Daily Market Review — 10/05/2016

Daily Market Review — 10/05/2016

Disney will report its earnings after the market closes. Share prices have been trending up over the last month.

Forex

AUD/USD

AUDUSD

Although last Friday’s poor NFP results temporarily hurt the US currency, the speech given by US Fed leaders last week concerning future rate hikes is still providing some support for the dollar. Additionally, negative commodity dynamics impacted the pair yesterday.

Earlier this morning Chinese consumer and producer price indexes were published and the figures failed to impress. This impacted the currency pair as China is Australia’s biggest trading partner. Today, the pair’s dynamics will probably depend on data regarding U.S. JOLTs Job Openings, scheduled for 14:00 GMT. Additionally, the commodity market may play significant role as well.

Resistance: 0.7348, 0.7446, 0.7553
Support: 0.7258, 0.7183, 0.7111

EUR/JPY

EURJPY

Yesterday the pair trended positively, with better than expected Eurozone statistics being the main catalyst. German factory orders rose by 1.9% as opposed to an expected 0.7% and Sentix investor confidence jumped to 6.2%. At the same time, Japan’s consumer confidence indicator remained below the key 50 point threshold, only totaling 40.8. Furthermore, Japan’s Finance Minister, Taro Aso mentioned the potential need for foreign exchange intervention if the yen continues to strengthen. Today so far a better than expected German trade balance report positively impacted the currency pair.

Resistance: 124.29, 124.85, 125.46
Support: 123.19, 122.54, 121.73

 

Stock Market

Walt Disney Co (NYSE: DIS)

disny 10.5

Disney is scheduled to report its earnings after the closing bell today. The stock has risen nearly 10% over the past month, closing north of $100 over the past 15 trading days. Analysts are expecting revenue of $13.21 billion and an EPS of $1.41, 12% higher than its EPS from Q1 2016. History implies that Disney will surpass these expectations but we’ll soon find out.

Resistance: 106.01, 106.36
Support: 104.30, 104.65

Commodities

GOLD

Gold

Gold prices fell approximately 2% as the USD appreciated along with investors taking their profits after Friday’s growth after a disappointing NFP report. Additionally, remarks concerning future interest rate hikes made last week by Fed officials are also playing a role. Today’s dynamics will depend on how the USD performs along with various technical factors.

Resistance: 1270.00 1280.50, 1290.83
Support: 1259.00, 1250.48, 1239.19

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