Market Brief Series / EP. 489 / 22 Feb. 2019
Overall there is strength in the JPY and USD, with minor strength in EUR, GBP, and CHF. Weakness in the CAD, AUD and NZD.
Oil prices slipped on Friday in Asia amid new production data from the U.S. Energy Information Administration (EIA).
Gold prices were little changed on Friday in Asia as traders weighed the latest positive trade news and a set of weak U.S. data.
USD managed to firm up, booted by higher Treasury yields. Also, lower-than-expected initial jobless claims and higher Services PMI figures helped to offset impact brought by below-consensus Philadelphia Federal Business Outlook index, durable goods orders and existing home sales.
GBPUSD to trade range bound owing to lack of directional bias but headlines points to a possibility of the bearish breakout in near future.
EUR/USD keeps bouncing off the immediate support at 1.1320 but remains capped by the descending 50-period moving average. RSI is yet to recover the neutrality level of 50, indicating a lack of upward momentum for the pair. Unless the key resistance at 1.1370 is surpassed, intraday bearishness persists, and a break below 1.1320 would trigger a further decline toward 1.1280.
On the data slate there’s German GDP; Switzerland Industrial Production; German IFO – Business Climate, Expectations & Current Assessment; Euro-Zone CPI; UK CBI Distributive Trades Survey; US Fed Monetary Policy Report; US Fed’s Williams Speech; Euro-Zone ECB’s President Draghi Speech; US Fed’s Clarida Speech; US Baker Hughes US Oil Rig Count; US Fed’s Quaries Speech; US Fed’s Bullard Speech and US Fed’s Williams Speech.
Today Trading Plan
SELL EUR/USD @ 1.1350 OR BETTER – STOP @ 1.1380 – TARGET @ 1.1250
SELL GBP/USD @ 1.3060 OR BETTER – STOP @ 1.3120 – TARGET @ 1.2970
BUY USD/JPY @ 110.60 OR BETTER – STOP @ 110.10– TARGET @ 111.50
SELL CL0419 @ 57.10 OR BETTER – STOP @ 57.80 – TARGET @ 56.00
SELL AUD/USD @ 0.7110 OR BETTER – STOP @ 0.7160 – TARGET @ 0.7030
SELL XAU @ 1326 OR BETTER – STOP @ 1333 – TARGET @ 1315
SELL XAG @ 15.90 OR BETTER – STOP @ 16.40– TARGET @ 15.05