Market Talk
The buck stopped as US inflation data missed expectations i.e. lower inflation outlook.
What’s the US Fed going to do next? Increase rates or hold?
Since the start of 2023, the US dollar index has been lower while precious metals, energies, and stock markets are higher.
Can cross-asset prices be signaling that the Fed’s next move is no move at all?
Bottom line: Price is a leading indicator, all else follows.
Trade safe.
The chart illustrates the relative percentage performance of the US dollar index vs gold, Brent crude, and the SPX500 index.
Today’s Economic Events
Sweden's inflation printed a lower reading;
- SEK strengthens against the USD after Sweden’s inflation rate came in below forecast
Earnings Season
On deck today:
Today’s trading bullets
Gold price near all-time high:
- Gold: price continues to trend after the break above the $2,034 resistance which seems to add further support for the prevailing multi-month trend to resume. Next key resistance spotted around the $2,070s (all-time high $2,075.5). Downside key short term support (14-25 days) at $1,935.
US30 continues to trend higher:
- Dow 30: Don’t mind all the lines on the chart, they are moving averages, and what they indicate is that current price is above its very short term (5-13 days), short term (14-25 days), near term (26-49 days), intermediate term (50-100 days) and long term (100-200 days) moving averages. Upside prospects for a test at the 52 weeks highs near 35,492. Downside risk spotted below 32,882.
Bottom line: the US30 is bullish across all time frames.
Capitalise on volatility in Forex markets
Take a position on moving Forex prices. Never miss an opportunity.
Not investment advice. Past performance does not guarantee or predict future performance.
