1% increase. Moving ahead, no important economic reports are scheduled to be released in the Eurozone this week except the trade balance and industrial production data from Eurozone, which is set to be released on Friday.



This week, the first resistance is located around 1.0700 then 1.0730, a break above 1.0730 will confirm a possible move to 1.0780. On the downside, if the metal loses the 1.0570/50 handles, we expect a move toward 1.0500 and 1.0480 again. In the long term, watch for weekly closing above 1.0780 or below the 1.0500 area, which will give a larger confirmation of direction in the long term.

DOW JONES

Dow jones and other Wall Street equity indexes gained strong upside momentum on Friday after the latest US economic data drove investors to ease expectations of aggressive monetary tightening by the Federal Reserve. While several market participants still expect high US-Federal Reserve interest rates to remain in place for long until the country's inflation is on a sustained downward path to 2%. This week the US big bank's Q4 results are arguably the biggest focus for the Dow traders, the last quarter's results will show the impact of the global situation.



The technical scenario is bullish after last week's bullish sentiment. While considering the recently bullish momentum the Dow may find strong resistance again above 34,000. On the downside, 33,450 is the immediate support level, followed by 33,200. If the index breaks below 33,200, the slump will quickly extend toward the 32,800 then 32,500 marks.

Read more - https://gulfbrokers.com/en/weekly-review-gold-usd-eurusd-and-dow-jones-62
 
Shares of German biopharma firm CureVac (NASDAQ: CVAC) bounced more than 60% in the last 3 trading sessions. The strong upside momentum started after the company announced positive preliminary data from ongoing Phase 1 clinical programs in COVID-19 and seasonal influenza. The company said that it plans more patient trials of its mRNA vaccines against Covid-19. The global biopharmaceutical company has also announced that Sanofi veteran Alexander Zehnder will become CEO in April.

"The data derived from CureVac's mRNA technology platform and second-generation mRNA backbone implemented in the current clinical compounds demonstrate the potential of our portfolio not just in COVID-19 and influenza, but across the spectrum of RNA therapies," Igor Splawski, chief scientific officer of CureVac said.

EQUITIES

US stock futures traded flat on Wednesday. On Tuesday, Wall Street ended slightly higher after Fed Chairman Jerome Powell refrained from commenting on the interest rate outlook in yesterday's speech to the Swedish Riksbank. “Price stability is the bedrock of a healthy economy and provides the public with immeasurable benefits over time. But restoring price stability when inflation is high can require measures that are not popular in the short term as we raise interest rates to slow the economy” Powell said.

OIL

Crude oil futures recovered from early session lows. Oil prices slipped during the early morning session on Wednesday after a larger expected build-up in US crude stocks. The API inventory data showed that US crude inventories jumped by a hefty 14.9 million barrels last week. Moving ahead, the US Energy Information Administration will release its weekly crude inventory data later on Wednesday.

CURRENCIES

In the currency market, the U.S. Dollar Index measures the performance of the dollar against a basket of currencies and remains under huge selling pressure, the future direction of the USD will depend on Thursday’s US inflation report. On the other hand, the Euro remains one of the strongest currencies this week supported by hawkish comments from ECB board spokeswoman Isabelle Schnabel.

GOLD

The metal climbs to near the 8-month highs on Wednesday boosted by the weak US dollar. As of this writing, the gold price is trading steady above $1880. The bullish sentiment also lifted following the World Bank Tuesday cut its 2023 growth forecasts for most countries and warned the global economy could tip into a recession.

Economic Outlook

On the data front, data from the Australian Bureau of Statistics (ABS) on Wednesday showed retail sales jumped 1.4% in November from October, exceeding market forecasts of a 0.6% rise. Meanwhile, the consumer price level in Australia rose to a 30-year high. On an annualized basis, consumer prices rose from 6.9% to 7.3%.

Coronavirus update:

Worldwide, more than 666 million people have been confirmed infected and more than 6.69 million have died. The United States has confirmed over 103 million cases and has had more than 1.12 million deaths from COVID-19, the highest total in the world.

Technical Outlook and Review

EURUSD:
The key resistance is located above $1.0780, a break above this level will confirm a possible move to 1.0810/30. On the downside, if the pair loses the 1.0700 handles, then we expect a move of 1.0670/50.



The important levels to watch for today: Support- 1.0700 and 1.0670 Resistance- 1.0760 and 1.0780.

GOLD: The gold price making fresh weekly highs. The key resistance is located for the metal around 1890, a break above this level will confirm a possible move to 1900. On the downside, any meaningful pullback now seems to find some support near the 1875/72 zones.



The important levels to watch for today: Support- 1875 and 1870 Resistance- 1890 and 1895.

Quote of the day - A trading philosophy is something that cannot just be transferred from one person to another; it’s something that you have to acquire yourself through time and effort - Richard Driehaus.

Read more - https://gulfbrokers.com/en/daily-market-report-598
 
In five days, shares of the sports entertainment company World Wrestling Entertainment WWE (NYSE: WWE) have risen from about $68 to as much as nearly $94 after Vince McMahon returned to WWE as executive chairman. Vince McMahon was being away from the company for seven months amid a sexual misconduct scandal. Meantime, his daughter Stephanie McMahon will step down as co-CEO. On Jan. 6, McMahon was officially reinstated to the WWE's board of directors.

"Our Founder, Vince McMahon, has returned as Executive Chair and is leading an exciting process regarding strategic alternatives," - Stephanie McMahon said.

While on Wednesday the stock slightly retreats from the highs on rumors that WWE had been sold to Saudi Arabia’s Public Investment Fund. The reports emerged hours after Stephanie McMahon announced her resignation. WWE has had programming in Saudi Arabia since 2014 and started televising special events there in 2018.

WWE released its financial results for the third quarter of 2022 in the first week of November. In the Q3 results, earnings missed Wall Street forecasts but revenue topped expectations. WWE reported revenues of $304.6 million, an increase of 19% but the company’s operating income decreased by 8% to $58.9 million.

$WWE short-term technical outlook

The stock increased more than 30% from last Wednesday. In the short-term, if the stock continues the short-term bullish momentum, then the key resistance near $95 breaks and closes above this resistance level then expects the market to zoom up to $100 and then $110. On the downside, the first nearest support level is located at $81. In case it breaks below this level, it will head towards the next support level which is located near $72.

Read more - https://gulfbrokers.com/en/wwe-stock-is-on-fire-and-aiming-for-the-100-mark
 
US Equity markets had a volatile start year. The volatility is expected to increase further from today onwards as the Q4 earnings season starts on Friday with 4 important Banks reporting their latest earnings results. JPMorgan, Citigroup, Wells Fargo, and Bank of America all come out with numbers on Friday. Morgan Stanley and Goldman Sachs report their earnings on Tuesday, January 17.

The overall market sentiment has remained challenging in 2022 while banks managed to record a decent performance in the last two quarters supported by the surge in interest rates. While market participants and investors fear that more aggressive interest rates hike from central banks may lead to a global economic slowdown. Therefore, the Q4 earnings results could shed light on whether slowing economic conditions will damage their bottom lines.

EQUITIES

US stock futures slightly reversed from the previous session highs as investors welcomed a government report showing that inflation cooled more than expected last month. On the other hand, Investors also reviewing the last round of Q4 earnings to get more details on how inflation is impacting business and consumer activity.

OIL

Crude oil prices regained upside momentum this week boosted by a weaker dollar and hope of less aggressive rate hikes from the US Federal Reserve going forward. Meanwhile, the EIA crude inventory data showed that US crude inventories jumped by 18.962 million barrels last week, the most since February 2021.

CURRENCIES

In the currency market, the Japanese yen remain the strongest currency pairs of this week. The Euro held the gains against the US dollar and British pound lifted by hawkish comments by ECB policymakers. Meanwhile, the US dollar slightly recovered from the previous session's sell-off. Moving ahead to the North American session, the USD traders will now be focused on the Michigan consumer sentiment data which is set to be released at 15.00 GMT.

GOLD

The precious metal jumped again Thursday, hitting new 8-month highs versus a falling US Dollar after new data said inflation slowed hard in the world's largest economy last month. As of this writing, the metal hovers near the key resistance area of $1900.

Economic Outlook

On the data front, Headline CPI inflation meantime dropped to 6.5% in December – the lowest since October of 2021– down from 7.1% in November. On a monthly basis, prices actually slipped 0.1% from November to December, the first such drop since May 2020.

Moving ahead today, the important events to watch:

Eurozone – Industrial Production: GMT – 10.00

US – Michigan consumer sentiment: GMT – 15.00

Coronavirus update:

Worldwide, more than 665 million people have been confirmed infected and more than 6.69 million have died. The United States has confirmed over 103 million cases and has had more than 1.12 million deaths from COVID-19, the highest total in the world.

Technical Outlook and Review

EURUSD:
The currency pair trades steady above 1.0830. If the bullish momentum continues the next upside levels to watch are 1.0870 and 1.0900. On the downside, any meaningful pullback now seems to find some support near the 1.0800 zones, below which the slide could further get extended towards the 1.0770/50 region.



The important levels to watch for today: Support- 1.0800 and 1.0770 Resistance- 1.0870 and 1.0900.

GOLD: For today, the key resistance is located above the previous session’s high around 1900, a break above this level will confirm a possible move to 1908/10. On the downside, any meaningful pullback now seems to find some support near the 1886/75 zones.



The important levels to watch for today: Support- 1886 and 1875 Resistance- 1900 and 1910.

Quote of the day - “The vast majority of people compete in a time horizon that’s very near dated. There are many fewer investors who are thinking out a decade and beyond.” Matthew McLennon.

Read more - https://gulfbrokers.com/en/daily-market-report-599
 
Back
Top