Financial News Today

Market Overview

The dollar and treasury yields weakened ahead of US inflation data coming this week. The United States will release its April producer price index on Tuesday, with the core rate expected to rise by 0.2% from March, according to Marketwatch. The March consumer price index comes a day later, with the core rate expected to ease to 3.4% annualized from 3.5% in March, still well ahead of the Federal Reserve's 2% target.

Expect to find a slowdown in the markets across the board as they all ready themselves for market data release. If anything, we will see good positioning before the market data release and might find ourselves in the best position in the markets. But do be wary of how the equities, energies, stocks, and several pairs will play out as the risky zone is starting out. 

GOLD - They have mentioned that GOLD has been at an all-time drop since the start of this month. This is the perfect opportunity to find a GOLD buying position. When everyone starts to doubt a GOLD buying positioning, our views remain the same. The easing on the US dollar strength and the GOLD‘s drop does not reflect the investor’s sentiment or confidence towards gold, rather, it shows an opportune price to enter the markets. 

We can currently see that the price is being carried above 2332.174 and can still drop to 2319.398. Our bias for this market remains the same. We see this as bullish, especially with the upcoming CPI data release on Wednesday. However, we may see the price action come PPI release later today.

SILVER -Silver still respects bullish market structures and is showing a good corrective move toward 28.073 We see this market continuously going up with slight consolidation. There is a possibility for the correction to be lower but, we expect for this price to remain stagnant until the release of PPI. 

DXY - The dollar is ranging in between 105.840 and 105.071 with more bearish momentum as prices stick to the floor rather than the ceiling of the markets. We expect to see the prices to still be bearish but we wait for data release as analysts remain on hold for data.

GBPUSD -GBP is bullish ahead of the data release, showing good indications of a continuation on the bullish side of the markets. However, this may still alter depending on how data is released as the Eurozone shows promise in cutting rates before the US which may entail a short-term drop in their currency strength. 

However, this drop, too, is dependent on how Economic conditions in the US will run as further challenges are observed. 

AUDUSD -The AUD is ranging in between 0.65250 and 0.66145 while showing promise for the price to move upward. Constant attempts for the price to breach beyond the upper part of the price is a good sign for buyers in this market. However, like its peers, not much movement in this market.

NZDUSD - This market ranges between 0.59796 and 0.60847 which is a good indication for the buyers' market as the collection of orders is taking place. We still call bullish on this market however, we are attentive to how data will take part in this movement.

EURUSD - The EUR is still being respectful of the bullish structure. However, we also take note of the potential double-top formation seen in this chart. We also take note of the nearing down trendline. Markets may stall on 1.07757 until data release.

USDJPY - Despite slower upticks in the market, the natural flow of this pair is printing in slight favor to the dollar. There is not much asian news coming in and we suspect no BoJ intervention until data release and settlement. Or, until the data releases at the exact moment, depending on which direction it is heading. 

We remain wary of any Yen pairs. 

USDCHF -Consolidation outside of the upward channel is a good indication for the continuation lower. While the price is kept up, we are in a good area to look for trading opportunities toward the selling side. However, we do not rule out the possibility of a buy depending on market conditions. However, sell-offs are more attractive to us at the moment.

USDCAD - We see higher lows in this market as the prices stay stagnant slightly above 1.36563. We still view this market as bearish.