Daily Market Review – 22/08/2016
Trader sentiment will be driving the markets today.
The US dollar grew against the euro last week thanks to the San Francisco Fed saying the rates should be raised as soon as possible. Today’s U.S. Chicago Fed National Activity, scheduled for 12:30 GMT should impact the market.
Meanwhile, analysts expect high market volatility with the US and Eurozone manufacturing and service PMI’s, scheduled for tomorrow.
Resistance: 1.1314, 1.1349, 1.1382
Support: 1.1258, 1.1228, 1.1189
The pair traded with mixed results last Friday. Today so far the Japanese currency fell as Governor of the Bank of Japan, Haruhiko Kuroda spoke about the possibility of further rate cuts.
The rest of today’s trading dynamics will depend directly on investor sentiment.
Resistance: 101.17, 101.66, 102.20
Support: 100.50, 100.00, 99.55
On Friday, major US stock indexes fell slightly as the market waits for Central Bank Governors’ Meeting, scheduled for this week.
Seemingly traders’ sentiments are positive so far, so we may see a number of stocks and indexes increase this week.
Resistance: 18540.00, 18574.00, 18595.00
Support: 18476.00, 18440.00, 18411.00
Brent Oil Futures
Oil was under pressure last Friday as investors took the profits after a multi-day rally. Traders expected the world’s largest oil producers to temporarily freeze their production, but it didn’t happen.
Meanwhile, in the US the number of active drilling rigs grew by 10 units last week. This may provide a negative impact on the global oil market at least for the start of the week.
Resistance: 50.57, 51.20, 51.84
Support: 49.32, 48.53, 47.64