Technical Analysis Report on Forex, Stocks, Crypto and Gold

07 Jun

Technical Analysis Report on Forex, Stocks, Crypto and Gold – 07 June

/ CSFX Analytics

MARKET SWING in b/w CHINA UNLOCK & FED POLICY

Asia Pacific stocks were mostly down on Tuesday morning. The Shanghai Composite is up 0.17% at 3,241.88. Overall, the Singapore MSCI is down 0.12% at 296.95. Over in Hong Kong, the Hang Seng Index is down 0.96% at 21,391. In Japan, the Nikkei 225 is up 0.36% at 28,010.00, while the Topix index is up 0.72% at 1949.50. South Korea’s Kospi is down 1.66% at 2626.34. Australia S&P/ASX 200 down 1.53% at 7095.70.

Top News of the Day:

The Dow eked out a gain Monday, led by consumer stocks on optimism about easing Covid-19 restrictions in China, though wavering in tech stocks kept a lid on gains in the broader market.

Tech flirted between gains and losses in choppy trade as investors weighed up signs of easing regulatory crackdown on tech in China against ongoing expectations for Federal Reserve monetary policy tightening.

Market Summary as per 06/06/2022:

European equities Monday closing. The DAX futures contract in Germany traded up 1.34% at 14,653.81, CAC 40 futures up 0.98% at 6548.79 and the UK 100 futures contract in the U.K. up 1.00% at 7,608.23.

In the U.S. on Wall Street, the Dow Jones Industrial Average closed up 0.05% at 32915.79. The S&P 500 up 0.31% at 4121.44 and the Nasdaq 100 up 0.41% at 12599.63, NYSE closes up 0.32% at 15848.45.

Top Market News Today:

In the Forex market, GBPUSD down 0.47% at 1.2471. The USDJPY up 0.69% at 132.780. The USDCHF up 0.30% at 0.9737. EURUSD down 0.06% at 1.0689, EUR/GBP up 0.41% at 0.8569. The USD/CNY up 0.17% at 6.6653 at the time of writing.

In the Commodity market U.S. Gold futures up 0.07% at $1,841.95. Elsewhere, Silver futures down 0.84% at $21.935 per ounce, Platinum down 2.91% at $1001.00 per ounce, and Palladium up 0.15% at $2009.00.

Crude Oil mix on Tuesday; Brent crude oil up 0.26% at $120.26 per barrel while U.S. West Texas Intermediate (CLc1) down 0.13% at $117.53.

In the Cryptocurrency Markets, Bitcoin at 29470.00 down 6.41%, Ethereum down 5.54% at 1756.00, Litecoin at 61.37 down 4.66%, at the time of writing.

Top Market Segment to Watch Out Today:

AMAZON: Amazon’s stock split may provide some solace to shareholders who have seen the e-commerce giant’s shares battered this year.

Amazon (NASDAQ:AMZN) shares were up 3.1% to $126.17 in afternoon trading after the 20-for-1 split, announced earlier this year but which took effect Monday. They have fallen 24% year-to-date, roughly comparable to the loss in the Nasdaq Composite, as rising interest rates slam risk appetite and pressure shares of high-growth companies.

Economic News:

US: The US is working toward a formal gathering of members of the administration’s new economic initiative in Asia by the summer, President Joe Biden’s trade chief said.

“Over the course of the next couple of weeks, what we will be doing is doing deeper dives, answering questions, putting out more details to our vision,” US Trade Representative Katherine Tai said. “A very, very important part of this listening to our partners. I am hopeful that by the summer, we will have a more formalized convening” of countries participating in the US’s Indo-Pacific Economic Framework.

Tai spoke on Monday at an event hosted by the Washington International Trade Association.

The Biden administration unveiled the IPEF — designed to counter China’s influence in the region — in May. Fourteen nations so far having signed up to join the US in an effort to advance resilience, fairness, and competitiveness, but the initiative doesn’t include any tariff reductions.

Eurozone: The European Central Bank will begin a new era of monetary policy this week as officials complete their pivot to confront the threat of inflation running out of control.

Armed with new forecasts and with prices rising at a record pace, President Christine Lagarde and her colleagues will end trillions of euros of asset purchases and cement a path to exiting eight years of negative interest rates.

While consumer prices surging at more than four times the 2% goal are alarming enough, it’s the outlook beyond the immediate term that will underpin the shift. Their projections are likely to show inflation won’t drop below the target again through 2024.

Those new quarterly numbers will be the first to fully account for Russia’s war in Ukraine, which no matter when it ends will have lasting effects on energy and food costs. The new reality will show that the ECB’s criteria for rate lift-off are finally met — allowing it to join the Federal Reserve and its peers in hiking borrowing costs.

Top Economic Releases Today:

U.K. Services PMI (May) today at 4:30 this time estimated 51.80, previously which was 58.90.
U.S. Trade Balance (Apr) today at 8:30 this time estimated -89.50B, previously which was -109.80B.
CANADA Trade Balance (Apr) today at 8:30 this time estimated 2.90B, previously which was 2.49B.
U.S. API Weekly Crude Oil Stock today at 16:30 previously which was -1.181M.
JAPAN GDP (QoQ) (Q1) today at 19:50 this time estimated -0.3%, previously which was -0.2%.