Daily Market Report: December 3, 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.

December 3, 2020

Gold, Oil Rise as Major Currencies Show Mild Instability

U.S. Stock Market

Last: 3,667.80

Pivot: 3,515

Review:

U.S. stocks were mixed after the close on Wednesday, as gains in the Oil & Gas, Telecoms and Healthcare sectors led shares higher while losses in the Consumer Goods, Basic Materials and Industrials sectors led the stock market in the opposite direction. At the close in NYSE, the Dow Jones Industrial Average added 0.11%, while the S&P 500 index gained 0.08%, and the NASDAQ Composite index lost 0.14%.

Technical comment:

The S&P 500 RSI calls for a new upleg.

Preference scenario:

Long positions above 3515.00 with targets at 3745.00 & 3900.00 in extension.

Alternative scenario:

Below 3515.00, look for further downside with 3390.00 & 3210.00 as targets.

Resistance 3,745 3,900 4,070
Support 3,515 3,390 3,210
Gold, Oil Rise as Major Currencies Show Mild Instability
USD/CAD

Last: 1.2922

Pivot: 1.2945

Review:

USD/CAD traded lower to close at 1.2919.

Technical comment:

As long as the resistance at 1.2945 is not surpassed, the risk of the break below 1.2905 remains high.

Preference scenario:

Short positions below 1.2945 with targets at 1.2905 & 1.2885 in extension.

Alternative scenario:

Above 1.2945, look for further upside with 1.2960 & 1.2980 as targets.

Resistance 1.2945 1.2960 1.2980
Support 1.2905 1.2885 1.2870
Gold, Oil Rise as Major Currencies Show Mild Instability
Gold

Last: 1,826

Pivot: 1,812

Review:

Gold prices rose again on Wednesday, settling above $1,830, as the yellow metal continued to recover from the beatings of November, when breakthroughs in Covid-19 vaccines diverted money from the haven into risk assets rallying on the notion that the world will soon be free from the pandemic.

Technical comment:

The RSI is mixed with a bullish bias.

Preference scenario:

Long positions above 1812.00 with targets at 1841.00 & 1851.00 in extension.

Alternative scenario:

Below 1812.00, look for further downside with 1802.00 & 1793.00 as targets.

Resistance 1,841 1,851 1,866
Support 1,812 1,802 1,793
Gold, Oil Rise as Major Currencies Show Mild Instability
Oil

Last: 45.14

Pivot: 45.30

Review:

Oil prices rose for the first time in three sessions as U.S. crude stockpiles fell for a second week in a row and as data showed OPEC kingpin Saudi Arabia exporting its least to U.S. shores in 35 years in a strident enforcement of the cartel’s production. Crude inventories fell by 0.679 million barrels during the week ended Nov. 27, the Energy Information Administration said. While the drawdown was less than a third of the 2.358 million-barrel decline expected by analysts, it added to the 754,000-barrel drop in the previous week to Nov. 20.

Technical comment:

The RSI is mixed and calls for caution.

Preference scenario:

Short positions below 45.30 with targets at 44.65 & 44.15 in extension.

Alternative scenario:

Above 45.30, look for further upside with 45.90 & 46.25 as targets.

Resistance 45.30 45.90 46.25
Support 44.65 44.15 43.90
Gold, Oil Rise as Major Currencies Show Mild Instability
EUR/USD

Last: 1.2105

Pivot: 1.2070

Review:

EUR/USD traded flat to close at 1.2061.

Technical comment:

The RSI advocates for further upside.

Preference scenario:

Long positions above 1.2070 with targets at 1.2150 & 1.2175 in extension.

Alternative scenario:

Below 1.2070, look for further downside with 1.2040 & 1.2000 as targets.

Resistance 1.2150 1.2175 1.2200
Support 1.2070 1.2040 1.2000
Gold, Oil Rise as Major Currencies Show Mild Instability
GBP/USD

Last: 1.3359

Pivot: 1.3320

Review:

GBP/USD fell 0.45% to 1.3354.

Technical comment:

Even though a continuation of the consolidation cannot be ruled out, its extent should be limited.

Preference scenario:

Long positions above 1.3320 with targets at 1.3400 & 1.3440 in extension.

Alternative scenario:

Below 1.3320, look for further downside with 1.3285 & 1.3260 as targets.

Resistance 1.3400 1.3440 1.3470
Support 1.3320 1.3285 1.3260
Gold, Oil Rise as Major Currencies Show Mild Instability

Customer Notice: The charts are provided by Trading Central, which is a respected third party research provider. The information provided should not be considered as trading or investment advice. Trade360 provides Trading Central chart analysis to support clients in their trading decisions, which should be independently evaluated. The recipient acknowledges that he is solely responsible for his decisions. The analysis offered reflects the views of Trading Central and are subject to change at any time. Past performance of a financial asset is not a reliable indicator of its future performance. Trade360 cannot be held liable for any information provided by Trading Central. Trade360 makes no representation and assumes no liability as to the accuracy or completeness of the information provided nor any loss arising from any investment based on this material, forecast or other information supplied by an employee of Trade360, a third party or otherwise.

Trade with a Licenced Broker

Trade360.com

Licenced by CySEC

Our EU client portal, operated by CrowdTech Ltd. under CySEC Regulation, license number 202/13.

Trade360.com.au

Licenced by ASIC

Our Australian client portal, operated by Sirius Financial Markets Pty Ltd. under ASIC regulation, license number 439907.

Trade360.finance

Our global client portal, operated by ST Services Ltd.

Search

RISK WARNING: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 70.33% of retail investor accounts lose money when trading CFDs with Trade360. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. Learn more about managing risks.