SUMMARY

  • Singapore’s CPI came in at 3.4%, up 5 basis points from the previous month. This result is not favorable and is causing turbulence in the Asian market.
  • The bitcoin has once again surpassed the USD 70,000 barrier. It is currently up 4.66% and stands at USD 70,501. The volume of buying is higher in the United States.
  • Traders are watching the Bank of Japan’s core CPI, which is expected to come in at 2.5% year-on-year.

 

Main Events:

    • Japan inflation report.
    • Spanish GDP
    • Canadian Wholesale Sales Report
    • U.S. consumer confidence report
    • API weekly oil stocks

GOLD

Specifications

  • Leverage: 100
  • Units: 100
  • Margin requirement: USD$2167
  • Example: movement of USD$10 = $1,000 potential PL.
  • Support 1: 2169,27
  • Support 2: 2168,15
  • Resistance 1: 2171,97
  • Resistance 2: 2173,55

Fundamental Analysis

  • Singapore’s CPI stood at 3.4%, 5 basis points higher than the previous month. This result is not favorable and causes turbulence in the Asian market.
  • New home sales in the United States increased by 662,000 units. However, they did not exceed expectations of 675,000. This indicates that demand is increasing, but not at the expected pace.
  • Traders are watching Spanish GDP results, which are expected to come in at 2% year-over-year.
  • Tensions are rising in the Ukraine war due to Russia’s doubts about attacking Moscow.
  • The gold price is below its 40-day moving average, indicating a decline in buying volume. The price is trending sideways at USD 2,170 and is looking to stay in the range between USD 2,178 and USD 2,165.

NASDAQ 100

Specifications

  • Leverage: 100
  • Units: 1
  • Margin requirement: USD$183
  • Example: movement of 100 points = $1,000 potential PL.
  • Support 1: 18.514,34
  • Support 2: 18.504,92
  • Resistance 1: 18.536,09
  • Resistance 2: 18.548,42

Fundamental Analysis

  • Bitcoin has once again surpassed the 70,000 USD barrier. It is currently up 4.66% to USD 70,501. Buying volume is higher in the United States.
  • The Nasdaq 100 closed up 0.06% yesterday, marking the sixth consecutive day of a positive close. The index is at the same level as its 40-day moving average. The price could bounce from the current support to the resistance at 18,700 points.
  • Traders could initiate further profit taking from the current level of the index as they wait for inflation data from several countries to be released later in the week.
  • Buyers are looking to consolidate the current level in view of a rebound to new all-time highs.

USDJPY

  • Leverage: 200
  • Units: 100,000
  • Margin requirement: USD$499
  • Example: 100 pips change in USDJPY price = USD1,000 potential PL.
  • Support 1: 151,33
  • Support 2: 151,25
  • Resistance 1: 151,46
  • Resistance 2: 151,51

Fundamental Analysis

  • Traders are awaiting the Bank of Japan’s core CPI, which is expected to come in at 2.5% year-on-year. For the time being, Asian stock markets are trading mixed, with strong rallies in Japanese indices and corrections in Chinese indices.
  • The USDJPY remains sideways around the 151.38 area. Bulls are still targeting the 152 level, but the Bank of Japan may intervene in the FX market to curb the currency’s uptrend.
  • The currency is at the same level as its 40-day moving average. The fluctuation range is narrow, between 151.52 and 151.25, indicating lower volatility. Buyers in the market are looking for the 152 level to move up towards 152.50.

SOURCES

  • Thomson Reuters
  • Market watch
  • Bloomberg
  • Tradingview

 

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