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Today’s Economic Calendar
– At exactly 6:00 am GMT, the producer price index in Germany, on a monthly basis in the month of April.
– At 12:30 Pm, retail sales in Canada on a monthly basis for the month of March.
– At 3 p.m. Fed Chairman Jerome Powell’s speech.
– And at 7 o’clock Christine Lagarde, President of the European Central Bank.
Top News in Global Markets:
Yesterday’s highlights:
– The US Department of Labor issued its weekly report to estimate claims for unemployment benefits, and the results were lower than expected, which means that the number of unemployed people decreased in the second week of May, which is good for the economy.
– From the International Energy Agency, the weekly report on natural gas inventories was issued. Inventories were lower than expected, which means higher demand, but they remain higher than the previous reading.
– The New York session indices closed on the rise, as the Dow Jones Industrial Average rose by 0.34%, and the Nasdaq index rose by 1.51%.
And in the morning:
New Zealand’s trade balance was released from the statistical center, as the index reading in April rose significantly from the expected and previous reading, which means that exports exceeded imports, in favor of the economy.
– In Japan, the core consumer price index for April was released on an annual basis, and the ratio was higher than the previous one.
-Stock indices varied in the Asian session, as the Japanese Nikkei index rose by 0.72%, and in Hong Kong the Hang Seng index fell by 0.96%.
It is expected during the hours of the day:
– Producer price index in Germany in April on a monthly basis.
– The Summit of the Seven Industrialized Countries. The meetings of the summit will be attended by finance ministers and central bank governors of the world’s largest industrialized countries.
– Canadian retail sales index on a monthly basis in the month of March.
Speech by US Central Bank Governor Jerome Powell.
Speech by European Central Bank President Christine Lagarde.
Technical Analysis
Dollar Index – 1 Hour Timeframe
The resistance levels around 103.60 points, which we mentioned yesterday, succeeded in stopping the price’s upward push today, Friday, for the index to trade around it in a weak performance during the first hours of today’s trading.
Technically, we expect the index will decline in a corrective move to the previous bullish, targeting the support levels around 103.125 points.
Gold – 1Hour Timeframe
The yellow metal continued its decline, reaching its lowest level in the last 7 weeks, after breaking the main support area at $1972.50.
Technically, gold rebounded slightly to the upside this Friday morning from the bottom of 1951.90, in a corrective movement that may extend today to the 100-hour moving average area, near the price of $1992.10, in the event of a breach of the $1975.10 resistance.
US Dow Jones – 1 Hour Timeframe
the Dow Jones Industrial index rushed to higher levels of support around 33,270 points, forming a positive price Action that supports the rise, breaching the resistance levels around 33500 points.
Technically, according to the index’s slight decline at the beginning of today’s trading, we expect the index will decline around the support level 33500 trying to retest those levels, then a positive price Action will form, and the index will return to rise and target the resistance levels around 33760 points.
US Crude Oil – 1 Hour Timeframe
Oil is still on the upper side during the week and buyers are trying to control the prices and continue above $72.00.
Technically, oil is trading above the 200-hour moving average, in a slow move towards the upside, forming support around $71.56, we expect more Bullishness today to test $73.30 again.
Bitcoin – 1 Hour Timeframe
Bitcoin prices decline after rebounding from the top of $27,500, to close below $27,000.
Technically, the digital currency Bitcoin is trading below the 200-hour moving average and the 38% Fibonacci retracement area around 27058, which constitutes a resistance area that may be tested again today, before resuming the downside trend and testing the support levels around 26,350 USD.
EUR/USD – 4 Hour Timeframe
The euro against the US dollar continued its decline today, Friday, and its sharp slide, supported by the recovery of the US dollar, and stopped today around the support levels of 1.0770.
Technically, we expect the pair to rise today in a corrective movement around the resistance levels of 1.08500, especially in the case of the price close above the levels of 1.0770, which we expect the correction to end around.
GBP/USD – 1 Hours Timeframe
The (GBP/USD) pair is trading near 1.2400 levels, before US Federal Reserve Chairman Jerome Powell’s speech today, Friday.
Technically, we expect the correction to continue upwards towards the 100-hour moving average, as long as it breaches the 38% Fibonacci area and the resistance of 1.2471, before returning to decline again towards 1.2300.
GBP/JPY – 1 Hour Timeframe
The resistance levels around 172 yen succeeded in stopping the ( GBP / JPY) pair’s rush, bouncing down from it, and trading today around the support levels 171.50, coinciding with that, trading below the 40-day average.
Technically, we expect a further decline on the pair, targeting support levels around 171.00, and in case of a break, we target the next support around 170.45
USDCHF- 1 Hour TimeFrame
The dollar against the Swiss franc started to decline with the first hours of trading today, Friday, as the resistance levels around 0.9050 succeeded in stopping the price’s upward push.
Technically, due to the price’s decline below the resistance levels around 0.9050, we expect the USDCHF pair will decline today for a correction, targeting the support levels around 0.9015.
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USDJPY- 1Hours TimeFrame
The ( USD/JPY) pair continued to rise for the sixth consecutive day, before rebounding from the upside of 138.75 at midnight on Friday.
Technically, we expect the sellers will control the US dollar against the yen today, in a bearish corrective move towards the 100-hour moving average, near 137.00 and the 38% Fibonacci retracement area, before resuming the upward movement again.
