04/07 Market report

【Dow Jones】

Fed Governor Brainard said on an online seminar hosted by the Minneapolis Unified Bank that inflation in the United States is too scary and that number may increase in the future.

It is said that the Fed's balance sheet reduction should be accelerated. Markets expect that the monthly retraction could be as high as $800 to $100 billion.

At the same time, the German bank also published a research report that sharp interest rate increases and balance sheet reductions will cause a major blow to the US economy, and the United States is expected to fall into recession as soon as the last quarter of 2023.

In the current daily technical chart of the Dow Jones Index, the Alligator shows a Golden Cross while the KD shows a Death Cross. The Dow Jones is still lacking a catalyst for a breakthrough.

USA30-D1

Resistance point 1: 35000 / Resistance point 2: 35500 / Resistance point 3: 36000

Support point 1: 34000 / support point 2: 33500 / support point 3: 33000

【Japanese Yen】

In the 2022 Global Currency Depreciation Rankings - 1st place was the Russian Rubles and the 2nd place was the Japanese Yen!

At this stage, the president of the Bank of Japan came out and said that “the rate of depreciation of the Japanese currency is a little too fast. The depreciation is a good thing for the overall economy. However, if it continues to depreciate, it may reduce the real income of households and shrink the profits of domestic enterprises and even lose money, which will then lead to a poor economy.”

The market thinks that the Bank of Japan may start to suppress the exchange rate next.

At present, in the daily technical line of USDJPY, Alligator golden cross while the KD a high-end figure indicate that the strength of the bulls is very strong. The buying strength is easily seen on the line chart.

USDJPY-D1

Resistance point 1: 125.500 / Resistance point 2: 127.200 / Resistance point 3: 130.0.00

Support point 1: .122.200 / support point 2: 120.000 / support point 3: 118.200

【Gold】

According to the report of the World Gold Council (WGC), the gold reserves of the global central banks in February 2022 are reduced. They expect that the gold reserves of the global central banks should still grow this year mainly because of the sharp deterioration of inflation and the War between Ukraine and Russia. The NATO Secretary-General said that this war may take at least several months or even years, so there would still have a certain degree of purchasing power in gold.

In the daily technical line of gold, alligator golden cross, KD death cross. Both technical lines contradict each other as gold continues to consolidate between $1900 and $1950 per ounce and waiting for a break through.

XAUUSD-D1

Resistance point 1: 1950 / Resistance point 2: 1960 / Resistance point 3: 1980

Support point 1: 1900 / support point 2: 1890 / support point 3: 1870

【Crude Oil】

The United States announced the release of 1 million barrels of fried bombs a day, which would release about 180 million oil for six months.

The Paris-based International Energy Agency has estimated that sanctions and buyer reluctance could remove 3 million barrels per day from global markets of Russian crude and refined products from April.

In Dow Jones's daily technical chart, the Alligator moving average is tangled. The KD Golden Cross shows that there is still some buying in the price of crude oil.

The focus will be on whether the price will continue to drop near the previous low of the 94 region which would change the KD indicators reading.

USOIL-D1

Resistance point 1: 98.000 / Resistance point 2: 100.200 / Resistance point 3: 108.500

Support point 1: 95.000 / support point 2: 93.500 / support point 3: 91.800

OnePro Special Analyst

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