Daily Market Report: October 13, 2020
Today’s events & figures – Trade what you know Financial markets feed into world events and are their direct consequence. Keep a daily eye on our roundup of the day’s news, numbers and announcements.
October 13, 2020
Oil Traders Hold Their Breath As U.S Markets Continue To Climb
U.S. stocks closed on a high note Monday, as gains in the Technology, Consumer Services and Consumer Goods sectors drove shares higher, the Dow Jones rose by 0.88%, the S&P 500 by 1.64% and the NASDAQ added 2.56% to its value.
The NASDAQ RSI is mixed with a bullish bias.
Long positions above 11880.00 with targets at 12200.00 & 12315.00 in extension.
Below 11880.00 look for further downside with 11720.00 & 11590.00 as targets.
USD/JPY has posted slight gains during Monday’s session. In North American trade, the pair is trading at 105.43, down 0.17% on the day.
If the resistance at 105.45 is not surpassed, the risk of the break below 105.20 remains high.
Short positions below 105.45 with targets at 105.20 & 105.05 in extension.
Above 105.45 look for further upside with 105.60 & 105.80 as targets.
Gold futures climbed Monday to hold ground at their highest in roughly three weeks. Prices for the haven metal found support as uncertainty surrounding the outcome of the upcoming election prevailed, but gains in the U.S. stock market served to limit the price climb.
A support base at 1918.00 has formed and has allowed for a temporary stabilisation.
Long positions above 1918.00 with targets at 1933.00 & 1940.00 in extension.
Below 1918.00 look for further downside with 1911.00 & 1905.00 as targets.
Major oil benchmarks dipped on Monday ahead of two major oil industry reports that are set to be released on Tuesday of this week. The IEA is set to publish its World Outlook 2020 on Tuesday, followed by OPEC’s Monthly Oil Market Report (MOMR). Both are much-anticipated industry reports that are set not only to shed light on oil production around the world.
Technically the RSI is below its neutrality area at 50.
Short positions below 39.85 with targets at 39.05 & 38.60 in extension.
Above 39.85 look for further upside with 40.35 & 40.65 as targets.
The EUR/USD pair spent the day hovering around the 1.1800 level, unable to attract investors. The market’s mood was mostly sour at the beginning of the day, amid resurgent coronavirus cases in Europe and new restrictive measures announced, and the absence of progress in a US coronavirus aid package.
The RSI lacks downward momentum.
Long positions above 1.1800 with targets at 1.1830 & 1.1845 in extension.
Below 1.1800 look for further downside with 1.1785 & 1.1770 as targets.
The GBP/USD pair surged to an over one-month high of 1.3082, holding nearby as the day comes to an end. News coming from the UK were far from optimistic, as the number of new coronavirus contagions in the UK has led to new restrictive measures.
The RSI advocates for further upside.
Long positions above 1.3030 with targets at 1.3090 & 1.3115 in extension.
Below 1.3030 look for further downside with 1.3000 & 1.2970 as targets.
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