Daily Market Analysis

Market Focus

Major US Indices edged higher on Thursday ahead of a key labor market report on Friday. The Dow Jones Industrial Average rose 271.58 points; the S&P 500 added 0.6% while the Nasdaq climbed 0.8%. Major indices were led by travel stocks, including airlines, rallying on Thursday after struggling over the past week.

Futures rose in Hong Kong and Japan after the S&P 500 and the Nasdaq 100 reached new peaks. Investors viewed the ADP report this Friday that stocked optimism, which might spark market swings.

In the latest Federal Reserve’s comments, Governor Walker is positive about the economic outlook, and he thinks that accommodative policy could possibly sooner than expected. In the meantime, Senator Joe Manchin has urged the Fed Chairman Jerome Powell to start tapering the bond purchases.

Ethereum, the second- largest cryptocurrency, went through a major upgrade, known as EIP- 1559 London, which is expected to reduce the supply of the token and stabilize transaction fee. As a result, the Ethereum was close to a two- month high.

Main Pairs Movement:

GBPUSD rose as high as 1.3949 after the Bank of England’s decision, signaling some modest tightening of its monetary policy in order to keep inflation under control. As the British central bank starts leaning to a hawkish tone, it allows the members from the committee to begin discussing raising interest rates. The GBPUSD currency pair ended up closing at 1.3926.

AUDUSD climbed steadily, closing at 0.7399 as the Australian government bonds edged lower before the release of a quarterly statement on the monetary policy.

Platinum plunged to a seven- month low as the spread of the Covid hurt the outlook for industrial commodities while the Fed signaled the tapering plan.

The precious metal, gold, dropped to near one- week lows, closing at $1,804. The downside was mainly caused by the overnight hawkish comments from the Fed’s Clarida, who remarked on the non- yielding metal.

Technical Analysis:

GBPUSD (4-hour Chart)

Cable rose as high as 1.3949 after the BoE decision but was unable to break the resistance needed for an upside traction in the the daily market which awaiting NFP data tomorrow, holding 1.3929 with 0.29% gains. BoE officials siad they will kick off unwind their alomost 900 billion-pound quantitative easing program when the interest rate reaches 0.5%, much earlier than previously thought. For technical aspect, RSI indicator pull up from slightly-bearish condition to set at 57 figures, suggesting slightly bull movement ahead. For moving average side, 15 long SMA indicator holding a flat side movement and 60 long SMA indicator remaining upway traction.

All in all, we believe this pair still lacking of a direction as it miring in a tiny horizontal channel which choppy nearly a week. If price fall ahead, market will eye on 1.385 level in short term and 1.38 level follow. On upway, if price could go over the last highs spot which around 1.395, it will heading to over 1.4 level.

Resistance: 1.3896, 1.3985, 1.4

Support: 1.3665, 1.3745, 1.38, 1.385

EURUSD (4- Hour Chart)

Earlier in the day, the modest greenback weakness helped euro dollar pair push higher, yet, failed to gather bullish momentum. As of writing, the pair was virtually unchanged on the day at 1.18351. Meanwhile, market eyes turn to the U.S. NFP report as ADP figures miss the expectation. From the technical perspective, RSI indicator close 43 figures as of writing, suggesting slightly-bearish movement for a short term. For moving average side, 15 long SMA indicator retaining downward slope and 60 long SMA remaining flat.

For price action, If price could breach 1.188 firmly again, it could heading to higher level. On downside, we deem the most strong support level will be 1.1766 level. Moreover, it seems like building a double head price action and neckline will be on 1.1848. For now, we think price will consolidate in tiny range between first immediately resistance and support.

Resistance: 1.1848, 1.188, 1.19

Support: 1.18, 1.1766

XAUUSD (4- Hour Chart)

As of writing, the price of gold is back above the psychological 1800 level, hit recently lowest spot, at 1804.6. In the absence of high-tier macroeconomic data released, the 3% rallied witnessed in the 10 years U.S. treasuries yields seems to helping the greenback stay resilient then pressure on yellow metal market. At the meantime, the risk-on mode it on the fire for market speculator hence save haven demand become scarcely. For technical side, RSI indicator slightly decline to 42 figure as of writing, suggesting a bearish movement ahead. For moving average perspective, both 15 and 60 long SMAs indicator are moving in flat momentun at the same time, two indicator seem about to intersect .

For price action, we forecast the 1795 level is a pivotal support for buy side investor. If price go down below it, the immediately but fragile support will be 1788.5 and next support will eyes on 1780. On upside, we believe 10 year U.S. treasuries yields still a barometer. If yield could continue decline, it will fuel yellow metal to edge up.

For price action, if price slip under 0.9047, we expect the momentum will lead it to further way on 0.9 level. On upside, price seem building a comfort resistance cluster area at 0.90756, 0.91 following.

Resistance: 1808.92, 1830.5

Support: 1795.25, 1788.5, 1765.5

Economic Data

Dear Client,

Please note that adjustment on following products due to National Women’s Day and August Bank Holiday.

If you have any questions, our team will be happy to answer your questions. Please mail to [email protected] or contact the service online.

Daily Market Analysis

Market Focus

U.S. equities pared back gains on Monday after Treasury yields extended a decline following softer-than-expected U.S. manufacturing growth amid lingering supply constraints. The S&P 500, Dow Jones and Nasdaq all fell from earlier highs as investors considered the impact of the 10-year Treasury yield hitting as low as 1.15% on Monday, putting concerns about growth on display. At the end of the day, Dow Jones dropped 0.28%, while Nasdaq closed green with a little comeback.

A surge in Covid-19 cases across the U.S. brought on by the fast-spreading delta variant is increasing pressure on U.S. drug regulators to fully approve Pfizer Inc.’s vaccine, the first one to apply for full licensure in the U.S.

Full approval could help the Biden administration ramp back up its immunization drive and reassure vaccine holdouts that the shots are safe. It could also make it easier for more schools and workplaces to put immunization mandates in place.

Meanwhile, breakthrough cases that penetrate the shot’s defenses are being monitored by health officials. While the Pfizer-BioNTech SE mRNA-based vaccine, cleared in the U.S. via an emergency-use authorization late last year, remains highly effective at preventing severe disease, the question of whether booster shots will be needed looms as fall approaches.

Main Pairs Movement:

Market players were optimistic at the beginning of the day, with dollar easing against its major rivals. The sentiment turned sour during American trading hours, as the latest official ISM index contracted from 60.6 to 59.5, a sign of slowing economic progress.

The euro pair hovers around 1.1870, while cable stands below 1.3900. The performances of commodity-linked currencies were mixed. The AUD rose, the NZD fell, and the CAD lost demand amid plunging oil prices.

With renewed demand for safety, the US treasury yields plummeted to their 2-week low, and the safe haven JPY surged against the greenback. Gold jumped to the intraday high amid the dismal market mood, but somehow dropped back to familiar levels at the end of the day. Crude oils plunged, with WTI retreated to $71.50 a barrel, and Brent traded at $73.20, 2.60% off than the previous day.

In general, major pairs held within familiar levels as investors await first-tier data scheduled for later in the week. In the US, employment is taking the center stage with the Nonfarm Payroll report.

Technical Analysis:

GBPUSD (4-hour Chart)

After reaching five-week high of 1.398 level on last Friday, closing it best week against the weakening greenback since early May, the sterling bears have piled in again as the week gets underway. As of writing, sterling is trading at 1.3885 and down 0.14% in the day market. On economy side, U.K. Marketing Manufacturing PMI improved to 60.4 in July, following the expectation. For technical aspect, RSI indicator correct it momentum then set 47 figure, suggesting slightly bear movement ahead. For moving average side, 15 long SMA indicator has turned it slope to south way with sterling slightly moving downward and 60 long SMA indicator remaining upway traction.

All in all, most possibility for sterling is a south way momentum as short term SMA and RSI show a bearish suggestion. Moreover, sterling fell below 1.3896 which is a neckline according to price action.

Resistance: 1.3896,1,3985, 1.4

Support: 1.3665, 1.3745, 1.38

EURUSD (4- Hour Chart)

The pair advanced higher toward 1.19 during the European session but failed to defend the upside momentum. At the end of the day, pair was virtually unchanged on the day at 1.187. As U.S. ISM Manufacturing PMI came lower than expected in July that reversed risk-positive market circumstance, directly finding buy-in demand for greenback. From the technical perspective, RSI indicator close 55 figures as of writing, suggesting slightly-bull movement for a short term. For moving average side, 15 long SMA indicator shows flat movement side and 60 long SMA remaining acending movement.

For price action, market seems finding a comfortable support level at 1.1848 and flirting around 1.1848~1.188. As current stage. If price could breach 1.188 firmly again, it could heading to higher level. On downside, we deem the most strong support level will be 1.1766 level. Moreover, it seems like building a double head price action and neckline will be on 1.1848.

Resistance: 1.188, 1.19

Support: 1.1848, 1.18, 1.1766

USDCHF (4- Hour Chart)

The USDCHF pair closed in the negative territoru for consecutive 5 straight days and lost more than 100 pips last week. On Monday, the pair stays in a consolidation phase following the data realeases from Switzerland. As of writing, pairs was flat in the day market at 0.905. At the same time, U.S. and E.U. share markets were pull back from the daily high spot, fueling momentum for swiss franc.

For technical side, RSI indicator rebound from over sought zone to 36 figure, suggesting a bearish movement ahead. For moving average perspective, both 15 and 60 long SMAs indicator are moving to south way.

For price action, if price slip under 0.9047, we expect the momentum will lead it to further way on 0.9 level. On upside, price seem building a comfort resistance cluster area at 0.90756, 0.91 following.

Resistance: 0.9075, 0.9134

Support: 0.9047, 0.9

Economic Data

Dear Client,

Warmly reminds you that the component stocks in the stock index spot generate dividends. When dividends are distributed, VT Markets will make dividends and deductions for the clients who hold the trading products after the close of the day before the ex-dividend date.

Indices dividends will not be paid/charged as an inclusion along with the swap component. It will be executed separately through a balance statement directly to your trading account, the comment for which will be in the following format “Div & Product Name & Net Volume ” .

Please note the specific adjustments as follows:

Note: The above data is for reference only, the actual execution data may be changed, please refer to the MT4 software for details.

If you’d like more information, please don’t hesitate to contact [email protected].

Daily Market Analysis

Market Focus

US equities rose toward all-time highs as the latest read on the economy eased concerns about inflation and the Federal Reserve scaling back its ultra-accommodative policies. Amid risk-off sentiments, all of the main American stock indexes advanced, with S&P 500 (+18.51) and Dow Jones (+153.60, or 0.44%) touching records. Ford Motor Co. rallied after a surprise profit. Facebook Inc. weighed on Nasdaq (+15.68, or 0.11%) after the social-media company gave a cautious outlook. And Amazon.com Inc. fell in extended trading after its sales forecast fell short, pulling futures in the Nasdaq lower.

It was supposed to be a triumph for today’s memeified markets — a validation for all those amateurs who took on the Wall Street pros. The public debut for Robinhood Markets Inc. turned out to be an embarrassment for the company that’s become synonymous with the rise of individual investors. Robinhood traders, it turned out, had no time for Robinhood.

In fact, some of the very people who flocked to the firm’s free-trading app to buy meme stocks like GameStop Corp. and AMC Entertainment Holdings Inc. this year appeared to take glee Thursday as the company’s share price slid. Reddit’s WallStreetBets forum, a hotbed of retail traders, lit up. One top post: “Is it me or does anyone else get pleasure from watching Robinhood’s stock burn to the ground?”

Almost nothing seemed to go right for Robinhood, whose decision to briefly freeze trading at the height of the meme-stock frenzy in January drew scorn from its own customers. The stock was priced late Wednesday at the low end of its expected range. Then investors saw red instead of green: shares almost immediately dropped after trading opened, tumbling as much as 12%. Robinhood eventually pared the worst of the decline, falling 8.4% to close at $34.82.

Main Pairs Movement:

Dollar slid yet another day and reached freshly lows against most major rivals, as US data missed the consensus estimates. 21Q2 GDP showed the economy grew at an annualized pace of 6.5%, better than the previous 6.4%, although missing the 8.6% expected. Also, Initial Jobless Claims for the week ended July 23 printed at 400K, worse than anticipated.

The euro pair settles around 1.1890 while Cable approaches the 1.4000 figure. The commodity-linked currencies were strong on Thursday, with Loonie traded lower at 1.2440, Aussie hiked on the 0.7400 level, and Kiwi flirted with the 0.7000 milestone. The Japanese yen appreciated on the back of a better market’s mood, with USD/JPY trading around 109.40.

US government bond yields ticked higher, closing the day at 1.2710. Gold jumped to $1,832.62 a troy ounce, its highest in two weeks, while crude oil prices also reached fresh highs, with WTI ending the day at $73.40 a barrel, Brent at $75.80.

Cryptocurrencies are still in their upward trend driven by Tesla’s June quarter earnings, which showed that it holds $1.3 billion worth of Bitcoin. BTC then keep soaring after speculation that Amazon may soon start accepting payments in Bitcoin, Ether and other cryptocurrencies. Bitcoin and Ethereum gained nearly 40% against US dollar in two weeks, showed by the data from Binance.

Technical Analysis:

GBPUSD (4-hour Chart)

Sterling has reached the fresh high in near month at 1.3981, supported by fall in coronavirus cases in U.K. and the dovish rhetoric from the Fed’s chairman. So far, the market still digesting the optimistc traction for risk on mode. For technical aspect, RSI indicator close around 71 figure which suggest strong-bull guideline over mire into over bought sentiment already, suggesting for more cautious to currently market trend. For moving average side, 15 long SMA indicator continuing it ascending momentum and 60 long SMA indicator remaining upway traction.

As price action, sterling was suppressed by critical resistance at 1.3985, last high price level. For now, bid side buyer should aware the immediately support 1.3896 level. On lift side, if sterling could breakthrough 1.3985 again, it could heading to 1.4 threshold.

Resistance: 1,3985, 1.4

Support: 1.3665, 1.3745, 1.3896

XAUUSD (4- Hour Chart)

Gold is picking up more than 1% to 1829 around on Thursday, despite easing from the monthly top. Heavily rebounded of the gold prices amid to the poor dollar performance and broad optimistic sentiment in the market while TIPS countinuing go down, 10 year U.S. Treasuries yield as well. From the technical perspective, RSI indicator clost at 70 figures as of writing, suggesting over bought sentiment at current stage. For moving average side, 15 long SMA indicator shows turn it slope to north side and golden cross with 60 long SMA while it retain flat.

All in all, we witness the strong gold movement in the daily market, yet resist by pivotal resistance at 1830 which is last high point. However, instant indicator shows a remix suggestion as over bouht sentiment on RSI, contrastly, SMA suggest a bull signal at the moment. For upper side, we expect next resistance will be psychological level on 1840.

Resistance: 1830.5, 1840

Support: 1795, 1765.5, 1811

EURUSD (4- Hour Chart)

Aussie topped to 0.7413, the perch in nearly two weeks, but tamp down under 0.74 threshold as of writing. Higher shares market, gold and commodities market underpin the pair. On the other hands, market still worried about the governor decided to extend Sydney lockdown and the implicationss this will have for next week’s RBA meeting. For technical side, RSI indicator set 60 figure that gain another higher stage in recent, suggesting have a room for upward. For moving average perspective, 15 long SMA indicator turn it momentum to upside traction and 60 long SMA still flirting. Furthermore, 2 lines has golden cross that shows a strong signal for upside traction.

In light of aforementional, we expect market will continue to test the 0.7415 level which is a immediately resistance. If it could penetrate first resistance, it would toward to next consolidation between 0.7416 and 0.7492 range. For downside, a efficient immediately support will be 0.7384, 0.73 will be way off following.

Resistance: 0.7415, 0.7492

Support: 0.7384, 0.73

Economic Data

Daily Market Analysis

Market Focus

U.S. equities ended a five-day winning streak on Tuesday as megacap technology stocks including Apple Inc. and Microsoft Corp. tumbled ahead of their earnings reports. The tech-heavy Nasdaq (-1.21%, -180.14) posted its biggest drop in more than two months as all three of the major American equity indexes fell from all-time highs. The Hang Seng Index (-4.22%, −1,105.89) sank the most since May 2020 as speculation swirled that U.S. funds are offloading China and Hong Kong assets. Amid the dismal sentiments, Dow Jones slightly dropped 0.24%, or 85.79.

As Apple’s third-quarter results released and the conference call just ended, we offer you 5 key takeaways from Bloomberg Top Live Blogs:

1.Apple shattered revenue expectations, topping $81 billion for an all-time Q3 and growing 36% year-over-year. The iPhone generated nearly $40 billion, while Services topped $17 billion to an all-time record.

2.Apple said that while Q4 (current quarter) sales will grow strong double digits, the growth rate will slow from Q3. Apple cited Services revenue slowing as one of the main reasons for the slowed overall growth. Services grew 33% in Q3, which won’t happen in Q4, Apple said.

3.Apple also said that the iPhone and iPad are seeing supply constraints in the current quarter, and Apple CEO Tim Cook said that the company is paying too much for freight. He added Apple is taking on the supply chain issues on quarter at a time.

4.Asked about the iPhone, Cook said Apple feels “really good” about the future of the product and that the iPhone 12 Pro and Pro Max saw a particularly strong response in China. Apple said that it also saw strong growth in India, Latin America, and Vietnam.

5.Cook explained that Apple is experiencing shortages, like other companies, of so-called legacy-node semiconductors. That means less high-tech chips like power and data converters. He said it’s not so much on ‘leading edge’ which would imply they’re getting enough of the M1 and other processor that Taiwan Semiconductor Manufacturing Co. makes for them.

 

     

Main Pairs Movement:

The dollar dropped, despite a generalized dismal mood. Global stocks edged lower, while demand for government bonds increased, pushing yields lower. Market players were cautious ahead of the US Federal Reserve decision on monetary policy. The central bank will likely maintain its monetary policy on hold, with the focus on when and how they will start retrieving monetary support.

US data was mixed. Durable Goods Orders were up 0.8% MoM in June, much worse than the 2.1% expected. The core reading, Nondefense Capital Goods Orders ex Aircraft, surged 0.5%, also missing expectations. On a positive note, CB Consumer Confidence improved to 129.1 from an upwardly revised 128.9 in June.

The euro pair reached a weekly high of 1.1840, retreating afterwards to close the day at 1.1815. Cable hovers near 1.3870 retaining intraday gains. Commodity-linked currencies were the worst performers, losing grounds despite the weakened greenback. Safe haven yen were sharply appreciated, while CHF gained a little bit.

Gold struggles around $1,800, while crude oil prices eased. WTI settles around $71.90 a barrel, and Brent trades at $74.70.

Technical Analysis:

GBPUSD (4-hour Chart)

Pound bulls picking up the recently with risk off sentiment on shares market, as of writing hover 0.45% topping to 1.388 level, mostly conquer last highest level around 1.39 psychological spot.

For technical aspect, RSI indicator close around 66.9 figure which suggest strong-bull guideline extend recently momentum at least for short term. For moving average side, 15 long SMA indicator continuing it ascending momentum and 60 long SMA indicator turn sideway traction in daily market.

As price action, pound is holding on a powerful resistance at 1.3896~1.39 around. if market exceed immediately resistance, it would heading to higher stage. For downside, 1.3475 level still a defend line for bid buyer.

Resistance: 1.3896

Support: 1.36, 1.3665, 1.3745

XAUUSD (4- Hour Chart)

Gold is choppying in a tight range on Tuesday market, within a channel after break into 1800. However, still gained around 0.16% 1799.7 as of writing. At the meantime, the greenback has given back more ground as real U.S. bond yields hit all-time lows, as known as TIPS, supporting the yellow metal. Forthcoming day, investor is awating outcome of FOMC meeting. From the technical perspective, RSI indicator settle at 46 figures as of writing, suggesting slioghtly bearish movement ahead. For moving average side, 15 long SMA indicator shows slightly went down and 60 long SMA remained flat.

In lights of aforementional, we expect gold market will high probability struggle in a consolidation range. To the downside, we expect 1795 will be powerful support. If market penetrate the first immediately support, it would move to lower lows which eye on 1765.5 level. On the up way, 1811 around shows price cluster resistance as first pivotal checkpoint.

Resistance: 1811, 1830.5

Support: 1795, 1765.5

EURUSD (4- Hour Chart)

Euro dollar shed some 20 pips from fresh weekly highs at 1.1842, holding on to modest daily gains. Forex market is awaiting to U.S. Fed’s rate decision looms. On Tuesday, greenback saw its picking up extra pace after U.S. headline Durable Goods Orders expanded at montly 0.8% and Core one slightly surged 0.3%, both loss previously estimates. For technical side, RSI indicator set 57 figure suggesting a bull movement guidance for short term. For moving average perspective, 15 long SMA indicator moving in flat with modest momentum in reccent and 60 long SMA turn into north way, 2 lines seem nearly gold cross.

Following recently suggestion, euro dollar has stand above the 1.1804 level, a critical resistance level as price pattern. For now, the most important thing for euro fiber is to defend on current momentum. if price could propel to higher, than next price level would eye on 1.1848~1.188. On contrast, we see market was stop by 1.1848 level in day market and still expect 1.1804 is the short run pivot support. If market reverse to down way the first support, it would fall into quagmire between 1.1766 and 1.18040 as tiny volatility.

Resistance: 1.1848, 1.188

Support: 1.1804, 1.1766, 1.17

Economic Data

Daily Market Analysis

Market Focus

US markets were flat on Monday ahead of quarterly earning reports from several technology companies. The Dow Jones Industrial Averages climbed 82.76 points. The S&P 500 added 0.24% while the Nasdaq 100 closed with 0.03% higher. Notably, Tesla Inc. was among those companies providing the largest boost to the S&P 500. Tesla extended gains in the post market after the earning report beat the estimates. Later this week, several heavy weighted companies including Apple Inc., Amazon. com Inc., and Alphabet Inc. are going to propel the benchmark indices.

Bitcoin surged near $40,000 as the rumor over Amazon.com Inc.’s involvement in the cryptocurrency industry. The furious up- surge was mostly driven by over- leveraged shorts. The surge on Monday brough crypto markets back to life after the market has been stuck in the doldrums for months.

China’s new rules in private tutoring industry has left private education firms confronting a significant impact as Chinese government steps up regulatory oversight. Under the new regulation, all institutions offering tutoring service will need to be registered as non- profit organizations. With the new rule, it has put at risk billions of dollars of public and private capital ploughed into the educational sector. As a result, it triggered a massive sell off. China’s education industry sub- index dropped as much as 14% on Monday.

Main Pairs Movement:

As the greenback started with a soft tone, EURUSD climbed 0.30% on Monday, reaching an intraday high of 1.1816, closing with 1.18020. Cautious move took over the market ahead of the US first- tier economic report later this week.

GBPUSD edged higher, closing with 1.38187. The British Pound benefitted from last week’ reduction in the pandemic cases while the greenback had a softer tone. However, Brexit woes and cautious sentiment ahead of the week are still challenges for the pairs.

The precious metal, gold, retreated below $1800 as the markets embraced the week’s key data and firmer US Treasury bond yields. In the meantime, gold price would be vulnerable as the markets are going to guess the outcome of the FOMC meeting that will happen later.

Technical Analysis:

GBPUSD (4-hour Chart)

Sterling rises to one week fresh high near 1.3835, the highest level since July.16, then slip nearly market close at 1.3818. moreover, highs versus dollar, euro and yen as well. The DXY index fell by 0.36% as of writing, under 92.60 while U.S. 10 years Treasuries yields moved off lows. At the mean time, market is expecting risk appetite return as optimistic mood.

For technical aspect, RSI indicator close around 64 figure which suggest bull guideline extend recently momentum and expect market will heading to higher stage at least short term. For moving average side, 15 long SMA indicator continuing it ascending momentum while 60 long SMA indicator remaining a slightly upside but seems flat movement, furthermore the long and short one has golden cross.

On the south way, If market fell below the support level, we expect market will head to 1.3665.

Resistance: 1.3896

Support: 1.36, 1.3665, 1.3745

XAUUSD (4- Hour Chart)

Gold still dismay and struggle to get the upside traction at the start of the week. The gold was headed for the daily close below the psychological level $1800 at 1797 as end of day. Forthcoming day, investor will try to analyze the outcome of the FOMC meeting that kicks off on Tuesday and concludes with the Fed’s chairman press conference. From the technical perspective, RSI indicator settle at 40.8 figures as of writing, suggesting bearish movement ahead. For moving average side, 15 long SMA indicator shows slightly upper way and 60 long SMA remained flat.

In lights of aforementional, we expect gold market will high probability struggle in a consolidation range. To the downside, we expect 1795 will be powerful support. If market penetrate the first immediately support, it would move to lower lows which eye on 1765.5 level. On the up way, 1811 around shows price cluster resistance as first pivotal checkpoint.

Resistance: 1811, 1830.5

Support: 1795, 1765.5

EURUSD (4- Hour Chart)

Euro dollar pair hovered around 1.18 level after approaching at 1.1816 the highest peak in the day market. The strong euro dollar with positive intraday bias amid a weaker US dollar across the broad while US shares market is challenging record high. For technical side, RSI indicator set 58 figure suggesting a bull traction guidance for short term. For moving average perspective, 15 long SMA indicator moving in flat with modest momentum in reccent, but 60 long SMA remaining decending movement.

Following recently suggestion, euro dollar has stand above the 1.1804 level, a critical resistance level as price pattern. For now, the most important thing for euro fiber is to defend on current momentum. if price could propel to higher, than next price level would eye on 1.1848~1.188. On contrast, we expect 1.1804 become the short run pivot support. If market reverse to down way the first support, it would fall into quagmire between 1.1766 and 1.18040 as tiny volatility.

Resistance: 1.1848, 1.188

Support: 1.1804, 1.1766, 1.17

Economic Data

Dear Client,

Warmly reminds you that the component stocks in the stock index spot generate dividends. When dividends are distributed, VT Markets will make dividends and deductions for the clients who hold the trading products after the close of the day before the ex-dividend date.

Indices dividends will not be paid/charged as an inclusion along with the swap component. It will be executed separately through a balance statement directly to your trading account, the comment for which will be in the following format “Div & Product Name & Net Volume ” .

Please note the specific adjustments as follows:

If you’d like more information, please don’t hesitate to contact [email protected].

Daily Market Analysis

Market Focus

US markets were led by tech stocks to third straight day of gains even though an unexpected jump in jobless claims that showed some concerns about the economy. Overall, the Dow Jones Industrial Average rose 25.35 points and the S&P 500 climbed 0.2% higher. In the meantime, the Nasdaq 100 gained 0.3%, closing with 14685.60. Investors are continuing to be optimistic as corporate revenue and profits are increasing sharply, leading the economy and the indices to rebound.

US jobless claims of 419,000 showed surprise gain, beating the expectations of 350,000. However, on the positive side, continuing jobless claims declined by 29,000 to 3.24 million, a fresh low since the pandemic happened.

Chinese regulators are being serious on companies who are going to IPO overseas. China has weighted an unprecedented penalty on Didi Global Inc. after its controversial IPO last month. China is considering imposing harsh penalties from a massive fine to even a forced delisting. As a result, shares of Didi plummeted more than 10%, bringing its to 27% losses cumulatively.

Main Pairs Movement:

EURUSD traded in the red and at weekly lows, ending with 1.17704. The ECB announced that it will leave rates and the facilities unchanged; the announcement was considered as disappointment as the so- awaited forward guidance was vague.

GBPUSD climbed toward 1.3839 resistance confluence as the BOE is optimistic on the inflation. The BOE sees a good case inflation rise, saying that is temporary.

Bitcoin hovered around 32,000 after Elon Musk and Cathie Wood re- discussed Bitcoin on panel. Specifically, Cathie Wood mentioned that corporations should consider adding Bitcoin to their balance sheets.

Technical Analysis:

GBPUSD (4-hour Chart)

Sterling has led gains among in G10 currencies peers, rose 0.4% to 1.3773 as of writing. At the mean time, greemback faced additional stress from unexpected increase in U.S. jobless claim and weaker than expected Chicago Fed National Activity Index for June. For technical aspect, RSI indicator close around 60 figure which suggest cognet bull guideline for at least short term. For moving average side, 15 long SMA indicator strong jumped up to ascending momentum while 60 long SMA indicator remaining a slightly upside but seems flat movement. Overall, we witness the sterling has rebounded as a “V shape” movement already in recently which all supported by buy in momentum and market eye catching, even Kingdom were quirmire in variant worried in early this week though. As current price action, we foresee the market will high probably continue advance to higher stair, but still need to consider whether market impetus could constantly ante buy side momentum or RSI indictor will rapidly head to over bought territory.

Resistance: 1.3896

Support: 1.36, 1.3665, 1.3745

AUDUSD (4- Hour Chart)

Aussie settle at 0.738 around as of writing which led by diminished dollar’s demand despite tepid Australian data. Other than this, copper and oil market successive creep up from depression plummet in earlier this week. Meanwhile, 10 year U.S. Treasuries yields fell from nearly 2 rebound market movement, drop 1.71% to 1.268%, shows market in reposition to risk on mode that thrived commodities-linked peers as well. From the technical perspective, RSI indicator gradually ratchet up to 54 figures since at lowest price level, suggesting a benign bull momentum. For moving average side, 15 long SMA indicator has turn north way and 60 long SMA remained decending slope as of writing. To the downside, we still believe 0.73 is a compelling and powerful support. On the up way, we expect 0.7415 would be a stressful resistance as a neck line in lights of price pattern.

Resistance: 0.7415, 0.7492

Support: 0.7323, 0.73

EURUSD (4- Hour Chart)

Euro fiber went south 0.14% to 1.1774 which jumped as much as 0.3% 1.183 after ECB revised it guidance on when interest rate might rise to convince investors it won’t revoke support easing program on monetary policy too hastily then pose to derail the economy revival.

Base on price action, euro seems struggle in tiny consolidation range in recent, losing attraction and volatility as well.

For technical side, RSI indicator set 43 figure that feeling suggesting a slightly-bearish guidance for short term. For moving average perspective, 15 long SMA indicator moving along with the price close to a slightly downward movement and 60 long SMA cater to sputter movement.

Following recently suggestion, we deem market is rejuvenating to upper stage if market could exceed the first resistance at 1.1804 around. Moreover, if price could propel to higher, than next price level would eye on 1.1848~1.188. On contrast, if price penetrate the first immediately support level that aslo close to current price level, it could toward to 1.17 as our perspective.

Resistance: 1.1804, 1.1848, 1.188

Support: 1.1766, 1.17

Economic Data

Daily Market Analysis

Market Focus

US Indices rebounded sharply today as investors stepped in to buy the dip after a huge plummet from delta variant fears sell- off. The Dow Jones up-surged 1.6%, 549.95 points after the previous 725 points- decline on Monday. The S&P 500 climbed 1.52% and the technology heavy- weighted Nasdaq 100 rose 1.57%. This comeback rally activated through the session as a bounce in the Treasury yields above 1.20% soothed some pandemic concerns that would potentially ruin the economic recovery.

Inflation seems to continue be a problem in the market, but the Federal Reserve looks to stay in hawkish stance. While the breakeven rate curve shifted lower, inflation expectation remains uncomfortably high. As of now, five- year breakeven rate is trading at 2.45%, which is above the Fed’s 2% target for the next five years.

The world largest cryptocurrency, Bitcoin, suffered a brutal month so far as Bitcoin is now trading near the bottom of 2021 trading range. Some analysts observed that it can be the winter for Bitcoin back in 2018, when the price declined by three- quarters. The winter of Bitcoin can potentially flush out a lot of speculations.

Main Pairs Movement:

The Aussie halted 4- day drop, rising 0.1% to 0.7334, as stock markets stabilized and crude oil price bounced back a bit, helping revive risk assets. However, the pandemic problem continues to be a huge issue in Australia; half of Australian is still in lockdown as the delta variant spreads across the country.

The yuan finally rose after 3- day slide as risk assets rebound, buying from the dip after a tumultuous trading session on Monday. The yuan climbed 0.1% at 6.4883 against the US dollar,

EURUSD dropped 0.17% to 1.17765, the fresh low since April even major indices rebounded after Monday’s slide.

The Pound declined 0.39% against the US dollar amid the delta variant spreads in the UK. The UK lifted all Covid-19 restriction this week, as a result, the reopening of the UK economy remained doubtful.

Technical Analysis:

GBPUSD (4-hour Chart)

Sterling once fell to the daily lowest at 1.357, refreshing another low point in recently, price was closed around 1.3625 aftermath. At the moment, the rapid spread of the Delta variant in the U.K. and prospects of further deterioration weigh on the pound as current stage. For technical aspect, RSI indicator remain setting beneath 30 at over sought territory which suggest a bearish movement for short term. On the other side, 15- and 60-long SMAs both retained downward movement. If market continuously go down, we expect the first immediately support will be 1.36 as pyscholigically spot. On contrast, the first resistance is setting at 1.3665.

Resistance: 1.3665, 1.3745, 1.3896

Support: 1.36

AUDUSD (4- Hour Chart)

Aussie had a choppy move in the daily market while once fails to overcome yearly low of 0.7299, currently close around 0.733. The Delta Covid variant break out and reflation fears keep pricing the market sentiment. Meanwhile, copper and oil market rebound from yesterday desperate that gave aussie a breathing room. From the technical perspective, despite RSI indicator close at 33 figure, suggesting pair would under bearish movement for short run. For moving average side, 15 and 60 long SMA countinue it descending way to lower low. To the downside, if pair fails to trade above recently low at .7323 level, it could hand over the fist to next lower stage over even below .7300 level.

Resistance: 0.7415, 0.7492

Support: 0.7323, 0.73

EURUSD (4- Hour Chart)

The euro fiber is posting lower lows on a daily basis, and the near-term picture is still bearish as it is throughing in fit and start decending price pattern. For technical side, RSI indicator show 42 figure that hovered by upward impetus from short term, furthermore, getting close to neutral territory. For moving average perspective, 15 long SMA indicator moving along with the price closely as slightly downward movement and 60 long SMA seems losing tailwind momentum, in other word, it getting a flat way.

Base on aforementional, we deem market is rejuvenating to upper stage if market could outstrip the first resistance at 1.1804 around. Moreover, if price could propel to higher, than next price level would eye on 1.1848~1.188.

Resistance: 1.1804, 1.1848, 1.188

Support: 1.1766, 1.17

Economic Data