Weekly Global Markets Technical Analysis Report – 06 March 2021

Weekly Global Markets Technical Analysis Report – 06 March 2021

WEEKLY SNAPSHOT

    ISM Non-Manufacturing PMI (Feb), U.S

    WHEN:                                              WHAT IT HAD INFLUENCED:

3rd MARCH 2021                                    USD and its subsequent pairs

WHAT HAPPENED: 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.

USDNOK is currently in a downtrend further downside will be seen if it breaks the 8.35756 level.    

     Composite PMI (Feb), UK

     WHEN:                                             WHAT IT HAD INFLUENCED:

     3rd MARCH 2021                                     GBP and its subsequent pairs

WHAT HAPPENED: The Composite PMI Index measures the activity level of purchasing managers in the both sectors. A reading above 50 indicates expansion in the sector; a reading below 50 indicates contraction.

GBPJPY is currently in an uptrend channel further upside will be seen in the coming days.

Building Permits (MoM) (Jan), CANADA

     WHEN:                                             WHAT IT HAD INFLUENCED:

 3rd MARCH 2021                                   CAD and its subsequent pairs 

WHAT HAPPENED: Building Permits measures the change in the number of new building permits issued by the government. Building permits are a key indicator of demand in the housing market.

USDCAD is currently in a downward channel further downside will be seen in the coming days.

Gold settles below the key $1,700 mark, at lowest in 9 months

WHAT IT HAD INFLUENCED:

GOLD

WHAT HAPPENED: Gold futures fell Friday, settling below the $1,700 mark for the first time in nine months. The U.S. dollar index climbed Friday and the 10-year Treasury bond yield briefly topped 1.6% in the wake of the larger-than-expected climb in the number of U.S. jobs created in February, putting pressure on prices for the precious metal. April gold fell $2.20, or 0.1%, to settle at $1,698.50 an ounce. For the week, prices lost nearly 1.8%.

Gold is trading in a downward trend; not able to sustain above 1715.97 level. It has taken support from 1687.14 more downsides can be seen in coming days.

Oil surges after OPEC+ holds cuts

WHAT IT HAD INFLUENCED:

WTI CRUDE OIL

WHAT HAPPENED: Brent futures rose $2.62, or 3.9%, to settle at $69.36 a barrel. The session high for the global benchmark was its highest since January 2020.

U.S. West Texas Intermediate (WTI) crude rose $2.26, For the week, Brent gains 5.2% gain, WTI up 7.4%or 3.5% to settle at $66.09 a barrel.

For the week, Brent was up 5.2%, rising for a seventh week in a row for the first time since December, while WTI was up about 7.4% after gaining almost 4% last week.

Both contracts surged more than 4% on Thursday after the Organization of the Petroleum Exporting Countries and allies, together known as OPEC+, extended oil output curbs into April, granting small exemptions to Russia and Kazakhstan.

WTI CRUDE OIL is currently in an uptrend channel. In the coming days, further upside will be seen.

Bitcoin A Radical Technology for Everyone

WHAT IT HAD INFLUENCED:

BTCUSD

WHAT HAPPENED: t has been a returning cycle of four years each: Bitcoin was created in 2009, reached its first peak in 2013 ($1,165), followed by the $20k milestone in 2017. Four years later, this year, the alpha cryptocurrency reached $58k as its highest point to date. However, Bitcoin is not defined by its price, and neither is it defined by the supposed bubble that it has created.

What Bitcoin represents is both an innovation and a revolution in how we think about money in general, and the possibility of technological interventions in the sphere of finance, in particular. To say that Bitcoin (and by extension, most decentralized cryptocurrencies) has, since its inception by still unknown Satoshi Nakamoto more than a decade ago, created its own economic layer operating on top of the global economy isn’t such an outlandish claim.

BTCUSD is very volatile it is not respecting any resistance or support from the past few days. Once it became stable its direction will be clear.      

5 KEY EVENTS TO WATCH OUT

     Household Spending (MoM), JAPAN

 WHEN:                                                                WHAT IT INFLUENCES:

 8th MARCH 2021                                                  JPY and its subsequent

                                                                              pairs

WHAT’S HAPPENING: Household Spending measures the change in the inflation-adjusted value of all expenditures by consumers.

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

     Trade Balance (Jan), GERMANY

WHEN:                                                                 WHAT IT INFLUENCES:

9th MARCH 2021                                                 EUR and its subsequent

                                                                             pairs

WHAT’S HAPPENING: The Trade Balance measures the difference in worth between exported and imported goods over the month. A positive number indicates that more goods were exported than imported.

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

    Core Consumer Price Index (CPI) MoM, US

WHEN:                                                                WHAT IT INFLUENCES:

10th MARCH 2021                                               USD and its subsequent

                                                                             pairs

WHAT’S HAPPENING: The Core Consumer Price Index (CPI) measures the changes in the price of goods and services, excluding food and energy. The CPI measures price change from the perspective of the consumer. It is a key way to measure changes in purchasing trends and inflation.

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 USD.

HIA New Home Sales (MoM), AUSTRALIA

WHEN:                                                                WHAT IT INFLUENCES:

8th MARCH 2021                                               AUD and its subsequent

                                                                             Pairs

WHAT’S HAPPENING: Housing Industry Association (HIA) New Home Sales measures the change in the number of newly constructed homes sold.

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.

BOC Interest Rate Decision, CANADA

WHEN:                                                                 WHAT IT INFLUENCES:

10th MARCH 2021                                              CAD and its subsequent

                                                                              pairs

WHAT’S HAPPENING: Bank of Canada (BOC) governing council members come to a consensus on where to set the rate. Traders watch interest rate changes closely as short-term interest rates are the primary factor in currency valuation.

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. Momenta (MNTA) to announce its Quarterly Results on 8th March 2021, EPS estimated to -0.5 per share while revenue estimated 6M.

2. Pearson (PSON) to announce its Quarterly Results on 8th March 2021, EPS estimated to 32.79 per share while revenue estimated 1,913M.

3. Deutsche Post (0H3Q) to announce its Quarterly Results on 9th March 2021, EPS estimated to 1.06 per share while revenue estimated 19.28B.

4. Oracle (ORCL) to announce its Quarterly Results on 10th March 2021, EPS estimated to 1.11 per share while revenue estimated 10.05B.

5. DocuSign (DOCU) to announce its Quarterly Results on 11th March 2021, EPS estimated to 0.2227 per share while revenue estimated 407.96M.

TOP COMMODITIES IN THE COMING WEEK

GOLD

Gold is trading in a downward trend; not able to sustain above 1715.97 level. It has taken support from 1687.14 more downsides can be seen in coming days.

SILVER

SILVER is trading in a parallel channel; Further upside will be seen if it breaks the upside resistance of 27.876 and downside if it breaks the support of 23.538. 

WTI CRUDE OIL

WTI CRUDE OIL is currently in an uptrend channel. In the coming days, further upside will be seen.

TOP CRYPTO IN THE COMING WEEK

BTCUSD

BTCUSD is very volatile it is not respecting any resistance or support from the past few days. Once it became stable its direction will be clear.

ETHEREUM

ETHEREUM was is upward channel after breaking the channel further downside will be seen.

TOP CURRENCY IN THE COMING WEEK

EURUSD 

EURUSD breaks its crucial support of 1.19474 further support is at 1.16916 level.

GBPUSD

GBPUSD is currently in an up channel, Further upside will be seen in the coming days. 

USDCAD

USDCAD is currently in a down channel, In the coming days, the further downside will be seen.  

TOP INDEX IN THE COMING WEEK

DAX 30

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

DOW JONES

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

NASDAQ 100

NASDAQ 100 was in the up channel; further downside will be seen in the coming days.

DATA WATCH

TimeCurrencyEventForecastPrevious
Sunday, March 7, 2021    
09:50  CNYTrade Balance (USD) (Feb)60.00B78.17B
09:51  CNYExports (YoY) (Feb)38.90%18.10%
09:51  CNYImports (YoY) (Feb)15.00%6.50%
18:50  JPYCurrent Account n.s.a. (Jan)1.230T1.166T
Monday, March 8, 2021    
18:50  JPYGDP (YoY) (Q4)12.80%12.70%
19:01  GBPBRC Retail Sales Monitor (YoY) (Feb) 7.10%
19:30  AUDNAB Business Confidence (Feb) 10
Tuesday, March 9, 2021    
20:30  CNYCPI (MoM) (Feb)0.40%1.00%
20:30  CNYCPI (YoY) (Feb)-0.40%-0.30%
20:30  CNYPPI (YoY) (Feb)1.50%0.30%
Wednesday, March 10, 2021    
08:30  USDCore CPI (YoY) (Feb)1.40%1.40%
08:30  USDCore CPI (MoM) (Feb)0.20%0.10%
14:00  USDFederal Budget Balance (Feb)-150.0B-163.0B
19:01  GBPRICS House Price Balance (Feb)45%50%
Thursday, March 11, 2021    
07:00  USDOPEC Monthly Report    
07:00  BRLCPI (MoM) (Feb)0.31%0.25%
07:00  BRLCPI (YoY) (Feb)4.61%4.56%
08:30  USDInitial Jobless Claims 745K
18:50  JPYBSI Large Manufacturing Conditions (Q1) 21.6
Friday, March 12, 2021    
02:00  GBPGDP (QoQ) 1.00%
02:00  GBPTrade Balance (Jan)-12.85B-14.32B
02:00  EURGerman CPI (MoM) (Feb)0.70%0.70%
02:45  EURFrench CPI (MoM) (Feb) 0.10%
03:00  EURSpanish CPI (YoY) (Feb)0.60%0.60%

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