Weekly Technical Analysis with Candlestick Charts – 19 December 2021

Weekly Technical Analysis with Candlestick Charts – 19 December 2021

WEEKLY SNAPSHOT

    Claimant Count Change (Nov), U.K.

    WHEN:                                               WHAT IT HAD INFLUENCED:

14th DECEMBER 2021                             GBP and its subsequent pairs

WHAT HAPPENED: Claimant Count Change measures the change in the number of unemployed people in the U.K. during the reported month. A rising trend indicates weakness in the labor market, which has a trickle-down effect on consumer spending and economic growth.

GBPJPY is trading in the up channel. Further upside can be seen in the coming week.

     Retail Sales (MoM) (Nov), U.S.

     WHEN:                                              WHAT IT HAD INFLUENCED:

     15th DECEMBER 2021                             USD and its subsequent pairs

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

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

Employment Change (Nov), AUSTRALIA 

WHEN:                                            WHAT IT HAD INFLUENCED:

16th DECEMBER 2021                           AUD and its subsequent pairs 

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

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

Gold, Shining Again as Inflation Hedge, Gets Above $1,800

WHAT IT HAD INFLUENCED:

GOLD 

WHAT HAPPENED: Almost a month after losing its $1,800 mantle, gold is back above the key psychological bullish mark, reinforcing its role as an inflation hedge.

U.S. gold futures’ most active contract, February, settled Thursday’s trade up $6.70, or 0.4%, at $1,804.90 an ounce on New York ‘s Comex. The last time it closed above $1,800 was on Nov. 22.

For the week, February gold rose 1.1%, its most for a week since early November.

Gold’s ascension came as the Federal Reserve announced its heightened concerns about inflation in the United States on a week that the central bank laid out an expedited pathway to ending its pandemic-era stimulus and raising interest rates for the first time since the Covid-19 outbreak of March 2020.

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

Oil prices post a weekly loss on Omicron uncertainty

WHAT IT HAD INFLUENCED:

CRUDE OIL

WHAT HAPPENED: 

Oil prices fell on Friday and were also down on the week as surging cases of the Omicron coronavirus variant raised fears that new restrictions may hit fuel demand.

“There are concerns about COVID that won’t go away, and the perception that could weigh on demand is putting pressure on the market,” said Bob Yawger, director of energy futures at Mizuho in New York.

Brent crude futures settled down $1.50, or 2%, at $73.52 a barrel, while U.S. West Texas Intermediate (WTI) crude dropped $1.52, or 2.1%, to settle at $70.86 a barrel. Brent was down 2.6% on the week and WTI fell 1.3%.

WTI CRUDE OIL is trading in the down channel. Further downside can be seen in the coming week.

ConsenSys launches Rollups for privacy-enabled transactions on Ethereum blockchain with support of Mastercard

WHAT IT HAD INFLUENCED:

ETHEREUM

WHAT HAPPENED: 

On Thursday, ConsenSys, a prominent developer of Ethereum (ETH) software, announced the launch of enterprise software ConsSys Rollups. The service, designed on the basis of zero-knowledge (ZK) proofs, is meant to protect specific transaction elements, such as account balances, sender and recipient wallet addresses and transaction amounts to secure each user’s privacy.

Zero-knowledge proofs enable the validation of sensitive encrypted information, such as personal data, by nodes without revealing the data underneath. Such cryptographic techniques have gained enormous popularity in recent years, as users fear their crypto transactions are at-risk of being tracked by blockchain forensic firms such as a Chainalysis

ETHEREUM is trading in the down channel; downside will be seen in the coming days.      

5 KEY EVENTS TO WATCH OUT

     GDP (QoQ) (Q3), U.K.

 WHEN:                                                              WHAT IT INFLUENCES:

 22nd DECEMBER 2021                                    GBP 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. 

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.

      Existing Home Sales (Nov), U.S.

WHEN:                                                                WHAT IT INFLUENCES:

22nd DECEMBER 2021                                            USD and its subsequent 

                                                                             Pairs

WHAT’S HAPPENING: Existing Home Sales measures the change in the annualized number of existing residential buildings that were sold during the previous month. This report helps to gauge the strength of the U.S. housing market and is a key indicator of overall economic strength.

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.

    National Core CPI (YoY) (Nov), JAPAN

WHEN:                                                               WHAT IT INFLUENCES:

23rd DECEMBER 2021                                      JPY and its subsequent 

                                                                            Pairs

WHAT’S HAPPENING: The National Core Consumer Price Index (CPI) measures the change in the price of goods and services purchased by consumers, excluding fresh food.

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.

Core Retail Sales (MoM) (Oct), CANADA

WHEN:                                                               WHAT IT INFLUENCES:

21st DECEMBER 2021                                      CAD and its subsequent 

                                                                            Pairs 

WHAT’S HAPPENING:  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.

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.

GfK Consumer Climate (Jan), GERMANY

WHEN:                                                               WHAT IT INFLUENCES:

21st DECEMBER 2021                                        EUR and its subsequent 

                                                                            pairs

WHAT’S HAPPENING: The Gfk German Consumer Climate Index measures the level of consumer confidence in economic activity. The data is compiled from a survey of about 2,000 consumers which asks respondents to rate the relative level of past and future economic conditions.

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. Nike (NKE) to announce its Quarterly Results on 20th DECEMBER 2021, EPS estimated to 0.6305 per share while revenue estimated 11.25B. 

2. Micron (MU) to announce its Quarterly Results on 20th DECEMBER 2021, EPS estimated to 2.1 per share while revenue estimated 7.68B.

3. BlackBerry (BB) to announce its Quarterly Results on 21st DECEMBER 2021, EPS estimated to -0.0738 per share while revenue estimated 176.97M.

4. CarMax (KMX) to announce its Quarterly Results on 22nd DECEMBER 2021, EPS estimated to 1.46 per share while revenue estimated 7.19B.

5. FactSet Research (FDS) to announce its Quarterly Results on 21st DECEMBER 2021, EPS estimated to 2.99 per share while revenue estimated 419.33M.

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 trading in the downward channel. Further downside can be seen in the coming week.

WTI CRUDE OIL

Technical analysis

WTI CRUDE OIL is trading in the down channel. Further downside can be seen in the coming week.

TOP CRYPTO IN THE COMING WEEK

BTCUSD

Technical analysis

BTCUSD is trading in the down channel; downside will be seen in the coming days. 

LITECOIN USD

Technical analysis

LITECOIN USD is currently in the downward channel. Further downside 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 down channel; further downside can be seen in the coming days.

EURGBP

Technical analysis

EURGBP is currently in the downward channel. The further downside can be seen in the coming week.

TOP INDEX IN THE COMING WEEK

DAX 40

Technical analysis

DAX 40 is trading in the down channel; further downside will be seen in the coming days.

CAC 40

Technical analysis

CAC 40 is trading in the up channel; further upside will be seen in the coming days.

DATA WATCH

Technical analysis

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