Main market drivers on June 11

Main market drivers on June 11

Risk-off prevails on the market. Consider trade ideas that presented below.

Fed statement

Yesterday Jerome Powell, the Chairman of the Fed, made a rate statement and gave economic guidelines. All market participants waited for that big event. The Powell’s speech was quite dovish. He claimed that the Fed will continue pumping stimulus until the US employment comes back to pre-crisis rates. Jerome Powell was really clear to leave rates below zero for longer: “ We’re not even thinking about thinking about raising rates”. According to him, the Fed will use all its tools such as low interest rates and enormous amounts of bond purchasing as long as it takes. The economy faces “considerable risks” over the medium term, the Fed mentioned in its statement.

Stocks slumped

Fears of a second coronavirus wave and the caution from the Fed pushed stocks down. S&P 500 is trading near the 78.6% Fibonacci level at 3140. If it breaks it down, it will open doors towards the support at 3000. However, if risk-on comes back soon, stocks can rise again and meet the resistance at 3300.  

S&P500Daily.png 

Gold contracted

Gold prices closed lower yesterday, the first time after three sessions going up. The Fed claimed that it will hold rates near zero at least through 2022. That makes gold a favorable asset for investors in the long term. However, the future risk-on as economies are recovering may weigh on gold prices. XAU/USD is moving down towards the support line at $1725. If it crosses it, gold may fall even deeper to the key barrier at $1700. The resistance is at $1750.

XAUUSDDaily.png

GBP/USD dropped

The Fed’s guideline for the future slow recovery has set risk-averse on the market. The British pound fell down yesterday. If GBP breaks through the 200-day moving average and the support at $1.265, it will be a pivotal moment for bearish traders as GBP may fall even deeper to the key 1.25 psychological mark after that. Nevertheless, if any positive news pushed the British pound up, it will meet the resistance at 1.2825.

GBPUSDDaily.png

Oil decreased

American crude stockpiles raised to a record high. That’s why, investors have fears about the future oil oversupply. Let’s look at the WTI oil chart. The price fell yesterday to $38. If it continues dipping, it will meet the support level at $34 and then at $30. However, oil prices are unlikely to fall down so far. Economies are recovering and the oil demand will increase at the same race. The resistance is at $47.5.

WTI_OilDaily.png

LOG IN

Similar

Traders Should Know About These Releases
Traders Should Know About These Releases

The G20 summit and the US PPI release gave us a lot of volatility to trade on. Luckily, today’s markets may be even more volatile with new vital releases and geopolitical decisions. The daily news report will surely help you!

Gold Outlook Ahead of NFP
Gold Outlook Ahead of NFP

Good day for all traders out there! We prepared a gold analysis and a bunch of other news for you to enjoy! Here's what you should know:

Latest news

Chinese workers are on strike
Chinese workers are on strike

  Good morning, dear traders! Hope you’re doing great! Let’s talk about the news that is worth following today!  Key market events: 15:30 MT, CAD GDP m/m 17:00 MT, GBP BOE Gov Bailey Speaks Oil is tensed again Oil rose as China refined its approach…

How to trade the JPY?
How to trade the JPY?

Happy Friday, traders! Are you ready to trade at the end of the week? Here’s what you need to know before you start:

FOMC Minutes Brought Insights
FOMC Minutes Brought Insights

Hello, dear traders! We hope you have a great day! Let’s see what news is worth following today! Market closing US stock exchanges will be closed due to the Thanksgiving holiday…

Deposit with your local payment systems

Feel the Team Spirit

Data collection notice

FBS maintains a record of your data to run this website. By pressing the “Accept” button, you agree to our Privacy policy.

Callback

A manager will call you shortly.

Change number

Your request is accepted.

A manager will call you shortly.

Next callback request for this phone number
will be available in

If you have an urgent issue please contact us via
Live chat

Internal error. Please try again later

Don’t waste your time – keep track of how NFP affects the US dollar and profit!

Beginner Forex book

Beginner Forex book will guide you through the world of trading.

Beginner Forex book

The most important things to start trading
Enter your e-mail, and we will send you a free Beginner Forex book

Thank you!

We've emailed a special link to your e-mail.
Click the link to confirm your address and get Beginner Forex book for free.

You are using an older version of your browser.

Update it to the latest version or try another one for a safer, more comfortable and productive trading experience.

Safari Chrome Firefox Opera