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By: Ahura Chalki
The market is messed, what next?
Meanwhile, the 10-year US Treasury bond yield lost nearly 4% on the day and fell below the 2-year bond yield for the first time in more than ten years and is believed to signal an upcoming recession (yahoo finance). US stock exchanges fell more than 3% and USD Index returned back to uptrend! Putting all this news together will tell us just one thing, the market is messed! Chinese economy as the second-largest economy in the world moving so slowly, Germany as the largest EU economy also following the same way. Germany’s most export is the car and China is the biggest German car market! However, here is just one economy that still in a positive mood, the US. Today is a busy day for the US market as we will have many data to publish, Retail sales, industrial production, and Philadelphia and NY federals manufacturing production.
From the technical side, RSI in the H1 chart still remains of more bullish, while Stochastic with cutting down the signal line with the mainline from around the 80-level, started bearish signal, or at least the correction for now, till we will know about the next economic data. $1506 and $1525 are two key levels to confirm the more bullish or bearish for now.
Pivot point: 1512.60
Resistance levels: 1531.05 / 1542.50
Support levels: 1501.13 / 1482.65
The expected trading range for today is between 1482.65 support and 1542.50 resistance.
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