Daily Market Review — 07/07/2016
Today’s US ADP Nonfarm Employment Change will be the primary market-mover.
The British currency fell significantly when yesterday’s trading session commenced, hitting fresh 31-year lows. Thanks to last month’s Brexit decision, Henderson and Columbia Thread Needle became the latest major U.K. property funds organization to halt all redemptions. This was the primary reason as to why the pound fell. However, the GBP/USD did recover somewhat during the second half of the trading day despite a slightly better than expected U.S. ISM Non-Manufacturing PMI.
Today’s trading dynamics will be heavily influenced by U.K. Industrial Production data, scheduled for 8:30 GMT. Then at 12:15 GMT the US will present its ADP Non-Farm Employment Change findings, followed by the weekly Unemployment Claims report at 12:30 GMT.
Resistance: 1.3018, 1.3100, 1.3199
Support: 1.2858, 1.2794, 1.2734
The pair dropped somewhat yesterday with economic data from the US being the main catalyst. Despite having a slightly better than expected ISM Non-Manufacturing PMI, Trade Balance findings were worse than anticipated. It should be noted that the Swiss franc like the Japanese yen is often used as a safe asset. With regards to today’s trading the pair has so far risen despite better than anticipated Swiss CPI findings. Additional influence may come via the ECB’s Monetary Policy Meeting Accounts at 11:30 GMT. However, the pair will be the most influenced by the US ADP Non-Farm Employment Change, scheduled for 12:15 GMT.
Resistance: 0.9756, 0.9779, 0.9803
Support: 0.9718, 0.9688, 0.9655
Major European indexes including the DAX traded negatively yesterday as investors grew wearier of the Italian government’s apathy towards its banks. Additionally, worse than anticipated German Factory Orders put significant pressure on the DAX. Today, UK Industrial Production and the ECB Monetary Policy Meeting Accounts will affect trading dynamics.
Resistance: 6501.60, 9556.90, 9647.60
Support: 9391.20, 9328.10, 9257.10
The precious metal hit a two-year high yesterday thanks to poor overall performance from the global index markets. Today’s dynamics will highly depend on US labor market data set to kick off at 12:15 GMT.
Resistance: 1374.80, 1389.59, 1405.89
Support: 1359.58, 1344.37, 1330.36