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CAC 40 - French stock market is recovering

The quotes of the trading instrument were supported by the decision of the European Central Bank (ECB) to raise the interest rate by a record value of 75 basis points. At the same time, not all officials of the regulator are confident in the need to continue such a "hawkish" course. Thus, ECB Governing Council member Edward Scicluna recognized the adjustment as necessary in the current economic conditions, noting that the maximum level of correction of the indicator will probably not be applied in the future. European officials intend to focus on inflation statistics and do not rule out a slowdown to 25 basis points.

The index quotes have reversed and continue to show active growth. Technical indicators are preparing to issue a new buy signal: fast EMAs on the alligator indicator are rapidly approaching the signal line, and the histogram of the AO oscillator, being in the sales zone, forms ascending bars.

Support levels: 6234, 5871 | Resistance levels: 6408, 6624​

 

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MasterCard, shares set to continue rising

It became known that Bitso, a dynamically developing cryptocurrency exchange in Latin America, which processes up to 5% of all money transfers to Mexico, has signed an agreement with the issuer: the exchange intends to use MasterCard payment cards, which will support payment for purchases in Mexican pesos.

Investors expect the situation to continue developing with the decision of the International Organization for Standardization (ISO), which on Friday approved the creation of a special code for implementation in all payment systems to track suspicious arms transactions. So far, only Visa Inc. has supported the proposal, but MasterCard Inc. has already commented on the situation, saying that the corporation is carefully studying the initiative since it is focused on conducting operations within the legal framework.

The trading instrument is moving within the global Triangle pattern with dynamic boundaries of 300.00–355.00, forming a new growth wave. Technical indicators are ready to react and are reversing upwards: fast EMAs on the Alligator indicator are approaching the signal line, and the AO oscillator histogram forms upward bars in the sell zone.

Resistance levels: 345, 363 | Support levels: 321.7, 303.3​

 

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The XRP coin moves within a corrective sideways channel at 0.3364, reversing downwards.

H4
On the four-hour chart, the key support is 0.3130. After its breakdown, the decline may reach the year's low of 0.2873. The technical indicators have already fully reversed and issued a sell signal: the Alligator indicator's EMA oscillation range expands downwards, and the histogram of the AO oscillator is actively decreasing in the sell zone.

D1
On the daily chart of the asset, a local ascending channel is forming with dynamic boundaries 0.3200–0.4200, and the price continues to decline towards the support line at 0.3130. Technical indicators are uncertain and preparing to issue a new sell signal: the Alligator indicator's EMA oscillation range is still quite narrow, and the AO oscillator histogram forms downward bars.

Overall, both charts point to a likely continuation of the decline, with a global target around the all-time low of 0.2873.

Resistance levels: 0.3605, 0.4299 | Support levels: 0.3136, 0.2873​

 

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Gold - Candlestick Analysis​

H4​

On the four-hour chart, there is the formation of an Inverted Hammer reversal pattern at the level of 1696.34; however, the attempt of the "bulls" to seize the initiative in the XAU/USD pair was unsuccessful. This can be seen in the formation of a Bearish Engulfing pattern, which showed that the market is still under the influence of sellers. The appearance of opposite figures states uncertainty, and in the current situation the price may reverse at the support level of 1682.63 and head higher to the resistance level of 1732.43, overcoming of which will open the way for the "bulls" to the zone of 1808.60–1879.88. An alternative scenario is likely if the price breaks down the support level of 1682.63, then the instrument may drop to the area of 1628.66–1551.08.

D1​

On the daily chart, at the level of 1696.34, there is the formation of Inverted Hammer and Hammer candlestick analysis patterns, which warn of a likely price reversal upwards, and at the moment, at the level of 1717.8, another Inverted Hammer model is being built. After a long decline in the asset, the price has probably reached the bottom and is preparing for a reversal. In the current situation, it seems possible to restore quotes to the level of 1732.43, overcoming which will allow the price to strengthen to the area of 1808.6 – 1879.88.

Support levels: 1682.63, 1628.66, 1551.08 | Resistance levels: 1732.43, 1808.6, 1879.88​

 

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EURUSD - The US dollar controls the dynamics of the pair

According to data released yesterday, the volume of Industrial Production in the eurozone in July fell by 2.3% after rising by 1.1% a month earlier, which led to a decrease in the annual rate by 2.4% after increasing by 2.2% in the previous month. The negative dynamics was supported by today's data on the Wholesale Price Index in Germany, which in August added only 0.1 against the forecast of 0.5%, and in annual terms slowed to 18.9% from 19.5%.

The EURUSD pair remains within the global descending channel, declining in the direction of the support line. Technical indicators hold the sell signal, somewhat weakening it: the fast EMAs on the alligator indicator are still below the signal line, and the histogram of the AO oscillator forms new bars, being deep in the sales zone.

Support levels: 0.99, 0.975 | Resistance levels: 1.0055, 1.02​

 

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Apple - technical analysis

On the daily chart, the quotes remain within the global Expanding formation pattern, forming a new downward wave, which has already almost reached its intermediate target at the 61.8% Fibonacci full retracement around 146. On the four-hour chart, it can be seen that the current movement is developing according to the classical structure. After rebounding from the initial correction of 23.6% Fibonacci around 163.8, the price continued its global decline, almost breaking the intermediate correction of 50.0% Fibonacci around 151.50, which is key support for the current trend.

Technical indicators confirm the high probability of continued decline: the Alligator indicator's EMA oscillation range expands downwards, and the histogram of the AO oscillator forms downward bars in the sell zone.​

 

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McDonald's technical analysis​

Shares of McDonald's Corp., the world's largest chain of fast-food restaurants, correct within a downtrend at 255. On the daily chart, there is a global upward correction, within which a local Head and shoulders reversal pattern is formed with the Neckline at 250. The four-hour chart shows that the price failed to realize it, but this week it may make a second attempt, in which case the support line around 245.00 will act as a local obstacle, consolidation below which will open the way to the main target at 236.

Technical indicators have completely reversed downwards: fast EMAs on the Alligator indicator crossed the signal line downwards, and the AO oscillator histogram forms bars with a downward trend in the sell zone.
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USDCHF - Swiss economy remains under pressure

Switzerland's trade balance will be published tomorrow, which could fall to annual lows of 2.9B francs due to the continued rise in the cost of imports: this figure added 8.6% in August compared to last year's value. The State Secretariat for Economic Affairs (SECO) will publish fresh economic forecasts, which will reflect the situation with inflation, which due to rising import prices, may increase to 3.3–3.5% this month, which is another anti-record for the country.

On the daily chart, the price is correcting within the downwards corridor, falling towards the support line. Technical indicators keep a sell signal, which has weakened due to an upward correction: fast EMAs on the Alligator indicator are below the signal line, and the AO oscillator histogram has formed another downward bar in the sell zone.

Resistance levels: 0.97, 0.9843 | Support levels: 0.9587, 0.941​

 

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Nasdaq 100 - The US stock market continues to decline

One of the world's leading express delivery companies, FedEx Corp., published a preliminary report on the results of the first quarter of fiscal year 2023, saying that its revenue in the period from June to August could fall to 23.2 billion dollars, which is 300.0 million dollars below the forecast. In turn, earnings per share will be around 3.33 dollars, well below the forecast of 5.14 dollars. In addition, the Chief Financial Officer of General Electric Co. Carolina Dybek Happe said that problems in the supply chains of goods remain, and this can have a negative impact on the company's performance in the current quarter.

The index quotes are trading within the wide downward channel, declining towards the support line. Technical indicators maintain a steady sell signal: fast EMAs on the Alligator indicator are moving away from the signal line, and the AO oscillator histogram has formed several new descending bars.

Support levels: 11550, 11000 | Resistance levels: 12178, 12900​

 

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Crude Oil - Oil prices are consolidating​

Brent Crude Oil prices show near-zero dynamics, consolidating near the level of 91. Pressure on quotes is exerted by expectations of the outcome of the US Federal Reserve meeting, at which the interest rate may be raised by 75 basis points for the third time in a row. The Bank of England and the National Bank of Switzerland are also expected to tighten their monetary policies this week. The increase in interest rates is aimed at containing the sharp increase in inflation, but also leads to a slowdown in economic activity. In particular, analysts assess the risks of a recession in the European economy, which also faced serious challenges due to the energy crisis.

Another negative factor affecting the quotes of "black gold" is the fall in industrial activity in China due to its zero tolerance policy towards COVID-19. Finally, the markets are concerned about the restrictions that apply to the import of oil and oil products from the Russian Federation. Western countries continue to discuss the introduction of marginal prices for Russian "black gold".

Today, the focus of investors will be data from the American Petroleum Institute (API) for the week ended September 16. The previous report reflected a sharp increase in reserves of "black gold" by 6.035 million barrels, while the US Department of Energy reported an increase of only 2.442 million barrels.

In the D1 chart, Bollinger Bands are reversing horizontally. The price range is almost constant, remaining rather spacious for the current level of activity in the market. MACD is growing preserving a weak buy signal (located above the signal line). Stochastic is showing similar dynamics, having reversed upwards at the end of last week. Current readings of the indicators signal in favor of a corrective growth in the ultra-short term.

Resistance levels: 91, 92.47, 94.5, 96.54 | Support levels: 88.79, 87, 86, 85​