FXPRIMUS Weekly is your comprehensive technical and fundamental trading guide for the coming week! Access the latest news and in-depth technical indicator data, delivered by out market experts each and every week!
With a new week comes new market opportunities. Here’s a recap of what you may have missed, as well as some highlights of the week ahead of us:
Catching you up on last week:
• The Fed left the rate unchanged; FOMC says rates are likely to remain unchanged through to 2022, and forecasts GDP contraction of 6.5% for 2020
• Nasdaq Composite closes above $10,000 for the first time despite the recession, while both Apple and Amazon trade at all-time highs during the week, and Tesla becomes the most valuable automaker in the world
• Brent and WTI fell Thursday on slow demand growth, while Initial Jobless Claims fell to 1.5 million as hiring also starts to pick back up again
This week, keep an eye on:
• UK unemployment data early on in the week; we saw a significantly higher number than expected in May’s release (from April)
• Retail Sales and Core Retail Sales out of the US; positive data is expected for May. Australia, Canada and the UK publish their respective Retail Sales data later in the week too.
• Both BoE and SNB publish their Interest Rate Decisions; no changes are expected but the Meeting Minutes and Press Conference will be the ones to watch if nothing else
Let’s take a closer look…
Each week, we take a closer look at the markets that move, and those you may have missed!
STOXX50 is trading close to its 61.8% FIB and well above a still-descending 66 EMA. The 3260-3360 area is a resistance and the price appears to have been moved into a channel. RSI is slightly overbought. To the downside, 3185, 3130 and 3100 (where an eventual fall could stop); 2900 is an even more ambitious target. To the upside, we see potential capped around 3360-3430.
Long-term, since early 2019, it looks as though the pair is following a clear down channel. After testing the higher bound at the end of April, CHF accelerated after losing the 0.9540 level; 0.9420 is a support but the pair could trade at 0.9350 soon. Further weakness could take the price to 0.9320 and eventually to 0.9250. To the upside, 0.9550/60 could be a hurdle, with the next being close to 0.9620.
Goldman Sachs traders have made $1 billion on oil, recently forecasting a 20% drop. Crude has closed its March gap, testing $40 — currently, the MACD has crossed to the downside and the price has pierced the fast 8 EMA. In the case of further weakness, we see 35% as the first target but cannot exclude the possibility of the price lowering close to 31, where the 50 EMA should pass. More conservative investors could wait for the 26.50/28.20 area before entering.
At all-time highs and after a 60% rally during the last 2.5 months, AMZN has formed a short shadowed doji at the top of the uptrend. This could indicate some indecision that could be the first signs of a pause in the uptrend. To the upside, look to 2670 and to the downside, if 2600 is lost we should head to 2520, 2465 and we could set a target close to 2420.
Save The Date(s)
Here are the reports, meetings and other fundamentals to follow this week
|June 16th||01:30||RBA Meeting Minutes||AUD|
|June 16th||06:00||Claimant Count Change||GBP|
|June 16th||09:00||German ZEW Sentiment||EUR|
|June 17th||11:00||BoE Interest Rate Decision||GBP|
|June 17th||12:30||Philly Fed Manufacturing Index||USD|
*The above times are in GMT
Any opinions, news, research, analyses, prices or other information contained here are provided as general market commentary and do not constitute investment advice. FXPRIMUS does not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from use of or reliance on such information.