Weekly Technical Analysis with Candlestick Charts – 24 October 2021

Technical Analysis

Weekly Technical Analysis with Candlestick Charts – 24 October 2021

WEEKLY SNAPSHOT

    Retail Sales (MoM) (Sep), U.K.

    WHEN:                                               WHAT IT HAD INFLUENCED:

22nd OCTOBER 2021                               GBP and its subsequent pairs

WHAT HAPPENED: Retail Sales measure the change in the total value of inflation-adjusted sales at the retail level. It is the foremost indicator of consumer spending, which accounts for the majority of overall economic activity.

GBPAUD is currently in the downward channel. Further downside can be seen in the coming week.

     Building Permits (Sep), U.S.

     WHEN:                                              WHAT IT HAD INFLUENCED:

     19th OCTOBER 2021                                USD 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.

USDCHF is currently in the downward channel. Further downside can be seen in the coming week.

Core Retail Sales (MoM) (Aug), CANADA

WHEN:                                              WHAT IT HAD INFLUENCED:

22nd OCTOBER 2021                               CAD and its subsequent pairs 

WHAT HAPPENED: Core Retail Sales measures the change in the total value of sales at the retail level in Canada, excluding automobiles. It is an important indicator of consumer spending and is also considered a pace indicator for the Canadian economy.

GBPCAD is currently in the upward channel. Further upside can be seen in the coming week.

Gold up 2nd Straight Week after Powell-Triggered Rollercoaster

WHAT IT HAD INFLUENCED:

GOLD 

WHAT HAPPENED: Gold longs saw a second straight week of gains but not before a rollercoaster ride on Friday that took them to the euphoria of $1,800 levels, then a plunge and finally a positive close.

U.S. gold futures’ most active contract, December, settled at $1,796.30 per ounce on New York’s Comex, up $14.40, or 0.8%. Earlier in the session, December gold shot up to $1,815.50, only the second time in a week that it has gotten past the $1,800 level.

For the week, the benchmark gold futures contract settled up 1.6%, extending the previous week’s gain of 0.6%.

Markets had been on tenterhooks for months over the timing of the stimulus taper. With that known, the speculation has moved on to rates.

GOLD is trading in the up channel; further upside can be seen if not able to break out the channel.

Oil Bulls on to 9th Winning Week, But with a Little More Volatility

WHAT IT HAD INFLUENCED:

CRUDE OIL

WHAT HAPPENED: 

Oil bulls scored a ninth straight winning week as market attention again turned to the three-year lows in inventories at the U.S. storage hub for crude, even as natural gas and coal prices that supported a recent broad rally in energy turned lower on the week.

U.S. crude’s West Texas Intermediate benchmark settled up $1.26, or 1.5%, at $83.76 per barrel. WTI fell to as low as $80.81 on Thursday but on Friday it reached a peak of $83.86, just a dime below Thursday’s seven-year high of $83.96. For the week, it rose 1.8%, for a cumulative nine-week gain of 34%.

London-traded Brent crude, the global benchmark for oil, settled up 92 cents, or 1.1%, at $83.53. Brent hit a three-year high of $86.10 on Thursday. It rose almost 1% on the week for a seven-week gain of 15%.

Crude prices had their steepest drop in two weeks on Thursday after Russian President Vladimir Putin said the OPEC+ cartel which includes Moscow might put out more barrels than it has announced.

WTI CRUDE OIL is currently in the upward channel. Further upside can be seen in the coming week.

Bulls fight to keep Ethereum price above $4K ahead of Friday’s $435M options expiry

WHAT IT HAD INFLUENCED:

ETHEREUM

WHAT HAPPENED: Ether (ETH) flirted with its $4,380 all-time high on Oct. 21 but failed to breach it by a few dollars. Some analysts, including independent market analyst Scott Melker, believe that an exchange-traded fund (ETF) approval is the next logical step for the U.S. Securities and Exchange Commission (SEC).

However disappointed Ether bulls might be, they are likely to score a $78 million profit on Oct. 22’s options expiry. Bears were apparently caught off-guard as Ether accumulated a 35% gain month-to-date.

ETHEREUM is currently in the upward channel. Further upside can be seen in the coming week.      

5 KEY EVENTS TO WATCH OUT

     Nationwide HPI (MoM) (Oct), U.K.

 WHEN:                                                              WHAT IT INFLUENCES:

 29th OCTOBER 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. 

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.

      New Home Sales (Sep), U.S.

WHEN:                                                                WHAT IT INFLUENCES:

26th OCTOBER 2021                                            USD and its subsequent 

                                                                              Pairs

WHAT’S HAPPENING: New Home Sales measures the annualized number of new single-family homes that were sold during the previous month. This report tends to have more impact when it’s released ahead of Existing Home Sales because the reports are tightly correlated.

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.

    Unemployment Change (Oct), GERMANY

WHEN:                                                               WHAT IT INFLUENCES:

28th OCTOBER 2021                                          EUR and its subsequent 

                                                                             Pairs

WHAT’S HAPPENING: German Unemployment Change measures the change in the number of unemployed people during the previous month.

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

GDP (MoM) (Aug), CANADA

WHEN:                                                                WHAT IT INFLUENCES:

29th OCTOBER 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.

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.

CPI (YoY) (Oct), EURO ZONE

WHEN:                                                               WHAT IT INFLUENCES:

29th OCTOBER 2021                                            EUR and its subsequent 

                                                                             pairs

WHAT’S HAPPENING: The Consumer Price Index (CPI) measures the change in the price of goods and services 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 EUR, whereas a lower-than-expected reading should be taken as negative/bearish for the EUR.

EQUITIES IN THE COMING WEEK

1. Facebook (FB) to announce its Quarterly Results on 25th OCTOBER 2021, EPS estimated to 3.18 per share while revenue estimated 29.5B. 

2. Microsoft (MSFT) to announce its Quarterly Results on 26th OCTOBER 2021, EPS estimated to 2.07 per share while revenue estimated 43.94B.

3. Coca-Cola (KO) to announce its Quarterly Results on 27th OCTOBER 2021, EPS estimated to 0.5759 per share while revenue estimated 9.8B.

4. McDonald’s (MCD) to announce its Quarterly Results on 27th OCTOBER 2021, EPS estimated to 2.46 per share while revenue estimated 6.05B.

5. Apple (AAPL) to announce its Quarterly Results on 28th OCTOBER 2021, EPS estimated to 1.23 per share while revenue estimated 84.95B.

TOP COMMODITIES IN THE COMING WEEK

GOLD

Technical Analysis

GOLD is currently in the upward channel. Further upside can be seen in the coming week. 

SILVER

Technical Analysis

SILVER is currently in the upward channel. Further upside can be seen in the coming week.

WTI CRUDE OIL

Technical Analysis

WTI CRUDE OIL is trading in the up channel; further upside can be seen if not able to break out the channel.

TOP CRYPTO IN THE COMING WEEK

BTCUSD

Technical Analysis

BTCUSD was trading in the up channel; downside will be seen in the coming days. 

ETHEREUM

Technical Analysis

ETHEREUM is currently in the upward channel. Further upside can be seen in the coming week.   

 TOP CURRENCY IN THE COMING WEEK

EURUSD 

Technical Analysis

EURUSD is trading in the up channel; further upside can be seen in the coming days.

GBPUSD

Technical Analysis

GBPUSD is trading in the up channel; further upside can be seen in the coming days.

AUDUSD

Technical Analysis

AUDUSD is trading in the up channel; further upside will be seen in the coming days.

TOP INDEX IN THE COMING WEEK

HANG SENG

Technical Analysis

HANG SENG is trading in the up channel; further upside can be seen if not able to break out the channel.

EURO STOXX 50

Technical Analysis

EURO STOXX 50 is trading in the up channel; further upside can be seen if not able to break out the channel.

DATA WATCH

Technical Analysis

About Author