Join us as we follow the market’s most significant events and provide technical analysis of the most important financial assets, so you are more aware of the factors driving daily price changes and economic data.
Today’s Economic Calendar
– At exactly 9:00 am, German ZEW Economic Sentiment, in addition to ZEW Economic Sentiment
Top News in Global Markets:
This morning’s events
US stock futures remained flat, as investors awaited US inflation data and the start of the earnings season.
The dollar index slipped, hitting its weakest level in two months, as several US central bank officials indicated that there will be more interest rate hikes to reduce inflation, but the end of the current monetary policy tightening cycle is approaching.
Retail sales in the UK increased by 4.2% compared to June 2023 from last year.
New Zealand stocks settled slightly lower, as investors awaited the rate decision by the Reserve Bank of New Zealand on Wednesday, with hopes mounting for a stabilization.
Australian NAB Business Confidence Index rose in June 2023 beating market expectations. In addition to stable working conditions above average at 9.
Japan’s Nikkei 225 jumped 0.6% while the broader TOPIX rose 0.5% on Tuesday, bouncing off its near one-month low amid a strong rally in technology stocks.
Brent crude futures rose 33 cents, to record 78 dollars a barrel, and West Texas crude rose 35 cents, to record 73.34 dollars a barrel, after a decline of 1 percent yesterday, Monday.
As for energy markets, the Executive Director of the International Energy Agency said that demand for oil from China and developing countries, along with supply cuts from OPEC +, is likely to lead to continued contraction of supply during the second half of the year.
Today’s expected events:
German Consumer Confidence (ZEW)
The producer price index for Japan
Technical Analysis
Dollar Index – 1 Hour Timeframe
Since yesterday, the US dollar index continued to slide sharply over the short-term intervals, after consolidating below the 102.45 levels that we mentioned yesterday, also breaking the support levels around 102.75.
Technically, the index is trading below the moving averages for the 20- and 50-day periods crossed negatively, with declining selling strength on momentum indicators, so the index is likely to try to retest the resistance levels around 101.75 points, before retreating and targeting the next support levels around 101.00 points.
Gold – 1 Hours Timeframe
Gold prices rose today, Tuesday, to hold above 1925 dollars, within the selling of the US dollar, with increasing expectations of the approaching end of the Federal Reserve monetary policy tightening period.
Technically, gold is trading above the 100-day moving average, after rebounding from $1912.66 yesterday. We expect gold to continue its rise and test the $1935 resistance again.
US Dow Jones – 1Hours Timeframe
The Dow Jones industrial index rose yesterday at the beginning of the week’s trading, bouncing up from the support levels of around 33,600 points, and now trading near the strongest resistance levels on the large intervals around 34,000.
Technically, the moving averages for the period of 20 and 50 days began to interrupt positively on the short-term intervals, so it is likely to continue the rise on the index and target the resistance levels around 34150 points, especially in the event of breaching the levels of 34000.
US Crude Oil – 1 Hour Timeframe
Oil prices declined from their highest levels at 74.08 dollars to 72.64 on Monday, before rising again in the early hours of this morning near 73.50 dollars.
Technically, oil prices are still trading above the 100-hour moving average, but it faces resistance around $73.50. We expect oil to decline again and test the support levels at $72.25.
Bitcoin – 1H Timeframe
The digital currency, Bitcoin, declined from 31,000 levels to reach $30,151, before rising again this morning, to settle above $30,400.
Technically, the digital currency is trading above the 38% Fibonacci area and around the 200-hour moving average. We expect prices to fall back in the event of a return below the support of 30350 thousand, and we target 29830 USD.
EUR/USD – 1 Hour Timeframe
On the opposite side of the US dollar, the (Euro /USD ) pair rose at the opening of the week’s trading, retreating slightly today, trying to retest the support levels around 1.0999.
Technically, we expect an end to the downside movement around the support level 1.0999, and then more Bullishness on the pair during today’s trading, targeting the next resistance levels around $1.1055.
GBP/USD – 1 Hour Timeframe
The GBP pair rose against the dollar to its highest level since April 2022, after the release of labor market data from the United Kingdom, which showed an increase in wage inflation.
Technically, the pair rose strongly after breaching the resistance of 1.2885, to reach the level of 1.2913. We expect the rise to continue towards 1.3000 levels, in the event of stability above the current support 1.2885.
GBP/JPY – 4 Hours Timeframe
The (GBP / JPY ) pair continued to decline, breaking the minimum for the sideways move that prevailed for weeks around 182.0 yen, and rising today trying to retest the resistance levels that were broken over the medium-term.
Technically, we expect the pair to rise to 182.00 levels trying to retest it, and then decline again to target 180.95 & 179.85 levels.
