January 1, 2021 : EUR/USD daily technical review and trade recommendations.

Trading 01 Jan 2021 Commentaire »

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By the end of November, Signs of BUYING Pressure have been initiated around the depicted price zone of 1.1800-1.1840.

Shortly after, the EUR/USD pair has demonstrated a quick upside movement.The pair has targeted the price levels around 1.1990 initially which exerted considerable bearish pressure bringing the pair back towards 1.1920 which constituted a temporary KEY-Zone for the EUR/USD pair.

That's why, another episode of upside movement was expressed towards 1.2160 where a false breakout above the price level of 1.2200 was regarded as a considerable bearish reversal signal.

Two weeks ago, a short-term reversal pattern has been demonstrated around 1.2265. Intraday downside retracement to the downside was expected to occur.

However, the EUR/USD pair has failed to pursue towards lower price levels. Instead, the pair has spiked above the depicted Weekly HIGH around 1.2270 before the current bearish rejection was initiated around 1.2300.

Bearish closure below the mentioned price zone of 1.2200 - 1.2170 is needed to turn the intermediate outlook for the pair into bearish and enhance a quick bearish decline towards 1.2040 then 1.1920.

Trade Recommendations :-

Conservative traders were advised to look for SELL Positions around higher price levels near 1.2270-1.2290. Stop Loss should be lowered towards 1.2250 to secure some profits.

Target levels should be located around 1.2200, 1.2170 then 1.2120.

The material has been provided by InstaForex Company - www.instaforex.com

January 1, 2021 : EUR/USD Intraday technical analysis and trade recommendations.

Trading 01 Jan 2021 Commentaire »

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The EURUSD pair was trapped below the previous key-level (1.2000) until bullish breakout occured to the upside recently in December.Further quick bullish advancement was expressed towards 1.2150 just as expected after failing to find sufficient bearish pressure at retesting of the backside of the broken channel around 1.1970-1.2000 which corresponds roughly to Fibonacci Level of 0%.

Recently, the pair looked overbought while approaching the price levels of 1.2250 (138% Fibonacci Level).

However, the intermediate-outlook for the pair remained bullish towards 1.2330 where 150% Fibonacci Level was located. This is where an Intraday SELL Entry was offered.

Bearish closure and persistence below 1.2160 then 1.2000 is needed to abort the ongoing bullish momentum to initiate a bearish movement at least towards 1.1860 and 1.1770.

The price zone around 1.2000-1.1975 remains a Demand Zone to offer bullish SUPPORT for the EURUSD pair if any bearish pullback occurs.

The material has been provided by InstaForex Company - www.instaforex.com

January 1, 2021 : GBP/USD Intraday technical analysis and trade recommendations.

Trading 01 Jan 2021 Commentaire »

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In December, the price levels of (1.3380-1.3400) have prevented further bullish movement for the past few weeks.Bearish target was targeted around 1.3300. However, the pair has failed to pursue towards lower targets.

Instead, a bullish spike was expressed towards 1.3480-1.3500 where the upper limit of the depicted movement channel has previously provided temporary bearish pressure on the pair.

Shortly after, another bullish spike has recently been demonstrated towards 1.3600 where the upper limit applied considerable bearish rejection again.Recently, the GBPUSD pair looked overbought while consolidating above the key-level of 1.3400.

As expected, bearish reversal was recently initiated around 1.3600. A quick bearish decline was demonstrated towards 1.3200.

Intermediate-term outlook could turn into bearish if only the EUR/USD pair could maintain movement below 1.3400.

However, the pair has failed to maintain bearish decline below 1.3200.Instead, bullish persistence above 1.3400 invalidated the bearish scenario for the short-term.

Another temporary bullish movement is being expressed towards 1.3700 (the channel's upper limit) where bearish rejection should be anticipated.

The material has been provided by InstaForex Company - www.instaforex.com

U.S. Dollar Regains Ground On Final Day Of 2020

Trading 01 Jan 2021 Commentaire »

After seeing early weakness, the value of the U.S. dollar moved higher over the course of the final day of trading of 2020 on Thursday.

The U.S. dollar index recovered from an early move to the downside on the day, rising by 0.2 percent to 89.89.

The greenback is trading at 103.26 yen versus the 103.19 yen it fetched at the close of New York trading on Wednesday. Against the euro, the dollar is valued at $1.2222 compared to yesterday's $1.2298.

The dollar may have benefited from bargain hunting following recent weakness, as traders picked up the safe-haven currency at lower levels heading into the New Year.

On the economic front, the Labor Department released a report unexpectedly showing a modest drop in first-time claims for U.S. unemployment benefits in the week ended December 26th.

The Labor Department said initial jobless claims edged down to 787,000, a decrease of 19,000 from the previous week's revised level of 806,000.

The dip surprised economists, who had expected jobless claims to rise to 833,000 from the 803,000 originally reported for the previous month.

"We think that holiday noise and uncertainty about extensions of benefits may have held down claims last week," said Nancy Vanden Houten, Lead U.S. Economist at Oxford Economics.

She added, "The risk is for a rise in claims in the weeks ahead now that emergency programs have been extended and an additional $300 in weekly benefits is being provided."

Following the holiday weekend, economic data may attract attention next week, with traders likely to keep an eye on the monthly jobs data along with reports on manufacturing and service sector activity.


The material has been provided by InstaForex Company - www.instaforex.com

Oil Futures Post Modest Gains For The Day; Shed Over 21% In 2020

Trading 01 Jan 2021 Commentaire »

Crude oil futures settled modestly higher on Thursday, despite concerns about the outlook for energy demand due to imposition of restrictions on movements in several countries amid a surge in coronavirus cases.

In the U.S., daily new case rate crossed the 200,000 mark for the second consecutive day.

With nearly 230,000 new cases reporting across the country in the last 24 hours, the total number of patients infected with the disease increased to over 19,744,700.

West Texas Intermediate Crude oil futures for February ended with a gain of $0.12 or about 0.3% at $48.52 a barrel.

WTI Crude oil futures shed about 21% in calendar year 2020, while Brent crude futures tumbled more than 22%.

According to a Reuters poll, oil prices may not see any sharp uptick next year due to a new coronavirus variant and the travel restrictions imposed in several countries.

The report says several analysts are of the view that oil demand is unlikely to return to pre-pandemic levels before late 2022 or 2023.

The Organization of Petroleum Exporting Countries (OPEC) and its allies including Russia, are scheduled to meet on January 4 to discuss policy and to consider a possible tapering of production cuts.


The material has been provided by InstaForex Company - www.instaforex.com

Gold Futures Settle Modestly Higher

Trading 01 Jan 2021 Commentaire »

Gold futures settled higher on Thursday amid a surge in new coronavirus cases, and on worries about the economic impact of tighter restrictions on businesses in several countries.

Despite several countries beginning to administer coronavirus vaccines, worries about a new strain of the virus which was first noted in the U.K. weighed on riskier assets, prompting investors to seek safer options.

The dollar's recovery from lower levels limited gold's uptick. The dollar index, which fell to 89.52 in the Asian session, recovered well as the day progressed, and was last seen at 89.95, up 0.3% from previous close.

Gold futures for February ended with a gain of $1.70 at $1,895.10 an ounce.

Gold futures gained a modest 0.7% in the holiday-shortened week. Gold gained almost 25% in 2020, the best annual returns in ten years.

Silver futures for March ended lower by $0.161 at $26.412 an ounce, while Copper futures for March settled at $3.5190 per pound, down $0.0300 from previous close. Silver prices surged up by about 50% in the year.

Data released by the Labor Department this morning showed a modest drop in first-time claims for U.S. unemployment benefits in the week ended December 26th.

The report said initial jobless claims edged down to 787,000, a decrease of 19,000 from the previous week's revised level of 806,000. Economists had expected jobless claims to rise to 833,000 from the 803,000 originally reported for the previous month.

Meanwhile, the report said the less volatile four-week moving average climbed to 836,750, an increase of 17,750 from the previous week's revised average of 819,000.


The material has been provided by InstaForex Company - www.instaforex.com

Treasuries Inch Slightly Higher For Second Straight Day

Trading 01 Jan 2021 Commentaire »

Treasuries moved slightly higher during trading on Thursday, adding to the uptick seen over the course of the previous session.

Bond prices inched higher in morning trading and remained positive throughout the afternoon. As a result, the yield on the benchmark ten-year note, which moves opposite of its price, edged down by nearly a basis point to 0.917 percent.

Traders seemed reluctant to make significant moves on the final trading day of the year, with some likely looking to get a head start on New Year's Eve celebrations.

The uptick by treasuries came even though a report from the Labor Department unexpectedly showed a modest drop in first-time claims for U.S. unemployment benefits in the week ended December 26th.

The Labor Department said initial jobless claims edged down to 787,000, a decrease of 19,000 from the previous week's revised level of 806,000.

The dip surprised economists, who had expected jobless claims to rise to 833,000 from the 803,000 originally reported for the previous month.

"We think that holiday noise and uncertainty about extensions of benefits may have held down claims last week," said Nancy Vanden Houten, Lead U.S. Economist at Oxford Economics.

She added, "The risk is for a rise in claims in the weeks ahead now that emergency programs have been extended and an additional $300 in weekly benefits is being provided."

Following another holiday weekend, economic data may attract attention next week, with traders likely to keep an eye on the monthly jobs data along with reports on manufacturing and service sector activity.


The material has been provided by InstaForex Company - www.instaforex.com