Technical Analysis Report on Forex, Stocks, Crypto – 04 July 2022

Technical Analysis Report on Forex, Stocks, Crypto – 04 July 2022

Technical Analysis of Financial Markets

Risks to the downside were indicated by U.S. statistics for June week’s payrolls report

        Asia Pacific stocks were mixed on Monday morning. The Shanghai Composite is up 0.26% at 3,396.53. Overall, the Singapore MSCI is up 1.40% at 282.95. Over in Hong Kong, the Hang Seng Index is up 0.01% at 21,746. In Japan, the Nikkei 225 is up 0.97% at 26,080.00, while the Topix index is up 1.47% at 1864.00. South Korea’s Kospi is down 0.92% at 2,284.27. Australia S&P/ASX 200 up 1.18% at 6617.10.

Top News of the Day:

Global share markets wavered on Monday as a run of soft U.S. data suggested downside risks for this week’s June payrolls report, while the hubbub over possible recession was still driving a relief rally in government bonds.

The search for safety kept the U.S. dollar near 20-year highs, though early action was light with U.S. markets on holiday.

Market Summary as per 01/07/2022:

European equities Friday closing. The DAX futures contract in Germany traded up 0.23% at 12,813.03, CAC 40 futures up 0.14% at 5931.07 and the UK 100 futures contract in the U.K. down 0.01% at 7,168.64.

In the U.S. on Wall Street, the Dow Jones Industrial Average closed up 1.05% at 31097.27. The S&P 500 up 1.05% at 3825.32 and the Nasdaq 100 up 0.71% at 11585.68, NYSE closes up 1.03% at 14636.75.

Top Market News Today:

In the Forex market, GBPUSD up 0.04% at 1.2097. The USDJPY up 0.02% at 135.255. The USDCHF up 0.03% at 0.9594. EURUSD up 0.02% at 1.0429, EUR/GBP up 0.11% at 0.8619. The USD/CNY down 0.14% at 6.6904 at the time of writing.

In the Commodity market U.S. Gold futures up 0.13% at $1,812.45. Elsewhere, Silver futures down 0.05% at $19.859 per ounce, Platinum down 0.06% at $888.50 per ounce, and Palladium down 0.99% at $1916.72.

Crude Oil up on Monday; Brent Crude Oil up 0.36% at $111.78 per barrel while U.S. West Texas Intermediate (CLc1) up 0.26% at $106.92.

In the Cryptocurrency Markets, Bitcoin at 19060.00 down 1.32%, Ethereum down 2.07% at 1052.86, Litecoin at 50.08 down 1.46%, at the time of writing.

Top Market Segment to Watch Out Today:

GOLD: Gold was up on Monday morning in Asia as the U.S. dollar weakened on growth fears. Gold futures were up 0.59% to $1,812.15 by 12:48 PM ET (0448 GMT). The dollar, which normally moves inversely to gold, inched down on Monday morning.

Economic News:

US: U.S. manufacturing activity slowed more than expected in June, with a measure of new orders contracting for the first time in two years, signs that the economy was cooling amid aggressive monetary policy tightening by the Federal Reserve.

The survey from the Institute for Supply Management (ISM) on Friday also showed a gauge of factory employment contracting for a second straight month, though an “overwhelming majority” of companies indicated they were hiring.

The slowdown in manufacturing followed moderate consumer spending growth in May along with weak housing starts, building permits and factory production, which left some economists anticipating that the economy contracted again in the second quarter following a slump in gross domestic product in the first three months of the year. Another decline in GDP would not necessarily indicate a recession unless the economy suffers deep job losses.

The ISM survey’s index of national factory activity dropped to 53.0 last month, the lowest reading since June 2020, when the sector was rebounding from a COVID-19 slump. That followed a reading of 56.1 in May. The index would need to decline to 43.1 to signal a recession.

Eurozone: British companies have turned increasingly glum about the outlook, with inflation surging and investment plans looking stagnant, according to the latest business survey that shows momentum rapidly draining from the economy.

The British Chambers of Commerce (BCC) said 54% of more than 5,700 companies it surveyed between May 16 and June 9 expected turnover to increase over the next 12 months. This is down from 63% in the previous survey and the lowest share since late 2020, when many businesses were under some form of COVID restrictions.

A record 65% of companies said they planned to raise their prices in the next three months. Forecasters like the IMF and OECD think Britain will be hit harder by rising prices than other countries.

Three quarters of firms said they had no plans to increase investment, and most no longer expected profits to rise.

Top Economic Releases Today:

  1. GERMANY Trade Balance (May) today at 2:00 this time estimated 2.7B, previously which was 3.5B.
  2. previously which was 0.9%.
  3. JAPAN Services PMI (Jun) today at 20:30 previously which was 54.2.
  • SOUTH KOREA CPI (YoY) (Jun) today at 19:00, this time estimated 5.9%, previously which was 5.4%.
  • SWITZERLAND CPI (MoM) (Jun) today at 2:50 this time estimated 0.3%, previously which was 0.7%.

TECHNICAL SUMMARY

GBPUSD

TRADE SUGGESTION- SELL AT 1.2102, TAKE PROFIT AT 1.2082 AND STOP LOSS AT 1.2120

EURUSD

TRADE SUGGESTION- SELL AT 1.0433, TAKE PROFIT AT 1.0396 AND STOP LOSS AT 1.0472

USDJPY

TRADE SUGGESTION- BUY AT 135.408, TAKE PROFIT AT 135.771 AND STOP LOSS AT 134.950

USDCHF

TRADE SUGGESTION- SELL AT 0.9587, TAKE PROFIT AT 0.9553 AND STOP LOSS AT 0.9619

NIKKEI 225

TRADE SUGGESTION- SELL AT 26124.00 TAKE PROFIT AT 25906.00 AND STOP LOSS AT 26305.00

WTI CRUDE OIL

TRADE SUGGESTION- SELL AT 108.50 TAKE PROFIT AT 107.91 AND STOP LOSS AT 109.01

GOLD

TRADE SUGGESTION- SELL AT 1809.72, TAKE PROFIT AT 1804.74 AND STOP AT 1817.65

BITCOIN

TRADE SUGGESTION- SELL AT 19069.00 TAKE PROFIT AT 18721.55 AND STOP AT 19613.49

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