New contracts will automatically be rolled over as follows:
Please note:
• The rollover will be automatic, and any existing open positions will remain open.
• Positions that are open on the expiration date will be adjusted via a rollover charge or credit to reflect the price difference between the expiring and new contracts.
• To avoid CFD rollovers, clients can choose to close any open CFD positions prior to the expiration date.
• Please ensure that all take-profit and stop-loss settings are adjusted before the rollover occurs.
• All internal transfers for accounts under the same name will be prohibited during the first and last 30 minutes of the trading hours on the rollover dates.
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U.S. nonfarm payrolls report is the focal point for Friday.
Weak jobs report expected to be positive for gold prices; strong data could negatively affect gold.
The article analyzes the short-term technical outlook for gold.
Federal Reserve maintains policy settings but abandons tightening bias.
Rate cut possibility in March remains uncertain, depending on incoming data.
January U.S. employment report of high significance with expectations of 180,000 added workers.
Lackluster nonfarm payrolls could bring back March rate cut talks, benefiting gold.
Strong NFP figures could reduce dovish sentiments on Fed’s policy, leading to potential pressure on gold in February.
STOCK MARKET:
Market Recovery: Stocks experienced a rebound on Thursday, recovering from the previous day’s significant losses, in anticipation of major tech companies’ earnings reports.
S&P 500, Dow Jones, and Nasdaq Performance: The S&P 500 increased by 1.2%, the Dow Jones Industrial Average by nearly 1%, and the Nasdaq Composite led the gains with a 1.3% rise.
Federal Reserve’s Influence: The Federal Reserve’s potential rate changes were a central focus, with Fed Chair Jerome Powell indicating a less likely rate cut in the March meeting, against earlier investor expectations.
Tech Giants’ Earnings Spotlight: Post-market earnings announcements from Apple, Amazon, and Meta (part of the “Magnificent Seven”) significantly influenced market sentiments.
Meta’s Surge: Meta’s shares surged over 12% after it exceeded earnings expectations, announced a $50 billion share buyback, and declared a $0.50 cash dividend.
Amazon’s Positive Outcome: Amazon’s stock also saw gains, rising more than 4% after reporting better-than-expected fourth-quarter earnings and providing an optimistic future outlook.
Apple’s Mixed Results: Apple’s revenue beat expectations, but concerns about slowing sales growth in China affected its stock performance ahead of the earnings call.
Contrast with Earlier Tech Earnings: This positive shift contrasted with disappointing earnings from Microsoft and Alphabet earlier in the week, which had negatively impacted their stock prices.
Upcoming Economic Data: Investors are also looking forward to January’s job market data, with the nonfarm payrolls report due on Friday.
We’ll be speaking at BrokersView Expo Dubai 2024, a premier global event converging top resources from the financial sector and fintech communities. Gain invaluable insights, strategies, and networking opportunities tailored for financial investors and industry leaders. We look forward to meeting you there!
Venue: Conrad Hotel, Dubai, United Arab Emirates
Date: April 16 2024
Time: 1:25 – 1:40PM (GMT+4)
Please note that the dividends of the following products will be adjusted accordingly. Index dividends will be executed separately through a balance statement directly to your trading account, and the comment will be in the following format “Div & Product Name & Net Volume ”.
Please refer to the table below for more details:
The above data is for reference only, please refer to the MT4/MT5 software for specific data.
If you’d like more information, please don’t hesitate to contact [email protected].
In a remarkable turnaround from its recent downturn, the Dow Jones Industrial Average surged 369.54 points to close at a record 38,519.84, buoyed by the Federal Reserve’s decision to keep interest rates unchanged, contrary to speculations of a possible cut in March. This 0.97% increase was mirrored by gains in the S&P 500 and the Nasdaq, climbing 1.25% and 1.3% respectively, propelled by robust earnings from tech giants like Apple and Amazon. The market’s recovery reflects a recalibration of investor expectations following Federal Reserve Chair Jerome Powell’s remarks, which tempered hopes for imminent rate cuts. Despite the upbeat performance, underlying economic concerns persist, with falling bond yields and anticipation building for the upcoming jobs report. Meanwhile, currency markets saw notable movements, with the USD Index dipping and the EUR/USD pair recovering, as investors also monitored other major currencies and commodities, setting the stage for a day rich in economic data releases.
Stock Market Updates
On Thursday, the Dow Jones Industrial Average rebounded, recovering from a recent sell-off as the Federal Reserve opted to maintain interest rates, dispelling expectations of an imminent cut in March. The Dow surged by 369.54 points, or 0.97%, achieving a new record close at 38,519.84. Both the S&P 500 and the Nasdaq Composite also experienced gains, rising by 1.25% to 4,906.19 and 1.3% to 15,361.64, respectively. The positive momentum was attributed to strong earnings reports from major companies such as Apple, whose stock increased over 1%, and Amazon, which climbed 2.6%, contributing to the broader market recovery.
In the aftermath of a challenging session where the Dow recorded its worst day since December, Wednesday’s market decline was triggered by Federal Reserve Chair Jerome Powell’s comments, dashing hopes for a near-term rate cut. The poor performance led to a shift in investor sentiment, prompting a reassessment of expectations regarding the frequency of future rate cuts. Despite the recovery, concerns about the economy linger, with bond yields falling and the 10-year Treasury reaching a one-month low. Investors are now eagerly awaiting the first jobs report of the year, scheduled for release on Friday morning, as they seek further insights into the economic landscape.
On Thursday, the overall market witnessed a positive trend, with all sectors showing gains. The strongest performers were Consumer Discretionary, Consumer Staples, and Utilities, recording increases of 1.98%, 1.97%, and 1.88%, respectively. Real Estate and Industrials also exhibited notable growth with gains of 1.75% and 1.70%. The Information Technology and Health Care sectors saw moderate increases at 1.38% and 1.27%, while Communication Services showed a more modest gain at 0.88%. However, Financials experienced minimal growth with a mere 0.09% increase. The only sector to register a decline was Energy, which saw a slight decrease of 0.06% on Thursday.
Currency Market Updates
In the currency market updates, the USD Index (DXY) experienced a significant drop, testing the key support level of 103.00 and slipping below the crucial 200-day SMA. The focus for the upcoming Friday centers around the release of key economic indicators, including Nonfarm Payrolls for January, the Unemployment Rate, Factory Orders, and the final print of the Michigan Consumer Sentiment. Meanwhile, the EUR/USD pair rebounded from multi-week lows near 1.0780, supported by the dollar’s lackluster performance and the provisional 100-day SMA. On Friday, attention will turn to the ECB’s Survey of Professional Forecasters (SPF) as a notable release.
In other currency pair movements, GBP/USD showed a robust advance, surpassing the 1.2700 mark after the Bank of England maintained its policy rate. Investors anticipate potential rate reductions around Q3 2024. The USD/JPY pair faced renewed selling pressure, challenging the 146.00 support, driven by weakening US yields. Meanwhile, AUD/USD shrugged off some weekly bearishness, approaching the 0.6580 zone, with upcoming economic releases in Australia, including Home Loans and Investment Lending for Homes on Friday. In the commodities market, crude oil prices extended their decline below the $74.00 mark per barrel, testing the transitory 55-day SMA, while gold prices continued their uptrend, reaching new highs beyond $2060, and silver rebounded from the $22.50 zone after two consecutive sessions of losses.
Picks of the Day Analysis
EUR/USD (4 Hours)
EUR/USD Resilience Amidst Fed’s Policy Uncertainty and Labor Market Dynamics
In the face of a recent dip to a two-month low near 1.0780, EUR/USD showed resilience by rebounding beyond 1.0800, coinciding with the 100-day SMA. The USD Index (DXY) remained in a consolidative range post the latest FOMC event, where Powell indicated the Fed’s readiness to maintain the current policy rate for an extended period. Powell’s cautious stance and the uncertainty surrounding future rate decisions have fueled investor debates, with expectations of a potential interest rate cut in March or May. As the market awaits the US Nonfarm Payrolls report on February 2, a solid jobs print could solidify perceptions of a tight labor market, potentially supporting a May rate cut and, in the short term, bolstering the US dollar and yields.
On Thursday, the EUR/USD moved higher to reach the upper band of the Bollinger Bands. Currently, the price moving just below the upper band with wider bands, suggesting a potential upward movement to reach the resistance levels. Notably, the Relative Strength Index (RSI) maintains its position at 59, signaling a neutral but bullish outlook for this currency pair.
Resistance: 1.0907, 1.0985
Support: 1.0851, 1.0780
XAU/USD (4 Hours)
XAU/USD Surges to Weekly High of $2,065.54 Amidst Positive Economic Data and Fed’s Inflation Commentary
In response to the Federal Reserve’s recent announcement, Gold (XAU/USD) resumed its upward trajectory, reaching a fresh weekly high of $2,065.54. The financial markets, now looking beyond the Fed’s statement, are focusing on encouraging United States data, including an improvement in the ISM Manufacturing PMI to 49.1 in January. The economy’s resilience is further demonstrated by Q4 Nonfarm Productivity rising 3.2%, surpassing expectations. Wall Street turned positive, and government bond yields fell, placing additional pressure on the Greenback. As attention turns to the January US Nonfarm Payrolls (NFP) report, expectations are set for 180K new jobs added, with a modest increase in the Unemployment Rate to 3.8%. Fed Chairman Jerome Powell’s remarks about easing inflation and minimal unemployment pressure have contributed to the evolving market dynamics.
On Thursday, XAU/USD moved higher and was able to reach the upper band of the Bollinger Bands. Currently, the price moving slightly below the upper band, suggesting a potential upward movement to reach the resistance level. The Relative Strength Index (RSI) stands at 61, signaling a bullish outlook for this pair.
Please note that the dividends of the following products will be adjusted accordingly. Index dividends will be executed separately through a balance statement directly to your trading account, and the comment will be in the following format “Div & Product Name & Net Volume ”.
Please refer to the table below for more details:
The above data is for reference only, please refer to the MT4/MT5 software for specific data.
If you’d like more information, please don’t hesitate to contact [email protected].
In a significant market downturn, Federal Reserve chairman Jerome Powell’s indication of no rate cut in March resulted in the Dow Jones Industrial Average’s worst performance since December. Despite this, the Federal Reserve addressed concerns by removing a tightening bias statement. Notable stock movements included Alphabet’s 7% drop due to disappointing ad revenue, while Boeing’s shares climbed over 5%. Despite the overall downturn, January closed positively for major averages. Powell’s as-expected announcement on rate cuts left the dollar index exhibiting volatility, influenced by below-forecast U.S. economic indicators. Specific currency pair movements included USD/JPY rebounding and EUR/USD facing a decline driven by disappointing Eurozone data. Sterling experienced a drop ahead of the BoE meeting, hinting at a probable rate cut in May or June.
Stock Market Updates
Stocks experienced a significant decline as Federal Reserve chairman Jerome Powell indicated that the central bank was unlikely to cut rates in March. The Dow Jones Industrial Average dropped by 317.01 points, marking its worst performance since December, while the S&P 500 and Nasdaq Composite also saw substantial declines, with the former experiencing its worst day since September and the latter since October. Powell’s comments on the lack of confidence for a rate cut in March led to a session low for the major averages.
Despite the overall market downturn, the Federal Reserve did address traders’ concerns by removing the statement signaling a tightening bias, emphasizing that the policy rate might have reached its peak for the tightening cycle. Treasury yields fluctuated, with the 10-year yield trading around 3.9%. Notable stock movements included Alphabet’s over 7% drop, the worst since October 25, driven by disappointing ad revenue, while Boeing’s shares climbed over 5% due to quarterly results beating analyst estimates. Overall, the market’s monthly gains were impacted, but January still closed positively for all three major averages, with the S&P 500 adding 1.6%, the Dow advancing 1.2%, and the Nasdaq gaining 1%.
On Wednesday, a broad decline was observed across all sectors, with the overall market experiencing a downturn of -1.61%. Notably, Information Technology and Communication Services were the hardest hit, facing substantial losses of -2.11% and -3.93%, respectively. The negative trend extended to various industries, including Energy (-1.90%), Consumer Discretionary (-1.85%), and Financials (-1.22%). Sectors such as Health Care, Utilities, and Consumer Staples also saw minor decreases, contributing to the day’s overall bearish sentiment. Industrials, Materials, and Real Estate experienced moderate declines, emphasizing a widespread pullback in the market on this particular Wednesday.
Currency Market Updates
In response to an as-expected Fed announcement, the dollar index exhibited volatility in Wednesday’s trade. Fed Chair Jerome Powell refrained from committing to a schedule for rate cuts, leaving markets frustrated as they sought clarity on a potential move in March. Despite ending the FOMC’s tightening bias, Powell emphasized the need for upcoming data to confirm the sustainability of the disinflation trend and determine the timing of any easing. The dollar index strengthened by 0.15%, influenced by below-forecast U.S. economic indicators and fluctuations in risk sentiment tied to declining mega cap and regional banks stocks.
In specific currency pair movements, USD/JPY rebounded after a significant initial fall, spurred by a rise in JGB yields following discussions about exiting negative rates in the December BoJ meeting. EUR/USD faced a 0.36% decline, driven by lower Euro zone yields due to disappointing German data and falling inflation figures. The ECB, expected to wait until April for a cut, aligns with the Fed’s projection of 145bp in cuts for the year. Meanwhile, Sterling experienced a 0.24% drop ahead of the BoE meeting, anticipated as a prelude to a probable rate cut in May or June, maintaining a stagnant range between 1.2600 and 1.2800 since mid-December.
Picks of the Day Analysis
EUR/USD (4 Hours)
EUR/USD Faces Bearish Pressure as Fed Maintains Rates Amidst Bullish Dollar Momentum
The EUR/USD pair experienced renewed selling pressure as bullish momentum in the US dollar pushed it towards the lower end of the weekly range, hovering around the 1.0800 region. The Federal Reserve, maintaining its Fed Funds Target Range at 5.25%-5.50%, provided no surprises during its event, with Chair J. Powell expressing a belief that the policy rate may have peaked. Despite this, the greenback’s upside pressure increased as Powell indicated that an interest rate cut in March is unlikely. Investors are now debating the possibility of a rate cut in March or May, with probabilities at approximately 36% and 58%, respectively, according to the FedWatch Tool by CME Group. As market participants await the critical US Nonfarm Payrolls on February 2, the focus remains on deciphering clues about the potential timing of a rate move in March or May.
On Wednesday, the EUR/USD moved higher to reach the upper band of the Bollinger Bands before going back lower. Currently, the price is moving lower near the lower band, suggesting a potential downward movement to reach below the lower band. Notably, the Relative Strength Index (RSI) maintains its position at 40, signaling a neutral but bearish outlook for this currency pair.
Resistance: 1.0850, 1.0907
Support: 1.0795, 1.0745
XAU/USD (4 Hours)
XAU/USD Surges Past $2,050 as US Dollar Weakens Amidst Inflationary Easing
The US Dollar faces significant selling pressure as the Federal Reserve approaches a monetary policy decision, causing Gold (XAU/USD) to climb beyond $2,050 per troy ounce. The Greenback weakened following the release of US employment data, indicating a further easing of inflationary pressures. Despite a slower-than-expected job market growth in January, the ADP National Employment Report suggests improved prospects for inflation. Simultaneously, the Q4 Employment Cost Index reveals a modest 0.9% increase in wages and benefits, contributing to a decline in government bond yields. Investors now turn their attention to the upcoming Fed decision, anticipating potential impact on the US Dollar, especially if Chair Jerome Powell’s statements lean towards a dovish stance.
On Wednesday, XAU/USD moved higher and was able to reach the upper band of the Bollinger Bands. Currently, the price is moving lower between the middle and upper bands suggesting a potential downward movement to reach the middle band. The Relative Strength Index (RSI) stands at 56, signaling a neutral but bullish outlook for this pair.
On Wednesday, January 24th, 2024, VT Markets attended an exclusive Digital Wealth Roundtable, held at the Artemis Grill & Sky Bar, which gathered senior executives from the digital wealth industry for a dynamic and insightful discussion.
A gathering of minds: the Digital Wealth January Roundtable
The roundtable organized by Trading Central serves as a unique platform, bringing together attendees from within the digital wealth sector including Oanda, KGI Securities, CME Group, SGX Group, and UOB Kay Hian.The afternoon unfolded with a vibrant exchange of insights and experiences. The discussions delivered excitement, focusing on the collective goal of propelling the industry forward through collaboration and shared wisdom.
A highlight of the event was the presence of Brian Chong, Investment Trends’ Head of Client Services & Sales. An esteemed speaker, who has studied the industry trends, he shared invaluable insights that resonated with the ethos of VT Markets.
1.Challenger brands gaining ground
“The persistence of challenger brands in gaining a larger share of relationships is challenging established domestic brokers.” This insight holds particular significance for VT Markets, a challenger brand in many of our markets, seeking to deliver value and innovation in the brokerage space to our users
2.Surge in switching activity
The speaker shared an intriguing observation, “forward-looking switching activity, as a proportion of active online investors, has hit its highest point in the past seven years.” This revelation prompts reflection on the evolving dynamics of investor preferences and the opportunities it presents for proactive brokers.
3.Drivers behind broker switching
A key learning from the speaker was that “Recent switchers increasingly point to high fees, poor mobile platforms, and subpar trade execution as reasons for leaving one broker in favor of another.” This insight aligns with VT Markets’ commitment to providing a trading environment with true ECN accounts, raw spreads, and cutting-edge technology.
VT Markets’ role in shaping the future
As VT Markets participated in this insightful roundtable, the key takeaways align seamlessly with our company ethos. Being a challenger brand, the recognition that brands such as ours are opening new avenues in industry relationships bodes well for our customers who find value in our offerings.
The surge in switching activity underscores the importance of adaptability and responsiveness, traits that VT Markets values dearly. By addressing the specific pain points highlighted by recent switchers, VT Markets can further refine its offerings, ensuring that we continue to meet the evolving needs of traders.
Moving forward with innovation
Attending the roundtable has equipped VT Markets with fresh perspectives and insights crucial for navigating the ever-evolving landscape of online brokerage. The event reinforces VT Markets’ commitment to staying at the forefront of industry trends and fostering a trading environment that aligns with the needs of its diverse clientele.
As VT Markets continues its journey to make trading easy and accessible for everyone, the understanding gained from the roundtable and other upcoming thought leadership forums will undoubtedly play a pivotal role in shaping our strategies and initiatives for the future.
The consensus suggests no alteration in interest rates.
However, the Federal Open Market Committee (FOMC) may modify its guidance, particularly in response to developments in inflation.
Traders should brace for increased volatility in the foreign exchange (FX) markets, as any shift in the Fed’s stance could trigger substantial market swings.
For a detailed preview of this event, readers can refer to the provided link for comprehensive insights.
Major currency pairs, including EUR/USD, GBP/USD, USD/JPY, and USD/CAD, are scrutinized.
The emphasis is on identifying crucial price thresholds that might function as either support or resistance in the forthcoming trading sessions.
Traders are advised to pay close attention to these technical indicators to navigate potential market movements effectively.
STOCK MARKET:
Key Points:
Market Movements:
Nasdaq Composite (^IXIC) experienced a decline of about 0.8%.
Dow Jones Industrial Average (^DJI) rose by 0.4%.
S&P 500 (^GSPC) traded flat.
The benchmark index failed to secure another record closing high.
Big Tech Earnings:
Microsoft (MSFT) reported after-the-bell earnings beating both top and bottom-line expectations.
Microsoft’s shares fluctuated in after-hours trading; guidance is expected during the earnings call.
Alphabet (GOOGL, GOOG) saw shares drop approximately 5%, with fourth-quarter ad revenue missing expectations.
AMD (AMD) reported fourth-quarter revenue in line with analyst expectations, with a 2% drop in after-hours trading.
Apple (AAPL), Amazon (AMZN), and Meta (META) among the “Magnificent Seven” tech mega-caps set to announce results on Thursday.
Other Market Developments:
General Motors (GM) surpassed expectations for sales and revenue in the fourth quarter.
GM shares closed up nearly 8%.
Investors await the Federal Reserve’s interest rate decision at the end of its two-day meeting, with debate on potential cuts in March or May.
Market Indices:
MSFT: -0.28%
^GSPC: -0.06%
^DJI: +0.35%
^IXIC: -0.76%
Stay ahead in the markets with VT Markets, start trading with our MT4 / MT5 platforms.
Please note that the dividends of the following products will be adjusted accordingly. Index dividends will be executed separately through a balance statement directly to your trading account, and the comment will be in the following format “Div & Product Name & Net Volume ”.
Please refer to the table below for more details:
The above data is for reference only, please refer to the MT4/MT5 software for specific data.
If you’d like more information, please don’t hesitate to contact [email protected].
Insights 
VT 
