Daily Market Review & Financial Analysis

Dollar Weakens as Euro Surges

July 16, 2018

U.S. Stock Market

U.S. stocks were higher after the close on Friday, with gains in Oil & Gas, Consumer Services and Industrials .The Dow rose by 0.38%, the S&P 500 by 0.11% and the NASDAQ added 0.03% to its value. On the 1-hour chart, the Dow is trading above the bullish trend line. This may lead it towards 25,100, while crossing below the line may start a reversal and a drop to around 24,700.

GAP (GPS)

Last : 29.41

GAP fell, closing at $29.41. On the 1-hour chart, the share is trading above the support line at $29.30. Remaining here may lead the pair towards $29.55. However, breaking below the line could start a negative trend towards $29.25.

Resistance 29.45 29.50 29.55
Support 29.35 29.30 29.25

U.S. Dollar (USD)

The dollar fell against its rivals on Friday, pressured by a rebound in the Pound from an 11-day low. Today, the Core Retail Sales is expected at 0.4% vs. 0.9% and the Retail Sales at 0.4% vs. 0.8% previously.

Gold

Last : 1,240

Gold rose, as a weaker dollar failed to lift sentiment, while other metals steadied as trade war concerns eased. On the 2-hour chart, gold is trading above the support line at $1,237. Maintaining this condition should push the precious metal to higher areas around $1,245, while breaking below the line may take it back to $1,235.

Resistance 1,241 1,243 1,245
Support 1,239 1,237 1,235

Crude Oil

Last : 70.77

Crude Oil rose, closing at 70.77. On the 2-hour chart, oil has breached the 20-Day Moving Average. Holding above these levels may lead oil towards $72.00, while breaking below the SMA may cause a reversal and a fall towards $69.50.

Resistance 71.00 71.50 72.00
Support 70.50 70.00 69.50

Euro (EUR)

Last : 1.1685

The euro rose, closing at 1.1685. On the 1-hour chart, the pair is trading below the resistance at 1.1690. Holding below these levels may lead to a drop towards 1.1550. However, with the RSI above 50, we might see the pair breaching the resistance and rising towards 1.1800.

Resistance 1.1700 1.1750 1.1800
Support 1.1650 1.1600 1.1550

British Pound (GBP)

Last : 1.3235

The Pound rose, closing at 1.3235. On the 8-hour chart, the EUR/USD is trading below the 20-Day Moving Average. Holding below these levels may lead to a fall towards 1.3100, while breaching above might cause a retracement and a rise towards 1.3350.

Resistance 1.3250 1.3300 1.3350
Support 1.3200 1.3150 1.3100

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