Dear Client,

Please note the adjustment on following products due to international holiday in December:

The above time is MT4/5 server time. The trading time of other products is not affected. The above data may be subject to change. Please refer to the actual time on MT4/5.

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

Dear Client,

To provide our clients with a wealth of trading options, VT Markets will launch new CFDs on Index Futures on Dec 20th, 2021.

Kindly reminder that HK50ft will rollover firstly on Dec 29th, 2021.

The specifications of the new products as shown in the table below.

The above data is for reference only, please refer to the MT4/MT5 software for specific data.

Please check our official page to get more detail about
Forex: https://www.vtmarkets.com/trading/markets/indices/

Please contact [email protected] if you would like more information regarding to this.

Market Focus

US stock declined on Tuesday amid downbeat market sentiment, as pressures increased on the Federal Reserve to tighten monetary conditions in a faster than expected pace. The headline US Producer Price Index (PPI) released on Tuesday rose at an annual pace of 9.6% in November, which is more than market’s expectation of 9.2%. The surging US PPI and CPI data weighed on the equity market as investors worried that this could make the Fed to act more aggressively, despite the officials have give no signs that they would rush up to tighten monetary policy. On top of that, concerns about the spread of new Omicron variant still remained as the UK reported one death related to the newly discovered variant. Investors now await the critical Federal Reserve monetary policy decision on Wednesday, which might provide some clues on the pace of bond tapering and interest rate hikes.

The benchmarks, S&P 500, Nasdaq 100 and the Dow Jones Industrial Average both dropped on Tuesday amid downbeat market mood and a perspective that relief that Fed is about to end the cycle of easy money. S&P 500 was down 0.7% on a daily basis and the Dow Jones Industrial Average declined with a 0.3% loss for the day. Ten out of eleven sectors stayed in negative territory as the information technology and real estate sectors are the worst performing among all groups, losing 1.64% and 1.27%, respectively. The Nasdaq 100 dropped the most with 1.0% loss on Tuesday and the VIX rose almost 12%, as investors started to move their investments from stocks to other asset.

In Asia, China will release Industrial Output for November and retail sales data, which are expected to show slower economic activity due to a real-estate recession and falling consumption. Meanwhile, Chinese property developer shares and bonds plunged to the lowest since early 2017.

Main Pairs Movement:

The US dollar advanced on Tuesday , staying in positive territory amid risk-off market sentiment. The DXY index dropped to a daily low under 96.15 in mid-European session, but then started to see heavy buying and rebounded towards 96.5 level. The higher yields and weaker stocks both lend support to the greenback, which rose 0.21% on a daily basis. Investors now expect the Fed to tighten its monetary policies in a faster pace due to higher PPI and CPI data.

GBP/USD advanced 0.10% on Tuesday amid upbeat UK jod data, as the number of people claiming unemployment-related benefits declined by 49.8K in November. The cable touched a daily top in late European session, then retreated back to surrender some of its intraday’s gain. Meanwhile, EUR/USD dropped to a weekly low under 1.126 area, losing 0.21% for the day.

Gold slipped and touched a daily low around $1766 amid renewed US dollar strength. The falling US stock market failed to pushed the precious metal higher, which dropped 0.87% on a daily basis. Meanwhile, WTI oil tumbled 1.16% for the day, as more countries reimpose restrictions to avoid an Omicron variant outbreak. The rising Covid-19 cases and the downbeat market mood both acted as a headwind for the black gold.

Technical Analysis:

XAUUSD (4- Hour Chart)

The precious metal, gold, slipped to fresh daily low below 1780 after the annual PPI surged to 9.6% in November. The sell- off mainly came from the market’s reaction as a high inflation might quicken the pace of the US Fed’s QE taper as well as hikes in the interest rates. From the technical perspective, gold continues to trade in a subdued manner within 1786- 1770 ranges. In the near term, the outlook of gold looks bearish as it trades below the 20 SMA, and heading to test its support at 1770. For now, any further rallies below 1770 will confirm a sell as if gold penetrates the level, it will at the same time break the descending wedge. More price action is likely to be in place after Wednesday’s FOMC policy announcement.

Resistance: 1786, 1804, 1818

Support: 1770, 1758

GBPUSD (4- Hour Chart)

GBPUSD stays in the positive territory neat 1.3230 on Tuesday as the US dollar has a difficult time to find the demand after the release of PPI report. However, the pound’s demand is at the same time at stake as the Omicron infections in the UK looks worse than expected. As a result, further price action eyes on Wednesday’s FOMC announcement. From the technical aspect, despite the recent rebound, the outlook of the currency pair continues to remain bearish as it still trades below the 20 and 50 SMAs on the four- hour chart. In the meantime, the RSI is neither in the oversold nor overbought territory, punctuating the lack of upside strength. On the upside, GBPUSD needs to at least trade above the SMAs to reclaim bullish momentum in the near- term. Trading above the resistance at 1.3321 will re- confirm a bearish- to- bullish trend.

Resistance: 1.3321, 1.3419, 1.3499

Support: 1.3163

EURUSD (4- Hour Chart)

EURUSD trades near its weekly low at 1.1269 amid the advances in the US government bond yields. The focus remains on Wednesday’s US Fed decision and Tuesday’s the ECB meeting. From the technical analysis, EURUSD continues to seesaw within 1.1233- 1.1357 range. On the four- hour chart, the outlook remains bearish as the pair continues to trade below the 20 and 50 Simple Moving Averages; in the meantime, it trades within the lower bounce of Bollinger Band. The RSI indicator remains neutral, suggesting a directionless situation. On the upside, EURUSD needs to trade above 1.1357 in order to begin another bullish trend; the pair might extend further gain p to 1.1462 if it successfully breaches the immediate resistance at 1.1357.

Resistance: 1.1357, 1.1462, 1.1548

Support: 1.1186

Economic Data

Market Focus

US stocks fell on Monday due to concerns about the Omicron coronavirus variant before the Federal Reserve meeting later this week. The decline was mainly concentrated in the oil and gas, consumer services and technology sectors. At the end of the market, the Dow Jones Industrial Average lost 0.89% to 35,650.96 points, the S&P 500 index lost 0.91% to 4,668.98 and the Nasdaq Composite Index, dropped 1.39%.

Seven of the 11 major sectors of the S&P 500 fell, with only defensive stocks such as real estate, utilities, consumer staples and healthcare rising. Travel-related stocks fell because the fast-spreading Omicron accounted for about 40% of COVID-19 infections in London, and at least one person died in the UK. On the other hand, the best-performing stock in the Dow Jones Industrial Average was Coca-Cola Company, which rose 2.63%, Walmart rose 1.80% and Johnson & Johnson rose 1.79% in late trading. The worst performing stock was Boeing, which fell 3.74%, the Dow fell 2.49% and the Home Depot fell 2.45%. In addition, the best performing company in the Nasdaq Composite Index was SeaChange International Inc, which rose 128.81%, Arena Pharmaceuticals Inc soared 80.38% after Pfizer agreed to acquire a $6.7 billion all-cash transaction, Pfizer also rose 5.3%, and Foghorn Therapeutics Inc rose 54.96%. The worst performers were Nisun International Enterprise Development Group Co Ltd, which fell 60.29%, X4 Pharmaceuticals Inc fell 44.13%, and IGM Biosciences Incclose fell 41.31%.

Main Pairs Movement:

The three most important central banks in the world will hold their last monetary policy meeting in 2021, which will exacerbate weak sentiment. The Federal Reserve will announce its monetary policy decisions on Wednesday, while the Bank of England and the European Central Bank will announce their monetary policy decisions on Thursday. Concerns about how the ongoing Omicron epidemic might affect such decisions and global economic growth continue. At the same time, the UK reported its first death related to the Omicron variant, which stimulated market risk aversion.

In the US Treasury market, the 10-year long-term Treasury bond yields fell, and the 20-year and 30-year Treasury yields fell 7-8 basis points to close at 1.414%, 1.84% and 1.80%, respectively.

The EUR/USD hovered below 1.1300, while the GBP/USD fell to the 1.3200 area. Due to the slight decline in U.S. stocks, commodity-related currencies faced selling pressure and rebounded slightly before the close. The AUD/USD fell by 0.54%, and the USD/CAD rose by 0.62%. The safe-haven currencies Swiss franc and Japanese yen changed little against the U.S. dollar each day, and both fell 0.19% against the greenback.

Gold rose 0.21% and hovered at $1786 per ounce area, while WTI oil dropped 1.08% to $71.16 per barrel.

Technical Analysis:

BTCUSD (Daily Chart)

On Monday, 90% of Bitcoin have been mined according to the tracker from Blockchain.com. That being said, 90% of the coin are on the open market. From the technical aspect, Bitcoin falls back from $50,132, a 1.41% rise on Sunday. Bitcoin starts the week by re- testing the support pivot again at $46,510. On the daily chart, Bitcoin needs to move back through $55,103 to initiate the first bullish momentum into play. Failure to move back though the immediate resistance would continue to make Bitcoin downside. If the support at $46,510 cannot hold, then Bitcoin will head toward the next support at $39,566. However, it looks like that the bearish momentum is being weakened as the RSI remains oversold condition, due for a bounce back.

Resistance: 55,103, 58,000, 68,991

Support: 46,510, 39,566, 32,621

GBPUSD (4- Hour Chart)

GBPUSD edges higher on Monday as the US dollar struggles to preserve its strength to start the week. From the technical perspective, the outlook of the pair turns upside in the near term as it has breached the descending trendline and is trading above the 50 moving averages. However, the upside momentum seems lack of strength as the currency continues to consolidate in the range from 1.3321 to 1.3163. Moreover, the RSI indicator has hovered around the midline, suggesting that buyers and sellers show less interest in the pair for the time being. On the downside, if the pair falls below the bearish trendline, then it will turn bearish in the near- term and head toward 1.3163. Current resistance awaits at 1.3163 while supports are located at 1.3321, followed by 1.3419.

Resistance: 1.3321, 1.3419, 1.3499

Support: 1.3163

EURUSD (4- Hour Chart)

EURUSD rebounds toward 1.1300 to start the new week as the decline of the US bonds makes it difficult for the US dollar to outperform its rival currencies. From the technical perspective, the 4- hour outlook hints that the bullish momentum is still being limited as EURUSD continues to develop below the simple moving averages, currently hovering below the 20 and 50 SMAs. In the meantime, EURUSD keeps trading within the lower bounce of Bollinger Band after bottoming at 1.1259. It is expected to see the pair consolidate below the moving averages as the RSI is currently neutral, hovering around the midline; furthermore, the MACD is flat, neither supporting buyers nor sellers. Further movements of the pair will eye on Tuesday’s US PPI report.

Resistance: 1.1357, 1.1462, 1.1548

Support: 1.1186

Economic Data

Market Focus

US stock advanced on Friday, recovering from previous day’s slide. Market now tends to believe that the Federal Reserve won’t have to accelerate plans to tighten monetary policy after the release of a in-line inflation data. The US CPI came in 6.8%, which is the highest since 1982 but correspond with market’s expectations. Therefore, the fact that high US inflation wasn’t even higher supports the equity market. Also, Consumer Sentiment in US improved from a decade-low in November. On top of that, concerns about the spread of new Omicron variant keep weighing on market sentiment, as companies in UK have started to tell employees to work from home. Investors now await the key Fed meeting this week, which might provide some clues on the pace of bond tapering and interest rate hikes.

The benchmarks, S&P 500, Nasdaq 100 and the Dow Jones Industrial Average both rose on Friday amid upbeat market mood and relief that Fed won’t have raise interest rates too early. S&P 500 was up 1.0% on a daily basis and the Dow Jones Industrial Average advanced with a 0.7% gain for the day. All eleven sectors stayed in positive territory as the information technology and consumer staples sectors are the best performing among all groups, gaining 2.07% and 1.99%, respectively. The Nasdaq 100 advanced the most with 1.1% gain on Friday and the VIX fell a further more than 2.0 points to under 19.50.

In Asia, after disclosures that came a day after the developer officially defaulted on their dollar debt, China Evergrande Group chairman Hui Ka Yan was forced to sell pledged shares in the company. Therefore, shares of Evergrande declined 1.7% lower as well as Chinese real estate stocks, which also down 1.5%.

Main Pairs Movement:

The US dollar edged 0.2% lower last Friday, staying in negative territory amid improved market sentiment. The DXY index gained bullish momentum and touched a daily top above 96.42 level during European session, but then pulled back to below 96 and surrendered its intraday gains at the end of the day. The in-line US CPI data supported major US equities and put pressure on the greenback. Markets focus now shift to the Fed meeting this week, as investors expect a speed up bond tapering.

GBP/USD and EUR/USD both advanced last Friday amid US dollar weakness, climbing 0.34% and 0.20%, respectively. The cable saw fresh buying and touched a three-day high above 1.327 during American session. Meanwhile, EUR/USD recovered from a two-day low that touched earlier in the day, trading at around 1.131 area at the end of the day.

Gold advanced and touched a daily top around $1790 amid high US inflation report, which rose the most since the early 1980s. The renewed selling witnessed in greenback also acted as a tailwind for the precious metal, which gained 0.41% on a daily basis. WTI oil surged 1.81% for the day, closing out its best weekly performance since August. The growing confidence that the new Omicron variant is set to be far milder than past variants like delta pushed oil prices higher.

Technical Analysis:

AUDUSD (4- Hour Chart)

AUDUSD retests 0.717, gaining some positive traction after the US CPI report. From the technical perspective, the pair is currently challenging its immediate hurdle at 0.717. The outlook turns positive as the pair has breached the bearish trendline. If AUDUSD can officially trade above the 0.717, then it will reaffirm its upside momentum in the near term. From either the RSI or the MACD, a buying opportunity occurs as both indicators currently favor buyers. On the flip side, if AUDUSD falls below its support at 0.7116, then it will turn downside as it will falls within the bearish trendline.

Resistance: 0.717, 0.7227

Support: 0.7116, 0.6997

GBPUSD (4- Hour Chart)

GBPUSD climbs above 1.3230 on worrisome US inflation report, hitting the highest in almost four decades. The US dollar seems vulnerable after the inflation report; in the meantime, heating US inflation figures might hint at steeper US Fed tightening. From the technical aspect, today’s upside momentum seems to bring GBPUSD out of the bearish trendline on the 4- hour chart, suggesting an overturn from bearish to bullish in the near term. A neutral RSI looks to favor bullish traders, who are also supported by a positive MACD. The next relevant resistance is set at 1.332, followed by 1.3417. On the flip side, if the pair fails to close its intraday price above the bearish trendline, then a selling opportunity will occur. The next relevant support is set at 1.3163.

Resistance: 1.3321, 1.3419, 1.3499

Support: 1.3163

EURUSD (4- Hour Chart)

EURUSD bounces modestly above 1.1300 after the US inflation report at 6.8% in November, reaching the highest in almost four decades. From the technical aspect, the overnight pullback from weekly lows seems to turn the currency pair back to bullish mode in the near term. Climbing back above 1.1300 favors bullish traders as EURUSD is now trading above its 20 and 50 SMAs; in the meantime, the MACD indicator is now turning into positive levels as the time of writing. The current upside momentum is expected to bring the pair toward its immediate resistance at 1.1357. On the flip side, selling below 1.1299 region will reaffirm the negative bias and accelerate the downside momentum toward its support at 1.1186.

Resistance: 1.1357, 1.1462, 1.1548

Support: 1.1186

Economic Data

Dear Client,

As part of our commitment to providing the best reliability and service to our client, we are planning an upgrade in our server on December 11th 2021.

As a result, we will be conduct maintenance according to the schedule below.
Start date and time: 2021-12-11 13:00 GMT+2(Server time)
End date and time: 2021-12-11 19:00 GMT+2(Server time)

Kindly be reminded that the following things might be affected during this maintenance period:

1. The login and operation of the client portal

2. The login of the trading account

3. The quotations of products will be paused. Clients might not be able to open new positions or close the held positions.

4. There might be a gap between the original price and the price after maintenance. Pending orders, Stop Loss, and Take Profit settings within the gap will be filled at the market price after maintenance ends.

After the upgrade, clients can login to trading account using the server which is shown in the account activation mail.

No action is required by our client. Your service will be back online after the maintenance is completed.

Thank you for your patience and understanding with regard to this important initiative.

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

Market Focus

US stock declined on Thursday, ending its three day winning streak. Investors now worried about that the restrictions to stop the spread of new Omicron variant could harm the economic recovery. A study has found that new Omicron is 4.2 times more transmissible than the delta variant in its early stages. On top of that, UK PM Boris Johnson announced that the UK would started to reimpose Covid-19 restrictions on everyday life and people are encouraged to work from home. Investors now await the key US inflation data on Friday, which might provide some clues on the pace of bond tapering.

The benchmarks, S&P 500 and Nasdaq both dropped on Thursday as market sentiment soured and the bearish news about rising Omicron fears acted as a headwind for the equity markets. S&P 500 was down 0.7% on a daily basis and the Nasdaq 100 declined with a 1.5% loss for the day. Nine out of eleven sectors stayed in negative territory as the consumer discretionary and real estate sectors are the worst performing among all groups, losing 1.70% and 1.36%, respectively. The Dow Jones Industrial Average was little changed on Thursday.

In Asia, China Evergrande Group and Kaisa Group Holdings Ltd. officially defaulted on their dollar debt, and the China authorities have made it clear that they have no intention of bailing out the Evergrande Group to prevent scenarios of an collapse. Moreover, the People’s Bank of China raised its foreign currency reserve requirement ratio for a second time this year.

Main Pairs Movement:

The US dollar edged higher on Thursday, staying in positive territory amid risk-off market sentiment. The DXY index gained bullish momentum and touched a daily top above 96.3 level during American session, but pulled back slightly and surrendered some of its intraday gains at the end of the day. Markets focus now shift to US Core CPI reports on Friday, as the Fed said it would be appropriate to discuss speeding the QE taper at next week’s meeting due to rising inflation pressure.

GBP/USD advanced on Thursday, climbing towards 1.322 area and recovered from yearly lows that touched earlier this week, despite UK promoted the work-from-home culture on Omicron variant threat. Meanwhile, EUR/USD dropped to daily lows below 1.129 level and posted a 0.47% loss on a daily basis, as investors now await the ECB monetary policy meetings next week.

Gold dropped to $1775 area amid Covid-19 restrictions spurred by the Omicron variant’s rapid spread. The recovery witnessed in greenback also weighed on the precious metal, which slided 0.48% on a daily basis. WTI oil tumbled 2.78% for the day, ending its previous rally. Covid-19 restrictions and the spread of the omicron variant both decreased the oil demand, dragging oil prices lower.

Technical Analysis:

AUDUSD (4- Hour Chart)

AUDUSD witness a turnaround from a two- week high as hawkish Fed expectations have renewed US dollar buying. Moreover, the US dollar regains strength after the economic data, initial jobless claims, has shown a better- than- expected result. In the meantime, the latest US CPI report on this Friday will heavily influence the US dollar price dynamics. From the technical perspective, the 4- hour outlook remains bullish as it has not yet fell within the bearish channel. The pair fails to challenge the resistance of 0.7170, giving the pair potentials to consolidate in the range of 0.7170 and 0.7116. The downside momentum is limited as the RSI is clear from the overbought condition while the MACD is still positive. The pair needs to fall below the support of 0.7116 and the midline of Bolliger Band to present a negative level

Resistance: 0.717, 0.7227

Support: 0.7116, 0.6997

BTCUSD (Daily Chart)

The Bitcoin hashrate, which is a measure of computing power, has almost recovered to its level in May when Chinese government started a crackdown on the mining industry. From the technical perspective. Bitcoin’s bulls have attempted to recover after hitting its support level at $46,510 last week, but it seems to hit a curb after reclaiming the psychological resistance at $50,000. The daily outlook looks bearish as it continues to trade below the ascending trendline, re- challenging its support at $46,510. Bitcoin’s bulls need to defend its support level in order to keep a further bullish correction alive. If it fails to defend, then the bearish momentum can go further toward the next support at $39,566. However, as the RSI indicator has almost reached the oversold territory, the bearish price action might fade soon. In the meantime, Bitcoin has reached the lower bounce of Bollinger Band, suggesting a pullback. To the upside, Bitcoin needs to climb above the acceptance level at $55,103 in order to regain strength; otherwise, its daily outlook remains bearish.

Resistance: 55,103, 58,000, 68,991

Support: 46,510, 39,566, 32,621

EURUSD (4- Hour Chart)

EURUSD declines below 1.1300 after the market is anticipating over a potential increase in the APP at its meeting next week. Dovish ECB headlines weigh on the euro dollar. At the same time, the US dollar rebounds amid a cautious mood on the new variant Covid. From the technical perspective, EURUSD trades below its 20 and 50- day SMAs, losing its positive momentum on the 4- hour chart, but still not yet claiming an upcoming decline as the MACD indicator is still positive, lending supports to bulls. In the same chart, if the currency pair remains below the SMAs, then it might head to the support at 1.1186 to extend its bearish mode. On the contrary, the pair needs to trade above the SMAs in order to reclaim and remain within positive levels.

Resistance: 1.1357, 1.1462, 1.1548

Support: 1.1186

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/MT5 software for details.

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

Market Focus

After the last two consecutive days of impressive rally, the market was relatively quiet on Wednesday. U.S. stocks have been hesitant after determining their direction in the first hour of opening. At the end of the market, the Dow Jones Industrial Average rose 0.10% to 35,754.76 points, the S&P 500 index rose 0.31% to 4,701.22 and the Nasdaq Composite Index, rose 0.45% to 15,757.04 points. In the absence of economic data, the index has no additional impetus, but the number of initial jobless claims and CPI will be announced in the next two days, which may provide some momentum for the index trend. In the bond market, the 10-year Treasury bond yield rose to 1.528%, the third consecutive rise. Investors are waiting for the Fed’s meeting next week to see whether officials will accelerate the pace of reducing asset purchases.

In the S&P 500 index sector, the communications services sector and the healthcare sector were the two biggest winners on Wednesday. In the communications sector, Roku Inc. and Stagwell Inc. rose 18.23% and 10.28%, respectively. On the other hand, in the Nasdaq Composite Index, which is dominated by technology stocks, Apple’s stock price rose 2.28% to a record high, Meta rose 2.4%, and Zillow Group rose 4.25% to lead the rise of technology stocks.

Main Pairs Movement:

Since the opening of the London trading hours, the U.S. dollar has been weakening, but it closed stronger than most major competitors. Currently, market full of the anxiety on the new coronavirus, Omicron, trading has been fluctuating throughout the day. At present, the market is still full of anxiety about the new coronavirus Omicron, and the trading market fluctuates throughout the day. With the escalation of infectious diseases in Europe, France, the United Kingdom and Germany announced restrictions. Fortunately, Pfizer stated that its booster injection of the coronavirus vaccine is effective for the Omicron variant.

Despite the lack of macroeconomic data release, the EUR/USD has recently rebounded to the 1.1350 area, while the AUD/USD has returned to above the 0.71435 level and continues to try to return to the 0.72 area.

After the British Prime Minister announced his so-called “Plan B” to contain the latest coronavirus outbreak. GBP/USD weakened and maintained a downward trend, and may continue to refresh the lowest level this year.

Gold is still at a familiar level and is currently trading at approximately $1,786.00 per troy ounce. Crude oil prices rose slightly, and WTI is currently quoted at $72.40 per barrel.

Technical Analysis:

AUDUSD (4- Hour Chart)

The Aussie extends its rally, currently challenging its immediate hurdle at 0.7170. From the At present, the market is full of anxiety about the new coronavirus Omicron, and trading fluctuates throughout the day. With the escalation of infectious diseases in Europe, France, the United Kingdom and Germany announced restrictions.

On the other hand, Pfizer stated that the booster injection of its coronavirus vaccine is effective for the Omicron variant. Early studies have shown that people who have been infected with the new coronavirus and have been vaccinated twice or the third dose are highly protected by the highly mutated virus strain. From a technical aspect, the outlook of AUDUSD turns upside after it breaches the bearish channel on the 4- hour chart. The pair is facing the critical resistance at 0.7170; the breach of the latter will expose a one- month down slope trendline, previous resistance- turned- support. Nonetheless, the breach would be difficult as the RSI has hit the overbought territory and the pair has reached the upper bounce of Bollinger Band, suggesting a pullback. To the downside, if the pair fails to break 0.7170 level, then it is expected to head toward 0.7116 for an adjustment. On the contrary, if the pair successfully penetrates 0.7170, then it is expected to head further north, toward 0.7227.

Resistance: 0.717, 0.7227

Support: 0.7116, 0.6997

GBPUSD (4- Hour Chart)

The Cable plummets to fresh 2021 lows around sub- 1.3200 as the greenback recovers. In the meantime, impending Brexit risks and new variant Covid weigh on the British Pound. From the technical perspective, the outlook of GBPUSD looks bearish on the 4- hour chart as it continues to trade within the descending channel. Despite of hitting the lower bounce of Bollinger Band, the bearish momentum seems unstoppable as the RSI has not reached the oversold territory and the MACD is still negative. As the time of writing, the pair is aiming for the next immediate support at 1.3163 before the bearish momentum takes a break.

Resistance: 1.3321, 1.3419, 1.3499, 1.3578

Support: 1.3163

EURUSD (4- Hour Chart)

EURUSD recovers the 1.1300 threshold while the US 10- year yield hovers around 1.5%. From the technical perspective, the pair turns bullish in the near term since the pair is currently extending above the 20 and 100 simple moving averages in the 4- hour chart, but not yet overcoming its resistance at 1.1357. The pair needs to trade above the acceptance level at 1.1357 to maintain its bullish trend. At the moment, the RSI indicator has not yet crossed the overbought line, providing more rooms to extend further north; in the meantime, the bullish momentum is supported by the positive MACD. To the downside, if the pair falls below its 20 and 100 simple moving averages, then it might head toward its support at 1.1186, turning back to the bearish mode.

Resistance: 1.1357, 1.1462, 1.1548

Support: 1.1186

Economic Data

Market Focus

US stock advanced on Tuesday, making the biggest rally in nine months amid risk-on market sentiment. Investors’ mood turned more upbeat this week as several health experts have said that Omicron symptoms appear milder, and the variant seems won’t derail the global economic recovery. However, the new restrictions to stop the spread of Omicron could still put some pressure on market mood. Meanwhile, US Treasury yields surged on the back of the market’s optimism, with the 10-year Treasury note yielding 1.48% by the end of the day.

The benchmarks, S&P 500, Dow Jones and Nasdaq both rose on Tuesday as risk assets recovered and the encouraging news about easing Omicron fears acted as a tailwind for the equity markets. S&P 500 was up 2.1% on a daily basis and the Dow Jones Industrial Average climbed with a 1.4% gain for the day. All eleven sectors stayed in positive territory as the information technology and consumer discretionary sectors are the best performing among all groups, rising 3.51% and 2.36%, respectively. The Nasdaq 100 gained the most with 3%.

In Asia, China has pledged measures to support economic growth. Moreover, China’s Trade Balance has eased to $71.72B while the Exports improved from 17.2% to 22.0%, led by a record on external demand and an easing power crunch. In Australia, the RBA decided to keep the benchmark rate unchanged at 0.1% and the weekly bond purchases of $4.0 billion intact until at least mid-February 2022, which is in line with market expectations.

Main Pairs Movement:

The US dollar edged higher on Tuesday, staying in positive territory amid upbeat market sentiment. The DXY index gained bullish traction and touched a weekly high near 96.6 area, but then started to see some selling while surrendered most of its intraday’s gains during American session. Markets now become more optimistic that Omicron will not derail the global economic recovery. However, it’s still too early to say as long as the omicron strain remains a new source of uncertainty.

GBP/USD declined on Tuesday, dropping below 1.325 level amid steady US dollar across the board. The pair reached a daily top in early European session but failed to preserve its bullish momentum. EUR/USD also dropped to a daily low below 1.123 level, as the EU Q3 GDP data failed to impress and made the EUR was the weakest USD rival, losing 0.13% on a daily basis.

Gold recovered some of Monday’s losses and edged higher to $1785 area, holding steady amid upbeat market mood and positive Omicron related-news. The precious metal is now rising 0.13% on a daily basis. WTI oil stayed in positive territory and surged 2.48% for the day, supporting by upbeat sentiment and the fact that the EIA raised its forecast for 2022 world oil demand growth by 200K barrels per day in its latest report.

Technical Analysis:

AUDUSD (4- Hour Chart)

The Aussie rebounds from sub- 0.70000 region for the second successive day. From the technical point of view, the pair looks bullish in the near term as its intraday outlook has breached the bearish channel. The upside momentum is expected to continue, heading toward the immediate hurdle at 0.7116. Afterward, the momentum might need to adjust as the pair is going to hit the upper bounce of Bollinger Band while the RSI is going to reach the overbought condition, due to a pullback.

Resistance: 0.7116, 0.717, 0.7227

Support: 0.6997

BTCUSD (Daily Chart)

Bitcoin edges higher for a third successive day following a devastating weekend’s slump. From the technical aspect, Bitcoin seems to be ready to test its immediate barrier at $55,000. Even though the near term outlook of Bitcoin remain bearish as it still falls below the bullish trend, the upside momentum is supported by the oversold RSI, which is currently at the 30ish mark. Bitcoin needs to climb above $55,000 in order to regain strength. If Bitcoin fails to break through and falls below its support at $46,510, then it will accelerate toward $39,566.

Resistance: 55,103, 58,000, 68,991

Support: 46,530, 39,566, 32,621

EURUSD (4- Hour Chart)

EURUSD trades at fresh weekly lows near 1.1200 region amid tepid EU data. From the technical perspective, the outlook of the pair leans to more sellers’ side on the 4- hour chart as the seller side of the MACD intensifies, reflecting strong selling interest. EURUSD is poised to accelerate its slump toward the next support at 1.1186 after it falls below its moving average. From the RSI indicator, it has not yet reached the oversold territory, providing rooms for further downside. The pair needs to climb all the way above its moving average and the midline of Bollinger Band to regain bullish momentum in the near term.

Resistance: 1.1357, 1.1462, 1.1548

Support: 1.1186

Economic Data