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2021-01-29 14:26:01 The technical picture for Gold remains very problematic as the price fell below the 50 and 200-day averages. But the price didn't sustain the intraday rally above those lines and the intermediate round level of $1850. These dynamics make us consider the support at $1825 as a possible last line of defence, a failure under which could sharply enhance the price decline.

Gold sets a typical fairway for silver and platinum, so a sharp fall could boost selling for all three precious metals. The opposite is also true: increased demand for silver and platinum can support gold buying. Open / Comment

2021-01-29 13:50:05 Platinum was up 5% during Thursday but failed to latch on to levels above $1100. It has been under pressure for the last week after rallying 33% to 5-year highs at $1150 since November. The levels near $1200 and $1400, where reversals and consolidations frequently occurred in the past years, appear as potentially important targets for the bulls.

Silver and platinum have been faring markedly better than Gold in recent months, as investors in the markets are increasingly betting on strong growth in industrial demand for these metals. Perhaps some investors have decided to realign positions in favour of silver and platinum, resulting in Gold lagging in January. Open / Comment

2021-01-29 13:15:12 S&P500′ rollercoaster

Despite the S&P500's firm +1% gains on Thursday after a 2% loss intraday, the markets sagged on Friday after a real rollercoaster ride in the New York trading session. The S&P500 got support yesterday on the downside to the 50-day average due to robust data, but could not tear away from it. The pressure intensified late in the day on Thursday, which continued during the Asian session.

The outcome of the fight for the 50-day average could be the beginning of a big move next week, potentially determining the mood for the whole of February. The DowJones and DAX30 are also struggling for their 50-day averages.

Such uneven dynamics is often a precursor of the end of a market cycle. The higher volatility of stocks in recent days dramatically increases the chances of a deeper correction. It is often a sign that the previous trend is exhausted. Open / Comment

2021-01-28 20:00:00 #WaveAnalysis

#NZDUSD reversed from support level 0.7100

• Likely to rise to 0.7250

https://fxpro.news/market-snapshots/nzdusd-wave-analysis-28-january-2021-20210128/ Open / Comment

2021-01-28 19:40:06 #WaveAnalysis

#EURUSD reversed from support level 1.2060

• Likely to test resistance level 1.2180

https://fxpro.news/market-snapshots/eurusd-wave-analysis-28-january-2021-20210128/ Open / Comment

2021-01-28 19:07:32 #WaveAnalysis

#AUS200 reversed from strong support level 6575.

• Likely to rise to 6850.00

https://fxpro.news/market-snapshots/aus200-wave-analysis-28-january-2021-20210128/ Open / Comment

2021-01-28 18:28:35 US data helped the markets to find support, triggering a wave of buying after the recent sell-off in equities and precious metals.

The first estimate of US GDP in Q4 came out slightly worse than forecast, adding 4% (4.2% expected). However, the recovery slowed on YoY basis, as data showed a 2.5% drop from quarter one year ago compared to -2.8% and -9% in the previous two quarters.

A bright spot was the publication of strong weekly jobless claims data. Over the last week, the number fell from 914K to 847K (vs 880 expected). The number of continued claims fell from 4974K to 4771K (vs 5054k expected).

The sound data supported buying in the markets after the recent slump, with the S&P500 gaining more than 1% in early US trading. After a long sliding period, precious metals seem to have been revived: Silver and Platinum jumped by 5% to $26.7 and $1100, respectively while Gold enjoyed 1% growth to $1860. Open / Comment

2021-01-28 13:49:50 The currency market seems to have crossed the Rubicon, and struck the 50 SMAs, at least in EURUSD and USDJPY. This could also be a trend reversal signal for the stock market.

EURUSD fell to 1.21, breaking the support of the 50-DMA and going to the area of 2-month lows. Comments from ECB officials supported the downward momentum in EUR. They noted that there are weapons in the arsenal to pressure the euro exchange rate and that markets are underpricing the central bank's readiness to cut the rates.

ECB easing is positive for European stocks, which may perform better than many other markets on rate cuts and QE expansion. However, it is also a negative for currency pairs with the euro, which can kick-start a more profound correction after the single currency's rise last year. A break below 1.2050 has the potential to open a direct path into the 1.1900-1.1950 area. Open / Comment

2021-01-28 13:11:00 The S&P500 index is testing support in the form of the 50-day average at 3700. The index's ability to hold above this line could attract buyers on the dip in the days ahead. A further decline would open the way for a deeper correction to 3600 or even to the 3400 area, where the 200-day moving average passes.

The sell-off in the markets intensified after the Fed meeting, reaching an alarming scale at the close of trading and indicating a predominance of selling among institutionalists. The tendency to take profits from the rally in the previous months can be attributed to the Fed's unchanged stance.

Financing relief programmes will draw liquidity out of the market. Last year, enormous capital in markets was balanced by the first and biggest Fed QE phase. Yesterday, however, Powell made it clear that the Fed will continue the $120bn/month buying programme for now, with $80bn for US Treasuries.

https://fxpro.news/daily-economic-events/while-reddit-bubbles-gme-and-amc-sp500-clings-to-support-20210128/ Open / Comment