Technical Analysis Report on Forex, Stocks, Crypto and Commodity – 26 May

Technical Analysis Report on Forex, Stocks, Crypto and Commodity – 26 May

Technical Analysis

As the Fed Minutes Meet Expectations, Wall Street Rallies

Asia Pacific stocks were mostly down on Thursday morning. The Shanghai Composite is up 0.59% at 3,125.88. Overall, the Singapore MSCI is up 1.50% at 294.40. Over in Hong Kong, the Hang Seng Index is down 0.41% at 20,042. In Japan, the Nikkei 225 is down 0.11% at 26,650.00, while the Topix index is up 0.11% at 1879.50. South Korea’s Kospi is down 0.27% at 2610.09. Australia S&P/ASX 200 down 0.52% at 7118.20.

Top News of the Day:

Wall Street closed higher Wednesday, boosted after minutes from the Federal Reserve’s latest monetary policy meeting showed policymakers unanimously felt the U.S. economy was very strong as they grappled with reining in inflation without triggering a recession.

The minutes from the Federal Open Market Committee’s May meeting, which culminated in a 50-basis-point hike in the Fed funds target rate – the biggest jump in 22 years – showed most of the committee’s members judged that further such rate hikes would “likely be appropriate” at its upcoming June and July meetings.

Market Summary as per 25/05/2022:

European equities Wednesday closing. The DAX futures contract in Germany traded up 0.63% at 14,007.93, CAC 40 futures up 0.73% at 6298.65 and the UK 100 futures contract in the U.K. up 0.51% at 7,522.74.

In the U.S. on Wall Street, the Dow Jones Industrial Average closed up 0.60% at 32120.29. The S&P 500 up 0.95% at 3978.74 and the Nasdaq 100 up 1.48% at 11943.93, NYSE closes up 0.80% at 15412.19.

Top Market News Today:

In the Forex market, GBPUSD down 0.12% at 1.2560. The USDJPY up 0.10% at 127.395. The USDCHF up 0.19% at 0.9627. EURUSD flat at 1.0676, EUR/GBP up 0.16% at 0.8500. The USD/CNY up 0.69% at 6.7386 at the time of writing.

In the Commodity market U.S. Gold futures down 0.39% at $1,845.17. Elsewhere, Silver futures down 0.88% at $21.763 per ounce, Platinum down 0.53% at $939.50 per ounce, and Palladium down 0.25% at $2002.00.

Crude Oil up on Thursday; Brent crude oil up 0.07% at $114.49 per barrel while U.S. West Texas Intermediate (CLc1) up 0.06% at $109.86.

In the Cryptocurrency Markets, Bitcoin at 29630.00 up 0.32%, Ethereum down 1.36% at 1922.50, Litecoin at 67.27 down 1.28%, at the time of writing.

Top Market Segment to Watch Out Today:

Apple (NASDAQ:AAPL): Apple Inc has raised the pay for its hourly U.S. employees, the iPhone maker said on Wednesday, as companies face a tight labor market, a surge in unionization efforts and rising inflation.

The starting pay for hourly workers in the United States will rise to $22, or higher based upon the market, a 45% jump from 2018 levels, Apple (NASDAQ:AAPL) said in a statement to Reuters.

Economic News:

US: Orders placed with US factories for durable goods rose in April, highlighting firm and sustained demand for equipment and merchandise.

Bookings for durable goods — items meant to last at least three years — increased 0.4% in April after a downwardly revised 0.6% advance a month earlier, Commerce Department figures showed Wednesday. The figures aren’t adjusted for inflation.

The value of core capital goods orders, a proxy for investment in equipment that excludes aircraft and military hardware, climbed 0.3% after a 1.1% gain a month earlier.

The median estimates in a Bloomberg survey of economists called for a 0.6% increase in orders for all durable goods and a 0.5% gain in the core figure.

The figures suggest companies are adhering to capital expenditures plans as they seek to enhance productivity to ease the burden of high inflation and a tight labor market. It’s less clear, however, whether businesses later this year will reconsider the current pace of investment in the face of higher interest rates and an anticipated cooling of economic activity.

Eurozone: The German economy grew slightly in the first quarter from the previous one, data showed, with higher investments offset by the twin impacts of war in Ukraine and COVID-19 that experts predicted would weigh more heavily in the three months to June.

Europe’s largest economy grew an adjusted 0.2% quarter on quarter and 3.8% on the year, the Federal Statistics Office said on Wednesday. A Reuters poll had forecast 0.2% and 3.7%, respectively.

The reading meant that Germany skirted a recession, often defined as two quarters in a row of quarter-on-quarter contraction, after gross domestic product (GDP) fell by 0.3% at the end of 2021.

While household and government spending remained mostly at the same level as in the previous quarter and exports were down at the start of the year, investments grew.

Top Economic Releases Today:

  1. U.S. GDP (QoQ) (Q1) today at 8:30 this time estimated -1.3%, previously which was -1.4%. 
  2. U.S. Pending Home Sales (MoM) (Apr) today at 10:00 this time estimated -2.0%, previously which was -1.2%.
  3. AUSTRALIA Retail Sales (MoM) (Apr) today at 21:30 this time estimated 0.9%, previously which was 1.60%.
  4. HONG KONG Trade Balance today at 4:30 previously which was 37.3B.
  5. CANADA Core Retail Sales (MoM) (Mar) today at 8:30 this time estimated 2.0%, previously which was 2.1%.

TECHNICAL SUMMARY

GBPUSD

Technical Analysis
Technical Analysis

TRADE SUGGESTION- BUY AT 1.2566, TAKE PROFIT AT 1.2598 AND STOP LOSS AT 1.2547

EURUSD

Technical Analysis
Technical Analysis

TRADE SUGGESTION- BUY AT 1.0672, TAKE PROFIT AT 1.0694 AND STOP LOSS AT 1.0640

GBPJPY

Technical Analysis
Technical Analysis

TRADE SUGGESTION- SELL AT 159.756, TAKE PROFIT AT 158.994 AND STOP LOSS AT 160.735

CHFJPY

Technical Analysis
Technical Analysis

TRADE SUGGESTION- BUY AT 132.207, TAKE PROFIT AT 132.657 AND STOP LOSS AT 131.781

HANG SENG

Technical Analysis
Technical Analysis

TRADE SUGGESTION- SELL AT 19985.00 TAKE PROFIT AT 19688.00 AND STOP LOSS AT 20194.00

WTI CRUDE OIL

Technical Analysis
Technical Analysis

TRADE SUGGESTION- BUY AT 110.70 TAKE PROFIT AT 111.61 AND STOP LOSS AT 109.16

GOLD

Technical Analysis
Technical Analysis

TRADE SUGGESTION- SELL AT 1846.06, TAKE PROFIT AT 1828.68 AND STOP AT 1860.56

BITCOIN 

Technical Analysis
Technical Analysis

TRADE SUGGESTION- SELL AT 29607.53 TAKE PROFIT AT 28818.36 AND STOP AT 30703.16

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