News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
EUR/USD
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Oil - US Crude
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Wall Street
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Gold
Mixed
GBP/USD
Mixed
USD/JPY
Bearish
More View more
Real Time News
  • NY Fed's GDP Nowcast model sees US Q1 GDP at 6.9% vs. 6.78% in prior week. #Fed $USD
  • Hey traders! Wrap up your week with a market update from @DailyFX Chief Strategist @JohnKicklighter 👇 https://t.co/zOiAQGMNzY
  • $EURGBP has strengthened today, rising back above the 0.8700 level for the first time in a week. The pair is trading near the highs set in mid April and late February. $EUR $GBP https://t.co/RSkMhvLQEQ
  • Forex Update: As of 14:00, these are your best and worst performers based on the London trading schedule: 🇪🇺EUR: 0.31% 🇦🇺AUD: 0.29% 🇨🇦CAD: 0.10% 🇬🇧GBP: 0.06% 🇨🇭CHF: 0.06% 🇯🇵JPY: -0.11% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/OODkBySEaS
  • Indices Update: As of 14:00, these are your best and worst performers based on the London trading schedule: US 500: 0.66% Wall Street: 0.42% FTSE 100: -0.13% France 40: -0.28% Germany 30: -0.46% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/0PTPoUF2Jz
  • #Gold has slipped to its lowest level since Tuesday today. After meeting resistance around 1,795 this morning, the precious metal fell back to trade near the 1,770 level. $XAU $GLD https://t.co/tOiSk0n6t5
  • Biden’s proposed tax hike sees investors unload profitable assets. Bitcoin intensifies losses, falls below $50,000. Get your $btc market update from @Daniela here:https://t.co/pkHFvFotbz https://t.co/1R7T4HpfQX
  • With the US data beating expectations, we have all of the major developed world economies reporting April PMIs with a significant improvement in economic activity for the current month. Seems only black swans and regulations can stop the train now... https://t.co/HpOW5ul5YW
  • Commodities Update: As of 14:00, these are your best and worst performers based on the London trading schedule: Oil - US Crude: 0.92% Gold: -0.24% Silver: -0.29% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/ck2iRms5Hp
  • Heads Up:💶 ECB President Lagarde Speech due at 14:30 GMT (15min) https://www.dailyfx.com/economic-calendar#2021-04-23
Gold Rises on Short-Covering; Copper and Risk Leap at Upbeat China PMI

Gold Rises on Short-Covering; Copper and Risk Leap at Upbeat China PMI

Nathalie Huynh,

Talking Points:

  • Bearish trades dominate oil due to signs of unabated glut prior to OPEC meeting
  • Copper elevates and risk sentiment picks up after decent China PMIs
  • Gold bounces a second day on short-covering and a retreat of US dollar

Commodities rebounded today, led by gold and copper, undeterred by a slightly softer than expected official China Manufacturing PMI. This was likely due to a strong Markit/Caixin Manufacturing PMI, released shortly after the official data, which exceeded both forecast and last month’s figure.

Gold price bounced up overnight to a 1.42 percent gain in the Asian morning, as investors covered their short positions and US dollar retreated from its 8-month high. Speculators are holding record short positions in COMEX gold in anticipation of a looming U.S. interest rate rise. The occasional short-squeeze due to exceedingly low prices resulted in buying interests, which supported gold above 6-year low of 1052.83.

Oil price recovered up to 41.99 together with the rest of commodities after it twice dipped to 41.50, a tad short of November support level at 41.21. Prices will likely stay under pressure as traders increased bearish bets on an unabated oil glut, ahead of OPEC’s semi-annual meeting on December 4.

Signs of a delay in OPEC’s planned production curtail do not bode well for oil price. In contrast, the group is reportedly considering an increase of its production ceiling to include returning member Indonesia. Talks with non-OPEC members is not fruitful either.

Copper price was the second best performer, up over 1 percent even as it formed an inside day within yesterday’s band. Market seems to conclude that China remains in a good spot after today’s conflicting data. Manufacturing Purchasing Manager Index published by Bureau of Statistics was slightly soft, while the Markit/Caixin figure (the most watched) improved from last month and forecasted.

GOLD TECHNICAL ANALYSIS – Gold price bounced back up toward the 20-day moving average and resistance at 1079.9, after its declines halted ahead of 6-year low at 1052.8. All signs point to higher rebound, although it remains under pressure overall. Range traders could play the range before Non-farm Payrolls data release this Friday.

Gold Rises on Short-Covering; Copper and Risk Leap at Upbeat China PMI

Daily chart - Created Using FXCM Marketscope

COPPER TECHNICAL ANALYSIS – Copper price sticks to the upper area of 2.0395 short-term support level that we pointed out before. Intraday prices and momentum are both biased to the upside. Any lower extension during European or US time zone today may just be another test of support. Nevertheless, the rebound of copper price remains at a gradual pace.

Gold Rises on Short-Covering; Copper and Risk Leap at Upbeat China PMI

15-minuteChart - Created Using FXCM Marketscope

CRUDE OIL TECHNICAL ANALYSIS Despite today’s recovery, WTI oil is on a 4th day of declines from its recent top at 43.46. Downward momentum is building up, an indication of lower price moves in the near-term. Again, range trades prevail here and traders could play the downturn up until OPEC meeting.

Gold Rises on Short-Covering; Copper and Risk Leap at Upbeat China PMI

Daily Chart - Created Using FXCM Marketscope

--- Written by Nathalie Huynh, Currency Strategist for DailyFX.com

Contact and follow Nathalie on Twitter: @nathuynh

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES