Sage Investment Club

What a week it has been and it looks like things are settling down a bit ahead of the weekend, with equities holding up so far today. This comes after a drop in the past two days, which saw US stocks in particular suffer a technical setback.

The bond market also continues to intrigue with yields nudging higher after some relatively hawkish remarks by ECB policymakers yesterday. But perhaps the technicals are also in play as 10-year Treasury yields bounce off a key level on the week:

In the FX space, the euro is staying perky above 1.0800 against the dollar while USD/JPY continues to chop around below 130.00 with a push higher today to just above 129.00. GBP/USD is also one to watch as it closes in on the December highs above 1.2400 but UK retail sales will be a risk event for the pound later today.

Elsewhere, precious metals are still in focus with gold looking to keep a breakout above $1,900 after another strong showing yesterday. Then, we have silver which is still very much consolidating in and around $23.50 to $24.50 at the moment. A break above the latter has the potential to offer a bullish breakout play towards the April high just above $26.

Copper is also one to watch as it mimics gold’s breakout move upon the break of its own 200-day moving average at the start of the year. And that run is still going with another round of gains yesterday.

What are your views on the market right now? Share your thoughts/ideas with the ForexLive community here.

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