US100 Index +20% year to date and they’re talking about a financial “crisis”

Skilling Writers Team
2023-04-04
- Trading
- News

Market Talk

Inflation remains a concern but labor market remains robust; the “people” keep on spending regardless of the banking “crisis”

U.S. Industry Sector top 5 and bottom 5 year to date performance :

Sector Indices	Year to Date % Move
U.S. Automobiles Index	44.70%
U.S. Automobiles & Parts Index	39.46%
U.S. Semiconductors Index	34.35%
U.S. Semiconductors Total Stock Market Index	33.97%
U.S. Travel & Tourism Index	28.70%
U.S. Aluminum Index	-8.14%
U.S. Life Insurance Index	-13.45%
U.S. Banks Index	-13.45%
U.S. Banks Total Stock Market Index	-14.31%
U.S. Full Line Insurance Index	-15.82%

We live in strange times

The automotive and travel industries record major gains while a banking “crisis” plays in the background
Data as of April-04-2023 7:00 am UTC

Today’s Economic Events

Reserve Bank of Australian (RBA) made no change in its interest rate policy; the rate held at 3.6%

AUD/USD falls after RBA gave no clue about forward guidance

US Job Openings and Labor Turnover Survey (JOLTs) expected to show a slight drop

High price action across USD assets expected upon today’s JOLTS report release
The JOLTs report looks at the demand for labor via job advertisement data to indicate if companies have jobs to fill, trends in the job openings across the US

Time: UTC	Country/Region	Economic Indicator	Previous	Forecast	Actual	Units
4:30:00 AM	Australia	Interest Rate	3.6	3.6	3.6	%
9:00:00 AM	Euro area	PPI m/m	-2.8	-0.4	-	%
9:00:00 AM	Euro area	PPI y/y	15	13.2	-	%
2:00:00 PM	United States	Factory New Orders	-1.6	-0.5	-	%
2:00:00 PM	United States	Factory Orders ex-transport	1	-	-	%
2:00:00 PM	United States	JOLTS job openings level	10,824	10,500	-	k

Capitalise on volatility in index markets

Take a position on moving index prices. Never miss an opportunity.

Tactical Trading Ideas & Commentary

Euro Stoxx 50 Index approaching 2021 highs

Euro Stoxx 50 index

Current price is in a multi-month uptrend, this can be technically supported from higher tops and higher bottoms on price (daily chart), moving average analysis is bullish since current price is above its 200, 50 and 20 day moving averages. Momentum analysis is bullish since MACD and RSI remain above their respective signal lines. Upside prospects for an extension towards 4,460 can not be ruled out provided price can remain within the longer term upward price channel (see chart 2) in the short term (14-25 days).

GBP / USD bullish conditions remain above key resistance

Current price facing key resistance at 1.2450 (see chart 3). Upon a potential break above 1.2450 eyes on the 1.2620 area as next upside resistance level; downside support below the very short term support at 1.2230 could trigger a fast move towards 1.2045 as a potential downside corrective move objective before the prospects of a resumption of the prevailing multi-month uptrend.