Daily Market Insights: February 20, 2024： Navigating Global Markets with Trading Central's Analysis

MARKET WRAP

STOCKS, BONDS, COMMODITIES

On Monday, U.S. markets remained closed for the Presidents' Day holiday.

Last Friday, U.S. stocks retreated after two consecutive sessions of gains. The Dow Jones Industrial Average dropped by 145 points (-0.37%) to 38,627, the S&P 500 declined by 24 points (-0.48%) to 5,005, and the Nasdaq 100 fell by 159 points (-0.90%) to 17,685.

European markets closed with mixed results on Monday. The DAX 40 saw a decline of 0.15%, while the CAC 40 remained relatively flat, and the FTSE 100 closed 0.22% higher.

Goldman Sachs upgraded its rating on global equities to “overweight,” citing economic growth and a recovery in manufacturing activity.

Brent crude oil futures rose by $0.09 to $83.56 a barrel, and U.S. WTI crude oil futures increased by $0.10 to $79.29 a barrel.

The price of gold gained $3, reaching $2,016 per ounce.

The U.S. dollar index dipped to 104.24 after rallying for five consecutive weeks.

EUR/USD increased by 6 pips to 1.0780.

USD/JPY eased by 8 pips to 150.13.

GBP/USD remained steady at 1.2599.

AUD/USD gained 9 pips, reaching 0.6540.

USD/CHF rose by 14 pips to 0.8819, and USD/CAD increased by 4 pips to 1.3488.

Bitcoin continued trading within a narrow range of around $52,000.

In Asian trading hours, AUD/USD slipped to 0.6525 from 0.6540 in the prior session. The Reserve Bank of Australia's meeting minutes indicated that “members noted it would take some time before they could have sufficient confidence that inflation would return to target within a reasonable timeframe.”

Meanwhile, EUR/USD fell to 1.0765, and GBP/USD declined to 1.2585.

USD/JPY climbed to 150.30.

Gold remained relatively unchanged at $2,017.

Bitcoin traded slightly lower at $51,625.

In the U.S., the leading index is expected to decrease by 0.2% month-on-month in January.

Canada's inflation rate is anticipated to ease to 3.2% year-on-year in January.

EUR/USD Intraday: under pressure.

Pivot: 1.0785

Our preference: Short positions below 1.0785 with targets at 1.0760 & 1.0745 in extension.

Alternative scenario: Above 1.0785, look for further upside with 1.0805 & 1.0820 as targets.

Comment: A break below 1.0760 would trigger a drop toward 1.0745.

GBP/USD Intraday: under pressure.

Pivot: 1.2610

Our preference: Short positions below 1.2610 with targets at 1.2570 & 1.2550 in extension.

Alternative scenario: Above 1.2610, look for further upside with 1.2630 & 1.2645 as targets.

Comment: The RSI shows downside momentum.

USD/JPY Intraday: further advance.

Pivot: 150.10

Our preference: Long positions above 150.10 with targets at 150.60 & 150.75 in extension.

Alternative scenario: Below 150.10, look for further downside with 149.95 & 149.85 as targets.

Comment: The RSI advocates for further advance.

Dow Jones (CME)‎ (H4)‎ Intraday: the downside prevails.

Pivot: 38740.00

Our preference: Short positions below 38740.00 with targets at 38510.00 & 38400.00 in extension.

Alternative scenario: Above 38740.00, look for further upside with 38810.00 & 38910.00 as targets.

Comment: The RSI is bearish and calls for further decline.