Daily Market Review & Financial Analysis

Dollar Down Due to Dovish Fed

March 14, 2019

U.S. Stock Market

Wall Street finished higher on Wednesday, thanks to gains in the Healthcare, Oil & Gas and Industrials sectors. The Dow Jones rose 0.58%, the S&P 500 grew 0.69% and the NASDAQ added 0.69%. Technically, according to the 4-hour chart, the Dow is still trading below the bearish trend line, which could cause it to fall to around 25,600. However, crossing above the line may lead to a rapid rise towards 25,850.

Facebook (FB)

Last : 173.38

Facebook shares rose, closing at $173.38. On the daily chart, the stock is trading below the resistance line at $174.00. Holding under the line may force the price down towards $171.00, while breaching above could take it up towards $174.50.

Resistance 173.50 174.00 174.50
Support 173.00 172.00 171.00

U.S. Dollar (USD)

The U.S. dollar drifted lower on Wednesday as economic data reinforced the Federal Reserve’s current neutral stance on interest rates, enabling the euro and pound to enjoy gains over the greenback.

Gold

Last : 1,309

Gold moved higher, closing at $1,309. On the 1-hour chart, the metal is trading above the 20-day Moving Average line and under these conditions, could soon rise towards $1,312. Dipping below the SMA, however, might push it down to around $1,306.

Resistance 1,310 1,311 1,312
Support 1,308 1,307 1,306

Crude Oil

Last : 58.32

U.S. crude futures hit their highest point this year after weekly data showed crude inventories in the United States rapidly depleting due to relentless cuts in Saudi exports, as well as tighter overall supply from other OPEC members. On the 4-hour chart, Oil has breached the resistance at $58.00. This level of performance may drive a rise towards $59.50, while failing to do so could start a retracement towards $57.00.

Resistance 58.50 59.00 59.50
Support 58.00 57.50 57.00

Euro (EUR)

Last : 1.1333

The euro traded higher against the dollar, closing at 1.1333. On the 4-hour chart, the EUR/USD is trading above the Moving Average line and under these conditions, could soon rise towards 1.1450. Dipping below the SMA, on the other hand, might force it down to around 1.1200.

Resistance 1.1350 1.1400 1.1450
Support 1.1300 1.1250 1.1200

British Pound (GBP)

Last : 1.3318

Sterling rallied yesterday as UK lawmakers voted to reject leaving the EU without a withdrawal agreement. On the 4-hour chart, the GBP/USD is trading below the resistance at 1.3350. This could start a negative trend to around 1.3200. However, breaching above the line might kick off a rally to around 1.3450.

Resistance 1.3350 1.3400 1.3450
Support 1.3300 1.3250 1.3200

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