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
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
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
Bearish
GBP/USD
Bullish
USD/JPY
Bearish
More View more
Real Time News
  • Many people are attracted to forex trading due to the amount of leverage that brokers provide. Leverage allows traders to gain more exposure in financial markets than what they are required to pay for. Learn about FX leverage here: https://t.co/BdgFmkzWwW https://t.co/9j004hyzUZ
  • Learning how to trade does not have to feel foreign. Hone your skills and build your confidence with free DailyFX guides today! https://t.co/lnxaQOsgid https://t.co/7myL4vGnt8
  • Using margin in forex trading is a new concept for many traders, and one that is often misunderstood. Margin is the minimum amount of money required to place a leveraged trade and can be a useful risk management tool. Learn about margin trading here: https://t.co/qZCE5asCzM https://t.co/yxE0OmLIP0
  • Entry orders are a valuable tool in forex trading. Traders can strategize to come up with a great trading plan, but if they can’t execute that plan effectively, all their hard work might as well be thrown out. Learn how to place entry orders here: https://t.co/1mnOXUd00T https://t.co/iSrjZTeWwf
  • 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/WeLInepZiD https://t.co/7B0KI8HehW
  • GDP (Gross Domestic Product) economic data is deemed highly significant in the forex market. GDP figures are used as an indicator by fundamentalists to gauge the overall health and potential growth of a country. Learn use GDP data to your advantage here: https://t.co/Yl9vM73cHA https://t.co/vGW5BygTXU
  • When it comes to buying and selling forex, traders have unique styles and approaches. Learn about buying and selling forex here: https://t.co/xngExEdFdu https://t.co/kqpJ6oGXgt
  • 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/F4dXbUzU3o https://t.co/G0ZWWVtSrZ
  • Risk management is one of the most important aspects of successful trading, but is often overlooked. What are some basic principles or risk management? Find out from @PaulRobinsonFX here: https://t.co/IsnpfIZNKr https://t.co/5js6tWk5bY
  • The Euro has regained lost ground against its major counterparts recently. Are further gains in the offing or is this just a short-term countertrend correction? EUR/USD, EUR/JPY, EUR/GBP, EUR/NZD key levels. Get your market update from @DanielGMoss here:https://t.co/Z71MZEIJWC https://t.co/YAr1kN4eKd
Nasdaq 100 Soars, but Asia-Pacific Stocks Fail to Catch Up. Gold Rises

Nasdaq 100 Soars, but Asia-Pacific Stocks Fail to Catch Up. Gold Rises

Margaret Yang, CFA, Strategist

NASDAQ, ASX 200 INDEX, GOLD PRICE OUTLOOK:

  • The Nasdaq Composite extended its record-scrapping journey, but RSI signals overbought
  • The ASX 200 Index fell on Wednesday, oscillating around a key resistance at 6,100
  • Gold prices rebounded to US$ 1,930 as the US Dollar fell. Immediate support at US$ 1,910

Nasdaq 100 Index Outlook:

The Nasdaq 100 index shrugged off weaker-than-expected US consumer confidence data overnight and extended its record-scrapping rally. Similarly, the S&P 500 index also hit a fresh high. Despite these, the Dow Jones Industrial Average closed mildly lower. The US indices are looking overstretched from both a valuation and a technical point of view, rendering them vulnerable to a technical pullback should sentiment turn sour.

This might help to explain the cautious sentiment across the Asia-Pacific stock markets today, with Australia’s ASX 200 index and Singapore’s Straits Times Index trading lower. Hong Kong’s Hang Seng index failed to catch up with the US rally and struggled to hold gains. The Shanghai and Shenzhen Composite are both in red.

Sector-wise in the S&P 500, communication services (+0.97%), healthcare (+0.70%) and consumer discretionary (+0.53%) were doing the heavy lifting, whereas energy (-1.42%), utilities (-0.92%) and materials (-0.32%) were lagging.

S&P 500 Index Sector performance 25-8-2020

Nasdaq 100 Soars, but Asia-Pacific Stocks Fail to Catch Up. Gold Rises

Source: Bloomberg, DailyFX

Technically, the Nasdaq 100 is riding an ascending trend (chart below), with its 20-, 50- and 100-Day Simple Moving Average (SMA) lines trending upward nicely. The RSI indicator has further stretched beyond the overbought level of 70, suggesting strong upward momentum but also calling for a potential technical correction. Immediate support levels in the Nasdaq could be found at around 11,300 -the 20-Day Simple Moving Average (SMA).

Nasdaq IndexDaily Chart

Nasdaq 100 Soars, but Asia-Pacific Stocks Fail to Catch Up. Gold Rises

ASX 200 Index Outlook:

Australia’s ASX 200 stock benchmark opened sharply lower on Wednesday despite another record session in the Wall Street. Asia-Pacific investors are probably getting increasingly skeptical about the tech-driven rally and thus doubt its sustainability. Australia recorded 151 new Covid-19 cases over the past 24 hours, higher than the previous session’s number of 121.

Technically, the ASX 200 index has retraced back to the ‘Ascending Triangle’ as shown in the chart below. It is now facing an immediate resistance level at 6,100 – the upper bound of the triangle. ‘Range-bound’ might be the status quo for now.

ASX 200 Index Daily Chart

Nasdaq 100 Soars, but Asia-Pacific Stocks Fail to Catch Up. Gold Rises

Gold Price Outlook:

A soft US Dollar is sending gold prices higher on Wednesday. Asia-Pacific equity markets failed to follow the US indices higher, signaling a ‘risk off’ sentiment that propelled precious metal prices. The mid- to long-term prospect for gold remains bullish, underpinned byUS presidential election uncertainties, US-China trade frictions and ultra-loose monetary conditions.

Technically, gold prices have likely formed a ‘lower high’ as it failed to break through the all-time high seen in early August. Its near-term momentum is likely to remain weak, making room for more consolidation below the US$ 2,000 mark. Gold prices have found strong support at around US$ 1,910 – the 61.8% Fibonacci retracement. An immediate resistance level could be found at around US$ 1,940 – the 50% Fibonacci retracement.

Gold Price Daily Chart

Nasdaq 100 Soars, but Asia-Pacific Stocks Fail to Catch Up. Gold Rises
Building Confidence in Trading
Building Confidence in Trading
Recommended by Margaret Yang, CFA
Don’t give into despair, make a game plan
Get My Guide

--- Written by Margaret Yang, Strategist for DailyFX.com

To contact Margaret, use the Comments section below or @margaretyjy on Twitter

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

DISCLOSURES