Economic News Today

General Market Overview

A day before markets closed last week, we witnessed Israel retaliating against Iran. Though the conflict was seen as child's play by Iran, and mentioned that they would not retaliate further, analysts mention that it is important to note that this statement cannot be taken for granted as they do not know if Iran would strike back the second time. With this uncertainty, as the market opens, it would be interesting to note how the markets would react, especially in the POV of investor confidence in Europe, Great Britain, and the US. 

We may experience most changes in Metals and Minerals, Treasury Yields, the VIX, and Oil and gas prices as tensions in the Middle East set in for a fear of lagging supply of Oil. 

Asian countries may not be excluded from the list of plausible changes as world trade may be affected. 

While that may be on the horizon, Iran's announcement of not retaliating further does allow us to focus back on fundamentals.

This week, we will see major companies reporting their results. We have Tesla, Meta, Alphabet, Amazon, and Microsoft. We also have big impact news coming in for the USD, JPY, GBP, EUR, and AUD. We will also see US Crude Oil, Distillate, and Gasoline Inventories. US Advance GDP q/q will also be releasing results.  

GOLD -Prices are being squeezed inwards. We see a price in between the range of the hourly structure at 2392.470 and 2365.743We want to see a break beyond the 4h structure at 2432.191 for a bullish continuation or at 2319.398 for a continuation downward. We may expect to see an aggressive move in prices soon as the week progresses.

SILVER -Silver is still stuck in between the range of hourly structures at 28.073 and 29.018. Our overview of the price remains bullish. We must wait for the price to break below or above before any movements can be made. We may expect to see a break of structure within the coming week.

DXY - The DXY remains in a range between the hourly structures of 106.394 and 105.840. A break beyond these structures is required to call for any abundant movements. We may expect to see a break sometime this week. We still see a bullish USD at the moment from where the price stands.

GBPUSD - GBP is currently testing the daily structure at 1.23720. Upon a successful break, we can see price testing the 4h structure at 1.22714. We still see the GBP bearish.

AUSUSD -AUD has failed to break beyond the hourly structure at 0.64086 and prices are now looking to test the resistance with the daily structure at 0.64427. A W formation being created is also a possible call for a bullish move but, we still see the pair to be bearish with potential to range in between the daily structures at 0.65250 and 0.64427.

NZDUSD -The NZD is currently in between two structures of the 4h at 0.59400 and the daily at 0.58856. With the formation of the W pattern, we may see a potential bullish run. However, we still view this market to be bearish with the potential to consolidate in between the monthly structure of 0.59796 and 0.58856. Upon a break of the current structure, we see NZD testing into the daily structure at 0.58166.

EURUSD -The EUR has failed to break below the 4h structure at 1.06202 and has formed a potential SHS pattern for a bullish run. With prices still respecting the overall downtrend of the daily chart, we still view the entirety of the EU to be bearish with the potential to consolidate between 1.07549 and 1.06202. However, upon a successful break downward, we view the EU to test the monthly structure at 1.04672.

USDJPY -Prices are still in a range between two hourly structures at 154.771 and 154.112. With momentum still, in a parabolic run, we can see prices moving upward with potential to retrace.

USDCHF -Price was supported by the channel as it was rejected aggressively. We still call this pair to be a bullish market. We need to see the price move beyond the anchor point of the channel and the structure at 0.91473. Upon a successful break, we call a test toward 0.92248.

USDCAD - Price has retracted down toward the structure at 1.37261, testing it again while forming an SHS pattern. A successful break may consolidate the price above the 1.36612. We still call the overall bias of the USDCAD to be bullish with a potential to retrace for better entries.

REMINDER:

The start of the markets may mean two things: The filling of orders or an aggressive move towards structure. It is imperative to choose your trades and your charts.

Strength Analysis:

CAD - (5/5) Weak

CHF - (5/5) Weak

GBP - (2/5) Weak

JPY - (5/5) Weak

EUR - (3/5) Strong

AUD - (5/5) Weak

NZD - (4/5) Weak

USD - Mixed

UST 10Y Note - (2/5) Strong

NASDAQ Mini - (2/5) Strong

Russel E-Mini - (5/5) Weak

WTI Crude Oil - (5/5) Strong

Gasoline RBOB - (1/5) Strong

Silver - (4/5) Strong

Gold - (4/5) Strong