Technical Analysis Report By Our Expert – 12 September 2022
12 Sep 2022
U.S. Futures Rise Following Successful Week
Asian Pacific stock markets rose on Monday. The Shanghai Composite is up 0.82% at 3,262.05. Overall, the Singapore MSCI is up 1.01% at 295.95. Over in Hong Kong, the Hang Seng Index is down 0.51% at 19,264.00. In Japan, the Nikkei 225 is up 1.00% at 28,280.00, while the Topix index is up 0.62% at 1959.50. South Korea’s Kospi is up 0.33% at 2,384.28. Australia S&P/ASX 200 up 1.02% at 6964.60.
Top News of the Day:
U.S. stock futures were trading higher during Sunday’s evening deals, after major benchmark averages snapped three consecutive weeks of decline while market participants look ahead to key inflation data set to be released later in the week.
Ahead in the week, investors will be closely monitoring August’s consumer price index print, with annual inflation expected to slow to 8.1% from 8.5%, while monthly inflation may fall by 0.1% to the first decline since May 2020.
Market Summary as per 09/09/2022:
European equities Friday closing. The DAX futures contract in Germany traded up 1.43% at 13,088.21, CAC 40 futures up 1.41% at 6212.34 and the UK 100 futures contract in the U.K. up 1.23% at 7,351.08.
In the U.S. on Wall Street, the Dow Jones Industrial Average closed up 1.19% at 32151.72. The S&P 500 up 1.53% at 4067.35 and the Nasdaq 100 up 2.17% at 12588.29, NYSE closes up 1.53% at 15190.78.
Top Market News Today:
In the Forex market, GBPUSD up 0.28% at 1.1619. The USDJPY up 0.58% at 143.449. The USDCHF up 0.04% at 0.9603. EURUSD up 0.42% at 1.0086, EUR/GBP up 0.22% at 0.8679. The USD/CNY flat at 6.9240 at the time of writing.
In the Commodity market U.S. Gold futures down 0.17% at $1,713.06. Elsewhere, Silver futures up 0.82% at $18.977 per ounce, Platinum down 0.51% at $876.50 per ounce, and Palladium down 0.53% at $2163.50.
Crude Oil down on Monday; Brent Crude Oil down 0.28% at $91.87 per barrel while U.S. West Texas Intermediate (CLc1) down 0.28% at $85.36.
In the Cryptocurrency Markets, Bitcoin at 21785.00 up 2.06%, Ethereum down 2.29% at 1726.40, Litecoin at 60.97 down 1.99%, at the time of writing.
Top Market Segment to Watch Out Today:
CRUDE OIL: Oil prices fell on Monday with the global fuel demand outlook overshadowed by COVID-19 restrictions in China and the potential for further interest rate hikes in the United States and Europe.
Prices were little changed last week as gains from a nominal supply cut by the Organization of the Petroleum Exporting Countries (OPEC) and allies including Russia, a group known as OPEC+, were offset by ongoing lockdowns in China, the world’s top crude importer.
US: U.S. Treasury Secretary Janet Yellen on Sunday said Americans could experience a spike in gas prices in the winter when the European Union significantly cuts back on buying Russian oil, adding that a proposed Western price cap on Russia’s oil exports is being designed to keep prices in check.
“It’s a risk, and it’s a risk that we’re working on the price cap to try to address,” Yellen told CNN.
The possible price increase could come because the EU “will cease for the most part buying Russian oil” and impose a ban on services that allow Russia to ship oil by tanker, she said.
The price cap plan agreed to by G7 wealthy nations calls for participating countries to deny insurance, finance, brokering, navigation and other services to oil cargoes priced above a yet-to-be-determined price cap on crude and oil products.
Eurozone: European Central Bank policymakers see a rising risk that they will have to raise their key interest rate to 2% or more to curb record-high inflation in the euro zone despite a likely recession, sources told Reuters.
With inflation hitting 9.1% in August and seen above the ECB’s 2% target for two years to come, the central bank has been raising its interest rates at record speed and urging governments to help bring down energy bills that have ballooned since Russia invaded Ukraine.
The ECB raised its deposit rate from zero to 0.75% on Thursday and President Christine Lagarde guided for another two or three hikes, saying rates were still far away from a level that will bring inflation back to 2%.
Five sources close to the matter said many policymakers saw a growing probability that they will need to take the rate into “restrictive territory”, jargon for a level of rates that causes the economy to slow, at 2% or above.
Top Economic Releases Today:
- U.K. GDP (MoM) today at 2:00 this time estimated 0.30%, previously which was -0.60%.
- U.K. Manufacturing Production (MoM) (Jul) today at 02:00 this time estimated 0.40%, previously which was -1.60%.
- U.S. 10-Year Note Auction today at 13:00 previously which was 2.755%.
- AUSTRALIA Westpac Consumer Sentiment (Sep) today at 20:30 previously which was -3.00%.
- JAPAN BSI Large Manufacturing Conditions (Q3) today at 19:50 this time estimated -8.10, previously which was -9.90.
GBPUSD Technical Analysis
TRADE SUGGESTION- BUY AT 1.1642, TAKE PROFIT AT 1.1696 AND STOP LOSS AT 1.1607
EURUSD Technical Analysis
TRADE SUGGESTION- BUY AT 1.0120, TAKE PROFIT AT 1.0143 AND STOP LOSS AT 1.0094
USDJPY Technical Analysis
TRADE SUGGESTION- BUY AT 143.116, TAKE PROFIT AT 143.709 AND STOP LOSS AT 142.750
USDCHF Technical Analysis
TRADE SUGGESTION- SELL AT 0.9575, TAKE PROFIT AT 0.9536 AND STOP LOSS AT 0.9591
S&P 500 Technical Analysis
TRADE SUGGESTION- BUY AT 4080.50 TAKE PROFIT AT 4110.84 AND STOP LOSS AT 4042.82
WTI CRUDE OIL Technical Analysis
TRADE SUGGESTION- SELL AT 86.71 TAKE PROFIT AT 85.15 AND STOP LOSS AT 87.63
GOLD Technical Analysis
TRADE SUGGESTION- BUY AT 1725.14, TAKE PROFIT AT 1737.73 AND STOP AT 1711.48
LITECOIN Technical Analysis
TRADE SUGGESTION- BUY AT 61.740 TAKE PROFIT AT 63.787 AND STOP AT 60.720