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Daily outlook – 10 June 2020
By: Stuart Cowell
USD slips again ahead of FED tonight, AUD & NZD bid. Equities closed lower and are flat in Asia. Gold tests $1720 and USOil pivots through $38.00. China – West relations in focus, Chinese co’s stop looking to the US for IPO listing and AUS admits econ wud suffer if Chinese students stay away. More weak data from Japan & China overnight. Texas hospitalizations at a record high, virus cases spike in SW USA and some California counties.
USDIndex – falls again to test 96.00 (S1) – trades at 96.20. PP 96.50. S2 95.70
EUR – holds well over 1.1300. Trades at 1.1360, (PP at 1.1320), R1 1.1395
JPY – down again at (107.40 (S1), – PP now 107.95 S2 107.9. JPY Banks have taken 50% of FED funding.
GBP – holds significantly over 1.2700 – up to 1.2775 (R1) – R2 1.2840
AUD back over PP 0.6970 to test 0.7000. R1 0.7040, S1 0.6900
NZD – holds over 0.6500 up to 0.6555. R1 0.6585, PP 0.6520 – biggest mover overnight +0.40%now.
CAD – recovered to 1.3485 yesterday – back down into the close. Under 1.3400 again at 1.3370. PP 1.3425, S1 1.3360. GS suggest 15-20% correction for Oil prices & Private Inventories showed a big build.
CHF – below 0.9500, trades at 0.9490 – PP 0.9520, S1 0.9457
BTC – back over PP (9690) at 9740
GOLD – broke over 1700, (S1) yesterday, over 200HR MA 7 PP at 1710 and is testing 1720.R1 1728
USOil – Trades at 38.20 (pp). EIA inventories later expected to show a drawdown of 1.8m. Private inventories registered a build – see CAD for Goldman Sachs comments on correction in prices due.
USA500 – Closed (-25pts, -0.78%) 3207-. FUTS 3215 (PP). DOW Down full -1%, NASDAQ up +0.3%
Today -, All about the FED (no change) but big expectations on outlook comments, especially following NFP on Friday; V, U, Swoosh, or W recovery ?? Before there are US CPI and Weekly Oil inventories.
Biggest (FX) Mover @ (06:30 GMT) NZDUSD (+0.40%) – Holds key 0.6500. Crossing EMA Triggered higher at 02:00 GMT. +37 pip gain. Fast MA aligned higher, Stochs OB, RSI (59 and rising). MACD Histogram (over 0) and Signal line both moving higher. H1 ATR 0.0015, Daily ATR 0.0080.
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