SUMMARY

  • According to Goldman Sachs, the gold price could reach USD3,000 per troy ounce, due to market volatility and investors’ need to hedge their portfolios with the metal.
  • USDCHF V-shaped recovery. The price bounced from the 0.9000 support to its current level of 0.9071, ending yesterday with a +0.60% gain.
  • Fed officials have stated that interest rates are likely to remain high for longer as inflation in the US is not falling at the expected pace.

 

Key developments:

  • Eurozone CPI
  • Bank of England statement
  • Canadian new home price index

GOLD

Specifications

  • Leverage: 100
  • Units: 100
  • Margin requirement: USD$2167
  • Example: movement of USD$10 = $1,000 potential PL.
  • Support 1: 2372.46
  • Support 2: 2369.7
  • Resistance 1: 2379.62
  • Resistance 2: 2384.02

Fundamental Analysis

  • According to Goldman Sachs, the price of gold could reach USD 3,000 per troy ounce, due to market volatility and investors’ need to hedge their portfolios with this metal.
  • New US jobless claims rose to 222,000 versus 219,000 expected, indicating a deterioration in the US labor market.
  • China’s unemployment rate came in at 5%, up from 5.2% in the previous report.
  • The Eurozone consumer price index is forecast at 2.4% y/y, very close to the ECB’s 2% inflation target.
  • The gold price exceeds its 200-day moving average. The price reached USD 2,400 before falling a few points to USD 2,376.

USDCHF

Specifications

  • Leverage: 200
  • Units: 100,000
  • Margin requirement: USD$499
  • Example: 100 pips change in USDCHF price = USD1,000 potential PL.
  • Support 1: 0.9069
  • Support 2: 0.9067
  • Resistance 1: 0.9073
  • Resistance 2: 0.9077

Fundamental Analysis

  • USDCHF V-shaped recovery. The price bounced from the 0.9000 support to its current level of 0.9071, ending yesterday with a gain of +0.60%. The currency is currently up +0.13%.
  • The price moved higher after reaching the lower Bollinger band. It has also crossed the 200-day moving average line, indicating that buyers have begun to outnumber sellers.
  • Warren Buffett announced that his company, Berkshire Hathaway, had invested $7 billion in Swiss insurer Chubb.
  • The UK has signed a financial agreement with Switzerland to enable companies in both countries to develop their businesses more quickly.
  • Long-term traders expect the price to close the week at the resistance level of 0.9106. The euro zone consumer price index results could give a boost to the price.

NASDAQ 100

Specifications

  • Leverage: 100
  • Units: 1
  • Margin requirement: USD$181
  • Example: movement of 100 points = $1,000 potential PL.
  • Support 1: 18643.34
  • Support 2: 18635.67
  • Resistance 1: 18661.84
  • Resistance 2: 18672.67

Fundamental Analysis

  • Fed officials have stated that interest rates are likely to remain high for longer as U.S. inflation is not falling at the expected pace. The Fed’s target remains 2% annual inflation. Currently, CPI is 3.4%.
  • Walmart shares rose 6.94% on the back of customer growth.
  • AMD shares rose 1.85% thanks to the development of new chips, which compete with Nvidia.
  • Google shares rose 0.97%, boosted by the acceleration of the company’s OpenAI developments.
  • Tesla shares rose 0.49%, due to the increase in U.S. tariffs on electric vehicles from China.
  • The index managed to reach the resistance of 18,749 points. Traders are starting to look for the 18,900 point level.

SOURCES

  • Thomson Reuters
  • Market watch
  • Bloomberg
  • Tradingview

 

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