Daily Market Review & Financial Analysis

Dollar Up as Jobs Data Unaffected by Shutdown

January 18, 2019

U.S. Stock Market

Wall Street finished in the green on Thursday, following gains in the Basic Materials, Industrials and Oil & Gas sectors. The Dow Jones rose 0.67%, the S&P 500 increased 0.76%, and the NASDAQ add 0.71% to its value. Technically, according to the 4-hour chart, the Dow is trading above the middle Bollinger band and with the RSI indicator above 50, we might see the index rising towards 25,000. However, breaking below the mid-band may lead it down towards 23,000.

Facebook (FB)

Last : 148.29

Shares in the world’s top social network rose 0.52% to close at $148.29. On the 1-hour chart, the stock is trading in a bullish trend channel, which may lead to a rise towards 155.00. However, with the Momentum indicator below 0, we might see the price stall below the lower line of the channel, prior to a fall towards 140.00.

Resistance 150.00 155.00 160.00
Support 145.00 140.00 135.00

U.S. Dollar (USD)

The U.S. dollar rose on Thursday, as jobless claims data showed the government shutdown has yet to have an impact on the workforce, with the number of people filing for unemployment assistance hitting its lowest level in five weeks. Today, FOMC Member John C. Williams is due to speak and the Prelim UoM Consumer Sentiment indicator is expected at 97 vs. 98.3 previously.

Gold

Last : 1,292

Gold fell 0.08%, closing at $1,292 an ounce. According to the 1-hour chart, the metal is trading below the resistance at $1,295 with the RSI indicator below 50. These conditions may lead the price lower towards $1,280 but breaching above the resistance may force it up towards $1,305.

Resistance 1,300 1,305 1,310
Support 1,285 1,280 1,275

Crude Oil

Last : 52.13

Crude Oil fell 0.36%, closing at $52.12 a barrel. On the 1-hour chart, ‘black gold’ is trading below the resistance at $52.60. Holding below this level may lead to a drop towards $52.00. However, breaking above the SMA might drive the price higher to test the resistance line once again.

Resistance 52.50 53.00 53.50
Support 51.50 51.00 50.50

Euro (EUR)

Last : 1.139

The euro fell 0.10% versus the U.S. dollar, closing at 1.1389. On the 1-hour chart, the EUR/USD is trading below the 20-day Moving Average with the Momentum indicator below 0. Holding there may lead the pair to fall towards 1.1350. However, breaching above the SMA could cause a reversal and a rise towards 1.1450. Today, the Current Account is expected at 24.1B vs. 23.0B previously.

Resistance 1.145 1.150 1.155
Support 1.135 1.130 1.125

British Pound (GBP)

Last : 1.2981

The pound rose 0.76% against the U.S. dollar, closing at 1.2981. On the 4-hour chart, the GBP/USD has breached above the upper Bollinger band with the RSI indicator above 50. Staying up there may lead the ‘cable’ up towards 1.3050. However, dropping below the upper band might cause the pair to decline towards 1.2850 once again. Today, the Retail Sales figure is expected at -0.8% vs. 1.4% previously.

Resistance 1.3050 1.3100 1.3150
Support 1.2950 1.2850 1.2800

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