Technical Analysis with Candlestick Charts – 08 April 2022

Technical Analysis with Candlestick Charts – 08 April 2022

technical analysis

Wholesale Inventories Data: To Ride the Market

Asia Pacific stocks were mostly down on Friday morning. The Shanghai Composite is down 0.02% at 3,236.19. Overall, the Singapore MSCI is down 1.07% at 326.80. Over in Hong Kong, the Hang Seng Index down 0.65% at 21,655.00. In Japan, the Nikkei 225 is up 0.11% at 26,930.00, while the Topix index is up 0.03% at 1891.50. South Korea’s Kospi up 0.13% to 2699.25. Australia S&P/ASX 200 up 0.44% at 7475.20.

Top News of the Day:

Wholesale Inventories Data: U.S. month-over-month wholesale inventories data will be released Friday at 10:00 AM ET. Analysts predict wholesale inventories, which gauge the change in the total value of goods held in inventory by wholesalers across the United States, will come in at 2.1%, above the previously reported 0.8%.

Market Summary as per 07/04/2022:

European equities Thursday closing. The DAX futures contract in Germany traded down 0.52% at 14,078.15, CAC 40 futures down 0.57% at 6461.69 and the UK 100 futures contract in the U.K. down 0.47% at 7,551.82.

In the U.S. on Wall Street, the Dow Jones Industrial Average closed up 0.25% at 34583.58. The S&P 500 up 0.42% at 4500.20 and the Nasdaq 100 up 0.23% at 14531.81, NYSE closes up 0.27% at 16631.44.

Top Market News Today:

In the Forex market, GBPUSD down 0.03% at 1.3069. The USDJPY up 0.08% at 123.993. The USDCHF up 0.18% at 0.9347. EURUSD down 0.14% at 1.0862, EUR/GBP down 0.06% at 0.8310. The USD/CNY down 0.03% at 6.3586 at the time of writing.

In the Commodity market U.S. Gold futures down 0.06% at $1,930.05. Elsewhere, Silver futures up 0.14% at $24.614 per ounce, Platinum flat at $963.00 per ounce, and Palladium up 1.36% at $2268.50.

Crude Oil down on Friday; Brent crude oil down 0.88% at $100.49 per barrel while U.S. West Texas Intermediate (CLc1) down 0.80% at $95.58.

In the Cryptocurrency Markets, Bitcoin at 43605.00 up 0.52%, Ethereum up 1.17% at 3267.94, Litecoin at 114.47 up 0.30%, at the time of writing.

Top Market Segment to Watch Out Today:

10 Yr. T-NOTE: In Treasuries, the 2 year-10 year spread widened as traders sharpened their focus on the pace and scope of the Fed’s plans to reduce its balance sheet. The yield on 10-year Treasury notes was up 3.8 basis points to 2.647% while the 2-year note yield was down 4.5 basis points at 2.457%, leaving the 2-10 spread at 18.72 basis points.

The near 27 basis point widening of that spread so far this week is the most for any week back to June 2013. Last week the spread tightened 27.5 basis points in the sharpest weekly tightening since September 2011. The yield curve inverted last week, signalling to some investors that a recession may be coming in a year or two.

Economic News:

US: The U.S. Congress voted to impose further economic pain on Russia over the invasion of Ukraine on Thursday, passing one measure to remove its “most favored nation” trade status and another to ban oil imports.

The Senate voted 100-0 in favour of the measure removing Permanent Normal Trade Relations (PNTR) status for both Russia and its close ally Belarus. Shortly afterward, it backed the energy measure, also by a 100-0 tally.

Senate approval sent the legislation to the House of Representatives, which quickly passed the trade measure by 420 to 3, and the energy legislation by 413 to 9.

President Joe Biden supports the measures and will sign them into law, White House press secretary Jen Psaki told reporters. The trade bill clears the way for Biden’s administration to raise tariff.

Eurozone: Russia’s central bank said on Thursday that due to a “significant change in market conditions” it would buy gold from commercial banks at a negotiated price from April 8.

On March 25, the bank had said it would buy gold at a fixed price of 5,000 roubles a gram until June 30.

Since that announcement, the rouble has strengthened sharply against the dollar. Five thousand roubles were worth around $52 on March 25 and around $63 on Thursday. Gold prices on the international market have remained stable at around $60 a gram, or $1,900 an ounce.

Russia is one of the world’s biggest gold producers, but the country’s refiners were barred from selling bullion into the London market, the world’s largest, after the Kremlin sent troops into Ukraine in February.

Top Economic Releases Today:

  1. CANADA Employment Change (Mar) today at 7:30 this time estimated 80.0K, previously which was 336.6K.
  2. 1.2%.
  3. RUSSIA GDP Quarterly (YoY) (Q4) today at 12:00 this time estimated 5.0%, previously which was 4.3%.
  4. 00 this time estimated 1.28%, previously which was 1.01%.
  5. INDIA Interest Rate Decision today at 00:30 this time estimated 4.00%, previously which was 4.0%.

TECHNICAL SUMMARY

GBPUSD

TRADE SUGGESTION- SELL AT 1.3060, TAKE PROFIT AT 1.3049 AND STOP LOSS AT 1.3076

EURUSD

TRADE SUGGESTION- SELL AT 1.0864, TAKE PROFIT AT 1.0852 AND STOP LOSS AT 1.0874

USDJPY

TRADE SUGGESTION- BUY AT 124.065, TAKE PROFIT AT 124.126 AND STOP LOSS AT 123.982

USDCHF

TRADE SUGGESTION- BUY AT 0.9348, TAKE PROFIT AT 0.9372 AND STOP LOSS AT 0.9312

DAX 40

TRADE SUGGESTION- SELL AT 14301.60 TAKE PROFIT AT 14014.30 AND STOP LOSS AT 14508.50

WTI CRUDE OIL

TRADE SUGGESTION- SELL AT 96.66 TAKE PROFIT AT 93.85 AND STOP LOSS AT 99.04

GOLD

TRADE SUGGESTION- SELL AT 1930.50, TAKE PROFIT AT 1915.83 AND STOP AT 1940.71

ETHEREUM

TRADE SUGGESTION- BUY AT 3245.29 TAKE PROFIT AT 3325.27 AND STOP AT 3172.48

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