Here are today's directional views from the global research desks of Trading Central! These are starting points for your own research to identify opportunities that make sense for you. Like what you see? Feel free to forward this to a friend!
Market Wrap: Stocks, Bonds, Commodities
On Friday, U.S. stocks concluded on a higher note following a volatile trading session. The Dow Jones Industrial Average rose 247 points (+0.73%) to 34,346, the S&P 500 climbed 29 points (+0.67%) to 4,405, and the Nasdaq 100 jumped 125 points (+0.85%) to 14,941.
Both the S&P 500 and the Nasdaq 100 posted weekly gains after losing for three straight weeks.
In a closely-watched speech delivered at the annual central bank conference in Jackson Hole, Wyoming, Federal Chair Jerome Powell said the central bank may need to raise interest rates further to cool still-too-high inflation. Nevertheless, his stance appeared to be less hawkish compared to a year ago.
The yield on the U.S. 10-year Treasury slipped by 0.8 basis point to 4.23%.
Across stock sectors, the top performers were the automobiles (+3.23%), software & services (+1.41%), and technology hardware & equipment (+1.16%) sectors. Conversely, semiconductors (-0.46%) and banks (-0.32%) sectors lagged behind.
Regarding individual stocks, Affirm Holdings (AFRM) surged 28.82% to $17.79, driven by quarterly earnings that exceeded expectations.
Intuit (INTU) rose 4.12% to $519.05. The accounting software specialist projected better-than-expected earnings for fiscal year 2024.
Workday (WDAY) marked a 5.38% increase to $236.97. The enterprise cloud-application provider reported higher-than-expected second-quarter earnings.
Marvell Technology (MRVL), a semiconductor developer and producer, fell 6.62% to $53.50 after giving an uninspiring current-quarter profit guidance.
Meanwhile, Nvidia (NVDA) dropped 2.43% to $460.18.
In Europe, the DAX 40 edged up 0.07%, the CAC 40 gained 0.21%, and the FTSE 100 added 0.07%.
U.S. WTI crude futures gained $0.90 to $79.94 a barrel.
Gold price declined $2 to $1,914 an ounce.
Market Wrap: Forex
The U.S. dollar held up its strength against other major currencies. The U.S. dollar index increased to 104.19.
EUR/USD fell 17 pips to 1.0793. Germany's Ifo business climate index declined to 85.7 in August (vs 86.9 expected).
GBP/USD dropped 24 pips to 1.2578. In the U.K., the Gfk consumer confidence index improved slightly to -25 in August (vs -32 expected).
USD/JPY rose 61 pips to 146.44.
AUD/USD declined 13 pips to 0.6404.
USD/CHF added 2 pips to 0.8847, and USD/CAD climbed 24 pips to 1.3606.
Bitcoin managed to hold the level of $26,000.
Crude Oil (WTI) (V3) Intraday: look for 81.70.
Pivot:
79.45
Our preference:
Long positions above 79.45 with targets at 81.00 & 81.70 in extension.
Alternative scenario:
Below 79.45 look for further downside with 78.95 & 78.50 as targets.
Comment:
The RSI calls for a bounce.
EUR/USD Intraday: watch 1.0765.
Pivot:
1.0815
Our preference:
Short positions below 1.0815 with targets at 1.0780 & 1.0765 in extension.
Alternative scenario:
Above 1.0815 look for further upside with 1.0830 & 1.0845 as targets.
Comment:
The RSI is mixed with a bearish bias.
Bitcoin / Dollar intraday: as long as 25900 is support look for 26610
Our pivot point stands at 25900.
Our preference:
As long as 25900 is support look for 26610
Alternative scenario:
The downside breakout of 25900 would call for 25640 and 25490.
Comment:
The RSI is above 50. The MACD is positive and below its signal line. The price could retrace. Moreover, the price is trading above both its 20 and 50 period moving average (respectively at 26097 and 26052).
Gold Intraday: bullish bias above 1908.00.
Pivot:
1908.00
Our preference:
Long positions above 1908.00 with targets at 1922.00 & 1927.00 in extension.
Alternative scenario:
Below 1908.00 look for further downside with 1903.00 & 1898.00 as targets.
Comment:
The RSI calls for a rebound.
S&P 500 (CME) (U3) Intraday: intraday support around 4392.00.
Pivot:
4392.00
Our preference:
Long positions above 4392.00 with targets at 4450.00 & 4466.00 in extension.
Alternative scenario:
Below 4392.00 look for further downside with 4367.00 & 4354.00 as targets.
Comment:
The next resistances are at 4450.00 and then at 4466.00.
Tesla intraday: the upside prevails as long as 233.6 is support
Our pivot point stands at 233.6
Our preference:
The upside prevails as long as 233.6 is support
Alternative scenario:
Below 233.6, expect 228.4 and 225.2.
Comment:
The RSI is above 50. The MACD is above its signal line and positive. The configuration is positive. Tesla is trading above both its 20 and 50 period moving average (respectively at 233.72 and 233.91).
*Disclaimer: The content of this article is for learning purposes only and does not represent the official position of VSTAR, nor can it be used as investment advice.
