SUMMARY

  • Third consecutive day of corrections for gold Yesterday it closed with a drop of -2.52%. Currently, the price of the metal falls -0.79% and is trading at $2,309 per troy ounce.
  • The S&P500 is starting to recover. Yesterday it closed with an increase of +0.51%. Currently, it is laterally above the 5,009 point zone.
  • Japan’s services sector PMI stood at 54.6, an improvement from 54.1 the previous month. The sector then continues in an area of ​​economic expansion, which is good for the country.

 

Main events:

  • French manufacturing PMI
  • French services PMI
  • German Manufacturing PMI
  • German services PMI
  • Eurozone Manufacturing PMI
  • Eurozone services PMI
  • UK Services PMI
  • US Manufacturing PMI
  • US services PMI
  • Australia CPI
  • API Crude Oil Weekly Stocks

GOLD

Specifications

  • Leverage: 100
  • Units: 100
  • Margin requirement: USD$2167
  • Example: movement of USD$10 = $1,000 potential PL.
  • Support 1: 2284.91
  • Support 2: 2270.99
  • Resistance 1: 2323.61
  • Resistance 2: 2348.39

Fundamental Analysis

  • Third consecutive day of corrections for gold Yesterday it closed with a drop of -2.52%. Currently, the price of the metal falls -0.79% and is trading at $2,309 per troy ounce.
  • The drop in prices is due to the fact that fears of an escalation of the conflict in the Middle East have dissipated.
  • The European Union has agreed to increase economic sanctions against Iran.
  • Traders are attentive to the series of PMIs that will be presented in Europe. A eurozone manufacturing PMI of 46.5 and a services PMI of 51.8 are expected, in an area of ​​economic expansion.
  • The US manufacturing PMI is expected at 52 and the services PMI at 52.
  • The annual CPI in Australia is expected to be 3.4%.

S&P500

Specifications

  • Leverage: 100
  • Units: 1
  • Margin requirement: USD$49
  • Example: movement of 100 points = $1,000 potential PL.
  • Support 1: 5005.4
  • Support 2: 5002.3
  • Resistance 1: 5010.7
  • Resistance 2: 5012.9

Fundamental Analysis

  • The S&P500 is starting to recover. Yesterday it closed with an increase of +0.51%. Currently, it is laterally above the 5,009 point zone.
  • Verizon, for its part, reported earnings per share of $1.15 versus $1.12 expected and revenue of $33 billion versus $33.23 billion expected. As the company did not exceed the expected turnover level, the share price corrected -4.67%.
  • Today, after the market closes, Visa and Tesla report their results. While Pepsi and GE are present before the inauguration. As for Tesla, the company’s shares continue to fall, due to a lack of confidence and the results of the current management. The share price closed yesterday with a drop of -3.40%.
  • Traders again opened long positions in stocks. Geopolitical fears are beginning to subside.
  • The index is below the 40-day moving average and continues above the resistance zone.

USDJPY

Specifications

  • Leverage: 200
  • Units: 100,000
  • Margin requirement: USD$499
  • Example: 100 pips change in USDJPY price = USD1,000 potential PL.
  • Support 1: 154.72
  • Support 2: 154.68
  • Resistance 1: 154.79
  • Resistance 2: 154.82

Fundamental Analysis

  • Japan’s services sector PMI stood at 54.6, an improvement from 54.1 the previous month. The sector then continues in an area of ​​economic expansion, which is good for the country.
  • In Singapore, a CPI of 3.1% per year is expected. In Australia, a CPI of 3.4% per year is expected. Both are still far from the inflation target of 2% per year.
  • Yesterday, USDJPY closed up 0.13%. The coin is currently at 154.75, very close to the 155 level. The weekly target remains at 156.
  • The Bank of Japan continues to insist on intervention in the currency market, which keeps traders in long positions nervous.
  • The currency remains in the resistance zone. The price is above the 200-day moving average. Long volume could increase, leading to a bounce towards 155. The RSI is in the neutral zone.

SOURCES

  • Thomson Reuters
  • Market watch
  • Bloomberg
  • Tradingview

 

Risk Disclaimer

Any information/article/material/content provided in this document is intended to be used for educational purposes only and does not constitute investment advice or consultation on how the client should trade.

While the authors have ensured that the content of such information is accurate, they are not responsible for any omissions/errors/miscalculations and cannot guarantee the accuracy of any material or any information contained therein.

Therefore, any reliance you place on such material is strictly at your own risk. Please note that the responsibility for using or relying on such material rests with the customer and the company accepts no liability for any loss or damage including, without limitation, any loss of profit which may arise directly or indirectly from the use of or reliance on such information.