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
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
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
Gold
Mixed
GBP/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
USD/JPY
Mixed
More View more
Real Time News
  • Trading Forex is not a shortcut to instant wealth, excessive leverage can magnify losses, and sentiment is a powerful indicator. Learn about these principles in depth here: https://t.co/lZFM8youtX https://t.co/p9Pkkbo2zf
  • The docket thins out over the coming week, but there are a few serious market highlights that can make for some interesting opportunities in the week ahead. $GBPUSD has the technical chops and fundamental confluence (US CPI, UK GDP, etc) https://www.dailyfx.com/forex/video/daily_news_report/2021/05/08/Dollar-Tumbles-Dow-Hits-Record-Highs-and-Dogecoin-Traders-Tune-In.html https://t.co/BMUQ0xVOge
  • 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/nBfJcptUDK
  • Dogecoin continues to trade higher with explosive energy, attesting to the cryptocurrency's new clout. Meanwhile, Bitcoin and Ethereum sink. Get your market update from @FxWestwater here:https://t.co/ohw714KqB2 https://t.co/EWxKoQykv1
  • Natural gas prices moved higher, capturing a long-term trendline that could support the heating commodity's price in the coming weeks as colder temps support fundamental side. Get your market update from @FxWestwater here:https://t.co/tGUDJE9hn0 https://t.co/nROsrJa1sv
  • The Euro may fall against the US Dollar amid a historically strong month for the Greenback and relative bond yield spreads. EUR/USD appears to be eyeing bearish technical warning signs. Get your $EURUSD market update from @ddubrovskyFX here:https://t.co/njTDk8Ehoi https://t.co/w4II63utz1
  • The US Dollar is still struggling against most ASEAN currencies. USD/SGD remains downside-focused despite recent gains. USD/THB is eyeing a triangle. USD/IDR and USD/PHP may point lower. Get your market update from @ddubrovskyFX here:https://t.co/6Nvvmz8h6d https://t.co/TYsfOXHrro
  • (Weekly Fundamental) Australian Dollar Outlook: AUD/USD May Rise on Dovish Fed Speak After Huge NFP Miss #AUD $AUDUSD https://www.dailyfx.com/forex/fundamental/forecast/weekly/aud/2021/05/07/Australian-Dollar-Outlook-AUDUSD-May-Rise-on-Dovish-Fed-Speak-After-Huge-NFP-Miss.html?CHID=9&QPID=917702&utm_source=Twitter&utm_medium=Dubrovsky&utm_campaign=twr https://t.co/L9pERwjTqh
  • Bitcoin is struggling to extend April’s bounce while Ethereum and Litecoin are exhibiting signs of momentum exhaustion. What are key technical levels to watch for ahead? Find out from @ddubrovskyFX here:https://t.co/PnZId4xOh2 https://t.co/ZTYoxdBxLl
  • The Indian Rupee has been rising despite a surge in local Covid cases, owing to rising yields amid a temporary flood of US Dollars into the banking system. INR remains at risk, eyeing CPI data. Get your market update from @ddubrovskyFX here:https://t.co/6r7hahVtx4 https://t.co/a0z46Q0Mn4
S&P 500 Falls With Stimulus Hopes, ASX 200 Gains as RBA Touts Easing

S&P 500 Falls With Stimulus Hopes, ASX 200 Gains as RBA Touts Easing

Margaret Yang, CFA, Strategist

S&P 500, ASX 200 INDEX OUTLOOK:

  • S&P 500 index ignored strong bank earnings amid stalling fiscal stimulus talks
  • Australian shares climbed, boosted by RBA’s dovish gesture and less-dismal jobs report
  • ASX 200 index looks set to break a key resistance level at 6,200. The Australian Dollar fell
Advertisement

S&P 500 Index Outlook:

The S&P 500 index retreated for a second day on vanishing hopes that a fiscal stimulus deal can be inked before the US presidential election. Treasury Secretary Steven Mnuchin made it clear that the chances of a deal remained thin after several talks with House Speaker Nancy Pelosi. Nonetheless, Democratic presidential candidate Joe Biden continued to lead in the polls against Donald Trump with a wide gap, which may bring up hopes for a Democratic-led fiscal aid package as early as in Spring 2021.

Corporate earnings continued to deliver more positive surprises, which may help to cushion the downside of stock markets’ consolidation. Six out of eight S&P 500 constituents, which released their Q3 results on Wednesday, beat analysts’ forecasts (table below). It is worth noting that Goldman Sachs has smashed consensus EPS forecasts by 75%. Lower loan-loss provisions and strong trading performance helped to double the bank's quarterly profit from a year ago.

Morgan Stanley and Charles Schwab are among the major US companies to release earnings on Thursday, followed by Honeywell and Bank of New York Mellon on Friday.

Please add a description for the image.

Sector-wise, the majority of the S&P 500 sectors closed in the red, with more than 60% of the constituent companies falling on Wednesday. Industrial (+0.54%), materials (+0.35%) and energy (+0.31%) were leading, whereas consumer discretionary (-1.43%), communication services (-1.18%) and real estate (-1.16%) were lagging.

S&P 500 Index Sector Performance 14-10-2020

S&P 500 Falls With Stimulus Hopes, ASX 200 Gains as RBA Touts Easing

Source: Bloomberg, DailyFX

Technically, the S&P 500 index appeared to have entered into a minor correction after hitting a six-week high of 3,549 on Tuesday. Given strong upward momentum observed recently, however, the S&P 500 may regain strength after brief consolidation. Immediate support levels can be found at 3,469 (23.6% Fibonacci retracement) and then 3,420 (38.2% Fibonacci retracement) as shown in the chart below.

S&P 500 IndexDaily Chart

S&P 500 Falls With Stimulus Hopes, ASX 200 Gains as RBA Touts Easing

ASX 200 Index Outlook:

Asia-Pacific stocks look set to open broadly lower with the exception of Australian markets. The ASX 200 index rallied after RBA Governor Philip Lowe signaled further easing measures to bring down the long-end government bond yields. Australia’s unemployment rate came in at 6.9%, better than the economists’ forecast of 7.0%. The Australian Dollar fell against its major G10 peers on Thursday morning.

Technically, ASX’s upward momentum seems to be gaining traction with the help of a weakening currency. The index is challenging majors resistance at 6,200 – a level it attempted a few times in the past four months without a success. This time could be different with the help from RBA. A meaningful breakthrough above 6,200 will likely open room for further gains with an eye on 6,525 – the 76.4% Fibonacci retracement in the weekly chart below.

ASX 200 Index Daily Chart

S&P 500 Falls With Stimulus Hopes, ASX 200 Gains as RBA Touts Easing

ASX 200 Index Weekly Chart

S&P 500 Falls With Stimulus Hopes, ASX 200 Gains as RBA Touts Easing

--- 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