Will the pound keep standing?
Services and Manufacturing PMIs are out on Wednesday at 11:30 MT time.
What moves the market on June 22?
The market sentiment is mixed. China’s outbreak appeared to fade, what set the risk-on tone. At the same time, risk-off is fueled by the resurgence of new cases in the USA and some parts of Europe. Moreover, the US-China tensions are on the table again as China released details of a national security law that would give it the right to directly prosecute Hong Kong residents for still vaguely defined offenses. Also, US attempts to push the ceasefire in Libya as well as geopolitical tensions in Asia are catalysts that weigh on the trading sentiment.
The market uncertainty pushed gold up. The price retested the monthly high at 1750. It may continue rising, until it meets the resistance at 1762. At that moment or even earlier, gold can have a pullback. It has been trading in a range between 1680 to 1750 for quite a long time. If it breaks above this range, it will push the price higher. Otherwise, the move below 1717 will push the price even lower to the key psychological mark at 1700 and then 1680.
EUR/USD dropped significantly after rising for a month. However, it struggles to break down the support at 61.8% Fibonacci level at 1.1165. If it crosses it, it will open doors towards the next support at 1.1065, where the 200-period moving average lies. In opposite, if bulls get stronger, EUR will jump to the 100-period moving average at 1.125. However, many analysts have bearish prospect for EUR.
Receding figures of the coronavirus from China offer a boost to the market’s mood. S&P 500 has just crossed 3060. If it continues climbing up, it will meet the resistance at 3110. The support level is at 200-day moving average at 3020. If it breaks it down, it may fall even deeper to 3000.
Let’s move on to oil. The Brent oil price has just passed $42. Now it’s moving up towards the resistance at 50% Fibonacci level at $45. Support levels are $39 and $36.
To trade Brent with FBS you need to choose BRN-20N.
Similar
Main market movements on September 22
The market sentiment remains risk-off amid rising virus cases around the world and fears over new restrictions and lockdowns.
Will the RBNZ support the kiwi?
The New Zealand interest rate is announced on Wednesday at 05:00 MT time.
Latest news
US stimulus package improved sentiment
The market sentiment is mixed as investors weigh US stimulus package against the rising infections and worse-than-expected US unemployment claims. Jump in for fresh analysis of EUR/USD, USD/JPY, S&P 500 and gold!
The US weekly labor data is out!
US Initial jobless claims will be announced on Thursday at 15:30 MT time.
Main market news on September 23
The US dollar has broken through the key resistance, it failed to cross since March so far. Riskier assets are dipping. Let’s discuss it in detail.
Deposit with your local payment systems
