Technical Analysis – Weekly Market Outlook 27 – 31 July 2020

CFD: S&P 500 Index

Looking at bearish movement after price made higher high and made reversal then as current price movement is breaking below median line and expecting heading lower towards lower line key level support.

Intel and Western Digital are among the worst performers in the S&P 500 on Friday. Intel is the 12th largest company in the index and the share price has fallen a massive 16% after the company pushed back the launch of its new chip due to production difficulties. AMD is one of the biggest beneficiaries of the Intel debacle and the stock has risen over 16% in the session.

Cryptocurrency: BTCUSD – BITCOIN

Bitcoin flying higher expecting towards $11,000 after a break on last week bullish flag on daily chart.
Price is currently trading out of the box and we might see a trending bullish movement after breaking critical level at $10,000.Targeting this week to head towards fibo 2.618/3.82 resistance key level.

CFD: WTI – US Oil

WTI ( futures on Nymex) has bounced-off a dip below the 41 mark and remains on track to book the third straight monthly rise. The further upside, however, remains at the mercy of the broader market sentiment and the US supply-side scenario.

Price hovering around median line level and looking a range trade towards support lower line key level for this week, a break below lower line a confirmation of bear market.

CFD: DXY – US Dollar Index

Looking at price to heading key level support at 3.82 fibo retracement level as price heading towards lower quite a strong downtrend with heavy sell-off happening to US Dollar.

So this week we might see a continuous movement (trending) towards this key level for a retracement and this will applies to most of the major pairs and especially XAU spot gold too.
On the weekly charting we have also price is nearing towards 2.618 fibo retracement level.

CFD: XAUUSD – SPOT GOLD

Trending on strong bullish movement and we are expecting a retracement on resistance 3.82 fibo key level nearing towards $2,000.

However price is making all time high it’s risky & a NO short position!

Gold has printed a new lifetime high near $1950, surpassing the previous record price reached in September 2011. The metal has rallied by over 25% this year with the US Federal Reserve’s unprecedented money printing pushing inflation-adjusted yields on Treasuries to negative territory.

 

FOREX: EURUSD

EUR/USD has crossed above 1.17 for the first time in 22 months, taking the cumulative month-to-date gain to 4.23%. The American dollar is being sold across the board amid gold’s rally to record highs above the September 2011 high of $1,920.

Price is currently trading out of the box and we are expecting a continuous strong bullish trending movement towards the 3.82 fibo retracement resistance key level till end month.

FOREX: GBPUSD

GBP/USD rises to the highest level since March 12. Acceptance above 1.2813 (June 10 high) will likely cause more buyers to join the market, leading to stronger gains toward 1.32.

Price is on bullish uptrend channel and heading towards upper line, clearly a trending market is going on and expecting to hit upper line resistance key level as dollar weakness across the board.

FOREX: AUDUSD

AUD/USD fills in the bearish opening gap, extending the bounce back towards 0.7150. The aussie is underpinned by the relentless US dollar sell-off across the board amid a mixed market mood, upbeat Chinese Industrial Profits data and RBA Kent’s speech.

Price made reversal around median line and reverse back towards upper line ‘hagopian rules’ targeting movement is heading key level resistance on upper line.

FOREX: USDJPY

USD/JPY flirts with four-month lows just above 106.50 amid broad US dollar weakness. Gold’s relentless rally keeps the greenback under pressure. BOJ expects Japan’s economy to improve in the second half of this year.

Price is currently trading out of the box and we are expecting heading lower towards 3.82 key level support fibo retracement.

 

FOREX: USDCAD

USD/CAD has pushed 0.21% higher on Friday but it’s still a pretty bearish week. The oil price has also suffered and the risk theme has supported the move higher in the pair.

Price is trading out of the box and we are expecting movement still consolidating on a range market but a break below 1.33500 will heading lower towards 2.618/3.82 key level support fibo retracement.