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
EUR/USD
Mixed
Oil - US Crude
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
Wall Street
Bearish
Gold
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
GBP/USD
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
USD/JPY
Mixed
More View more
Real Time News
  • The US Dollar is losing ground against ASEAN FX, with USD/SGD and USD/IDR possibly readying to extend declines. Will USD/PHP and USD/MYR follow? Find out from @ddubrovskyFX here: https://t.co/l705RWumj5 https://t.co/jBbMKYp0F5
  • There are many different types of forex orders, which traders use to manage their trades. While these may vary between different brokers, there tends to be several basic FX order types all brokers accept. Learn about different FX order types here: https://t.co/lIJdiz4xSz https://t.co/YUhC9cCDpy
  • The US Dollar has spent much of October giving back September’s gains. Is there any hope for change? Get your #currencies update from @JStanleyFX here: https://t.co/3EHa6PV5yH https://t.co/PrP9J2klJk
  • Traders utilize varying time frames to speculate in the forex market. The two most common are long- and short-term-time frames which transmits through to trend and trigger charts. Learn more about time-frame analysis here: https://t.co/UalZ8cRSXB https://t.co/wDVd2QvcjO
  • The longer-term EUR/USD outlook will hinge on Thursday’s ECB guidance; any hint of a further easing of Eurozone monetary policy would weaken it, but that is far from guaranteed. Get your #currencies update from @MartinSEssex here: https://t.co/RmHCfIwdqp https://t.co/hvETa6mtft
  • Traders tend to overcomplicate things when they’re starting out in the forex market. This fact is unfortunate but undeniably true. Simplify your trading strategy with these four indicators here:https://t.co/A4dqGMPylo https://t.co/M8WTvZgx2K
  • The Australian Dollar was under selling pressure this past week, but it held its ground. Bearish patterns brew in AUD/USD and AUD/JPY. Will EUR/AUD, GBP/AUD try to break higher again? Get your #currencies update from @ddubrovskyFX here: https://t.co/04kzJSqgNG https://t.co/ulPk1UneMM
  • Stocks are set to endure a string of data releases with market-moving potential in the week ahead in the form of tech earnings, European GDP and more, even as the US Presidential election clamors for the spotlight. #equities update from @PeterHanksFX here https://t.co/R6tpEvfXJb https://t.co/7koHTyh2AK
  • As we round our way towards a new week, Cable is within the confines of a bullish structure with beginnings back in September. Get your #currencies update from @PaulRobinsonFX here: https://t.co/NIbRTVmjqq https://t.co/zYma4Iq4dP
  • Myth or fact? One thing is for sure, there are a lot of misconceptions about trading. Knowing the difference between common trading myths and the reality is essential to long-term success. Find out about these 'myths' here: https://t.co/UGhbX6kn3H https://t.co/NE2RB1NT55
Crude Oil Price Drop May Speed Up as US-China Trade War Sizzles

Crude Oil Price Drop May Speed Up as US-China Trade War Sizzles

2019-08-05 05:00:00
Ilya Spivak, Head Strategist, APAC
Share:

GOLD & CRUDE OIL TALKING POINTS:

  • Crude oil prices down with stocks on US-China trade war escalation
  • Gold prices probing six-year high as bond yields fall in risk-off trade
  • S&P 500 futures hint risk-off push to continue, services ISM data due

Crude oil prices fell alongside stocks amid signs of deepening US-China trade war escalation in Asia Pacific trade. The WTI benchmark suffered the largest drop in 4 years last week after US President Trump announced a 10 percent tariff hike on $300 billion in Chinese imports, effective September 1.

A brief correction Friday has given way to renewed selling at the start of the new trading week after China retaliated by weakening the Yuan past the telltale 7.00 level against the US Dollar. Beijing went to say it has asked state-owned enterprises to cease importing US agricultural products.

S&P 500 futures are pointing sharply lower before Wall Street comes online, hinting that liquidation will continue. That bodes ill for the spectrum of assets anchored to the global business cycle. Energy falls squarely within this category, suggesting that oil has room to extend downward.

GOLD PRICE GAINS MAY BE LIMITED AS ISM DATA COOLS FED RATE CUT BETS

Gold prices are pushing higher as trade tensions dominate the spotlight, touching the highest level in over six years. Investors’ downbeat mood has driven bond yields lower as capital flows to the safety of government debt, boosting the relative appeal of non-interest-bearing alternatives like the yellow metal.

More of the same may be in the cards if risk-off momentum is sustained. A pickup in the pace of US service-sector activity growth expected to be reported in July’s ISM Non-manufacturing survey may be seen as limiting scope for Fed easing however, putting a floor below rates and limiting gold gains.

Get the latest crude oil and gold forecasts to see what will drive prices in the third quarter!

GOLD TECHNICAL ANALYSIS

Gold prices are probing above the July 19 high at 1452.95. An upside break confirmed on a daily closing basis exposes the 38.2% Fibonacci expansion at 1470.68 next. Immediate support is at the $1400/oz figure, followed by a dense support block running from 1375.15 down to 1346.75.

Gold price chart - daily

Gold chart created using TradingView

CRUDE OIL TECHNICAL ANALYSIS

Crude oil prices hit a wall after correcting higher to retest support-turned-resistance in the 54.72-56.09 area. Renewed selling from here sees initial support clustered around the $50/bbl mark. Alternatively, a daily close above 56.09 targets back-to-back trend line and inflection zone resistance capped at 60.84.

Crude oil price chart - daily

Crude oil chart created using TradingView

COMMODITY TRADING RESOURCES

--- Written by Ilya Spivak, Currency Strategist for DailyFX.com

To contact Ilya, use the comments section below or @IlyaSpivak on Twitter

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

DISCLOSURES