Weekly Global Markets Technical Analysis Report – 04 April 2021

Weekly Global Markets Technical Analysis Report – 04 April 2021

Nationwide HPI (MoM), UK

 WHEN:                                                                WHAT IT INFLUENCES:

 29th MARCH 2021                                                  GBP and its subsequent 

                                                                              pairs

WHAT’S HAPPENING: The Nationwide Housing Price Index (HPI) measures the change in the selling price of homes with mortgages backed by Nationwide. It is the U.K.’s second earliest report on housing inflation.

GBPJPY is trading in an upward channel further upside can be seen in the coming days.

     GDP (MoM) (Jan), CANADA

WHEN:                                                                 WHAT IT INFLUENCES:

31st MARCH 2021                                                 CAD and its subsequent 

                                                                             pairs

WHAT’S HAPPENING: Gross Domestic Product (GDP) measures the annualized change in the inflation-adjusted value of all goods and services produced by the economy. It is the broadest measure of economic activity and the primary indicator of the economy’s health. Canada releases fresh GDP data on a monthly basis.

USDCAD is trading in a downward channel further downside can be seen in the coming days.

    Pending Home Sales (MoM) (Feb), US

WHEN:                                                                WHAT IT INFLUENCES:

31st MARCH 2021                                             USD and its subsequent 

                                                                             pairs

WHAT’S HAPPENING: The National Association of Realtors (NAR) Pending Home Sales Report measures the change in the number of homes under contract to be sold but still awaiting the closing transaction, excluding new construction.

USDNOK is trading in a parallel channel it will continue consolidation until it breaks the channel either side.

Gold Brushes $1,730 High

WHAT IT HAD INFLUENCED:

GOLD 

WHAT HAPPENED

In Thursday’s trade, benchmark gold futures on New York’s Comex settled up $12.80, or 0.8%, at $1,728.40 an ounce, after a session high at $1,731.05.

With Monday’s 1.8% jump, Comex gold has virtually recovered what it lost in the first two sessions of the week that hurtled the market to the $1,600 territory it had not visited since March 12. For the week, Comex gold was down just 0.2%.

The spot price of gold not far from the spot contract in futures. At 2:28 PM ET (18:28 GMT), spot gold was up $42.33, or 2.5%, to trade at $1,727.59.

Gold is trading in a downward trend; it had taken support from 1677.31 further downsides will be seen if it breaks this level. 

Oil Demand Boosted By Highest Number Of Flights Since COVID Started

WHAT IT HAD INFLUENCED:

WTI CRUDE OIL

WHAT HAPPENED: The number of commercial flights looks to have hit a post-pandemic high in the past days, outstripping the previous high from Christmas travel and potentially boding well for jet fuel demand going forward.

According to global flight tracking service Flightradar24, as reported by Bloomberg News’ Chief Energy Correspondent Javier Blas, the 7-day rolling average of the number of flights tracked by Flightradar24 hit the highest on Wednesday since the start of the pandemic. Flightradar24 tracked a total of 77,708 flights—both passenger and freight—a number which exceeded the previous peak during the Christmas holidays since COVID started spreading. Higher numbers of flights in the major markets—the United States and China—were behind the increase, according to Bloomberg.

Rising numbers of air travellers could help global aviation fuel demand, which has been hit the hardest by the pandemic with international flight restrictions and quarantines.  

In the United States, the number of airs travellers in a day exceeded 1.5 million at the end of March, for the first time since the middle of March 2020, in a good sign for oil demand as U.S. citizens start to travel more, including by plane.

WTI CRUDE OIL was in the uptrend channel. After breaking the channel further downside will be seen.

BITCOIN HITS $60,000 ON COINBASE AND MORGAN STANLEY’S STREET SWAPPING

WHAT IT HAD INFLUENCED:

BTCUSD

WHAT HAPPENED: Coinbase announced late night Thursday that it received approval from the US securities regulator, the Securities and Exchange Commission, to list its share on the Nasdaq via a so-called direct listing under the ticker ‘COIN’ on April 14. In retrospect, a direct listing requires a company to save the money it pays to investment banks instead of raising it in the process.

The US cryptocurrency firm, launched in 2012, provides exchange, trading, staking, and custodianship services to its retail and institutional clients. Its presence in more than 100 countries brought about $1.3 billion in revenue and $322 million in profits in 2020.

Filings with the SEC show the cost to purchase one Coinbase Global share at a price that would shoot its value to around $67.6 billion. The firm has $1 billion in cash reserves, which expects to protect it from bitcoin’s notorious price fluctuations that impact everything from its revenues to earnings.

BTCUSD is trading in an upward trend. Further upside can be seen in the coming days.        

5 KEY EVENTS TO WATCH OUT

     Markit Services PMI (Mar), RUSSIA

 WHEN:                                                                WHAT IT INFLUENCES:

 5th APRIL 2021                                                         RUB and its subsequent 

                                                                              pairs

WHAT’S HAPPENING: The Russian HSBC Services PMI is compiled by questionnaires sent to purchasing executives in private service sector companies. The panel has been carefully selected to accurately replicate the true structure of the services economy. The HSBC Services PMI Index is developed for providing the most up-to-date possible indication of what is really happening in the private sector economy by tracking variables such as sales, employment, inventories and prices.

A higher-than-expected reading ought to be taken as positive/bullish for the RUB, whereas a lower-than-expected reading should be taken as negative/bearish for the RUB.

     ISM Non-Manufacturing PMI (Mar), US

WHEN:                                                                 WHAT IT INFLUENCES:

5th APRIL 2021                                                   USD and its subsequent 

                                                                             pairs

WHAT’S HAPPENING: The Institute of Supply Management (ISM) Non-Manufacturing Purchasing Managers’ Index (PMI) (also known as the ISM Services PMI) report on Business, a composite index is calculated as an indicator of the overall economic condition for the non-manufacturing sector. The NMI is a composite index based on the diffusion indexes for four of the indicators with equal weights: Business Activity (seasonally adjusted), New Orders (seasonally adjusted), Employment (seasonally adjusted) and Supplier Deliveries.

A higher-than-expected reading ought to be taken as positive/bullish for the USD, whereas a lower-than-expected reading should be taken as negative/bearish for the CAD.

USD

    Services PMI (Mar), UK

WHEN:                                                               WHAT IT INFLUENCES:

7th APRIL 2021                                                  GBP and its subsequent 

                                                                             pairs

WHAT’S HAPPENING: The Services Purchasing Managers’ Index (PMI) measures the activity level of purchasing managers in the services sector. A reading above 50 indicates expansion in the sector; a reading below 50 indicates contraction. Traders watch these surveys closely as purchasing managers usually have early access to data about their company’s performance, which can be a leading indicator of overall economic performance.

A higher-than-expected reading ought to be taken as positive/bullish for the GBP, whereas a lower-than-expected reading should be taken as negative/bearish for the GBP.

Building Approvals (MoM), AUSTRALIA

WHEN:                                                                WHAT IT INFLUENCES:

8th APRIL 2021                                                  AUD and its subsequent 

                                                                             Pairs 

WHAT’S HAPPENING: Building Approvals (also known as Building Permits) measures the change in the number of new building approvals issued by the government. Building permits are key indicator of demand in the housing market.

A higher-than-expected reading ought to be taken as positive/bullish for the AUD, whereas a lower-than-expected reading should be taken as negative/bearish for the AUD.

Employment Change (Mar), CANADA

WHEN:                                                                 WHAT IT INFLUENCES:

9th APRIL 2021                                                    CAD and its subsequent 

                                                                             pairs

WHAT’S HAPPENING: Employment Change measures the change in the number of people employed. Job creation is an important indicator of consumer spending.

A higher-than-expected reading ought to be taken as positive/bullish for the CAD, whereas a lower-than-expected reading should be taken as negative/bearish for the CAD.

EQUITIES IN THE COMING WEEK

1. Schnitzer (SCHN) to announce its Quarterly Results on 7th April 2021, EPS estimated to 0.9 per share while revenue estimated 580.64M. 

2. Levi Strauss A (LEVI) to announce its Quarterly Results on 8th April 2021, EPS estimated to 0.2407 per share while revenue estimated 1.25B.

3. Corus Entertainment (CJREF) to announce its Quarterly Results on 9th April 2021, EPS estimated to 0.0954 per share while revenue estimated 283.26M.

4. C-Bond Systems (CBNT) to announce its Quarterly Results on 7th April 2021, EPS estimated to -0.01 per share while revenue estimated 400K.

5. Stealth Bio (MITO) to announce its Quarterly Results on 7th April 2021, EPS estimated to -0.0033 per share while revenue estimated 17.5M.

TOP COMMODITIES IN THE COMING WEEK

GOLD

Technical Analysis

Gold is trading in a downward trend; it had taken support from 1677.31 further downsides will be seen if it breaks this level.

SILVER

Technical Analysis

SILVER is trading in a parallel channel further downside will be seen if it breaks 23.515 level and upside will be seen if it breaks 28.137 level.  

WTI CRUDE OIL

Technical Analysis

WTI CRUDE OIL was in the uptrend channel. After breaking the channel further downside will be seen.

TOP CRYPTO IN THE COMING WEEK

BTCUSD

Technical Analysis

BTCUSD is trading in an upward trend. Further upside can be seen in the coming days.  

ETHEREUM

Technical Analysis

ETHEREUM is trading in an upward channel. Further upside will be seen in the coming days. 

TOP CURRENCY IN THE COMING WEEK

EURUSD 

Technical Analysis

EURUSD is trading in a downward trend, Further downside will be seen in the coming days. 

GBPUSD

Technical Analysis

GBPUSD was in the uptrend channel. After breaking the channel further downside will be seen. 

EURJPY

Technical Analysis

EURJPY is trading in an up channel, further upside can be seen in the coming days.

TOP INDEX IN THE COMING WEEK

CAC 40

Technical Analysis

CAC 40 is currently in the up channel. Further upside will be seen in the coming days. 

DAX 30

Technical Analysis

DAX 30 is currently in an uptrend. Further upside will be seen in the coming days.

DJ EURO STOXX 50

Technical Analysis

DJ EURO STOXX 50 is in the up channel; further upside will be seen in the coming days.

DATA WATCH

TimeCurrencyEventForecastPrevious
Sunday, April 4, 2021    
20:30  JPYServices PMI (Mar) 46.3
Monday, April 5, 2021    
10:00  USDFactory Orders (MoM) (Feb)-0.50%2.60%
10:00  USDISM Non-Manufacturing Employment (Mar) 52.7
10:00  USDISM Non-Manufacturing PMI (Mar)58.555.3
19:30  JPYHousehold Spending (MoM) (Feb)2.80%-7.30%
19:30  JPYHousehold Spending (YoY) (Feb)-5.30%-6.10%
21:45  CNYCaixin Services PMI (Mar) 51.5
21:45  CNYChinese Composite PMI (Mar) 51.6
Tuesday, April 6, 2021    
All Day Hong Kong – Easter  
00:30  AUDRBA Interest Rate Decision (Apr)0.10%0.10%
00:30  AUDRBA Rate Statement    
03:00  EURSpanish Unemployment Change 44.4K
05:00  EURUnemployment Rate (Feb)8.10%8.10%
08:00  USDEIA Short-Term Energy Outlook    
Wednesday, April 7, 2021    
00:30  INRInterest Rate Decision4.00%4.00%
03:15  EURSpanish Services PMI (Mar)46.843.1
03:45  EURItalian Services PMI (Mar)49.148.8
10:30  USDCushing Crude Oil Inventories 0.782M
Thursday, April 8, 2021    
02:00  EURGerman Factory Orders (MoM) (Feb)1.00%1.40%
21:30  CNYCPI (MoM) (Mar)0.60%0.60%
21:30  CNYCPI (YoY) (Mar)-0.40%-0.20%
21:30  CNYPPI (YoY) (Mar)1.50%1.70%
Friday, April 9, 2021    
01:45  CHFUnemployment Rate n.s.a. (Mar) 3.60%
08:30  CADEmployment Change (Mar)90.0K259.2K
08:30  CADUnemployment Rate (Mar)8.00%8.20%
12:00  USDWASDE Report    
13:00  USDU.S. Baker Hughes Oil Rig Count 337
13:00  USDU.S. Baker Hughes Total Rig Count 430

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