The overall market sentiment is risk-on. The S&P 500 index (US 500) is getting close to the all-time high. Oil is recovering quickly from its recent losses.
How to trade on June 23?
- Trump’s adviser Peter Navarro roiled the market. He said that the US-China trade deal is over during the interview by Fox News. Stock dropped
- Later, the US president calmed the market’s participants down. The phase one agreement of the trade deal is enforceable. Both sides officially claimed that they intend to stick to the deal.
- That situation has proven that the US-China relationship is still one of the key drivers of the market.
- The Australian Manufacturing PMI tuned out 49.8, it was better than analysts expected. That data encouraged investors as above 50.0 indicates industry expansion. AUD jumped.
- The Japanese Manufacturing PMI came worse than forecasts. JPY loosened.
Most analysts don’t expect another pullback this week. S&P 500 is headed towards new highs. It has just passed 3110. If bulls are as strong as most anticipate, the stock index will surge to 3225. Support levels are 3020 and 3000.
The AUD/USD rose on the positive industry data. If it crosses the resistance at 0.6950, it will open doors toward the June high at 0.7020. Nevertheless, if risk-averse returns, the pair will slump to 0.6800.
The Japanese yen weakened against the US dollar on the poor PMI data. The 50-day moving average at 107.40 is a key resistance that the pair struggles to break. If it crosses it, it will soar to 38.2 % Fibonacci level at 107.85. Support levels are 106.80 and 106.00.
The WTI oil price has reached the three-months high. It has crossed $40.5 a barrel. Now it’s moving up towards the early March highest point at $47.5. Support levels are $36 and $32.
To trade WTI with FBS you need to choose WTI-20N.
Upcoming news today:
- The French, German and EU PMI will be released at 10:15, 10:30 and 11:00 MT time, respectively.
- The UK PMI will be reported at 11:30 MT time.
- The US PMI will be published at 16:45 MT time.
Today the Fed will make a policy statement at 21:00 GMT+3. This event will affect all the currency pairs with the USD and thus almost the all Forex market!
What will happen? The FOMC statement will be published at 21:00 MT (GMT+3) on Wednesday, July 28…
Hong Kong stock index extended a decline sparked by China’s tech crackdown. Tesla posted better-than-expected results. Jump in!