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 Thursday, U.S. stocks posted further gains pushing the S&P 500 (+53 points or 1.22% to 4,425) and the Nasdaq 100 (+179 points or +1.20% to 15,185) to their highest closes since April 2022. The Dow Jones Industrial Average rose 428 points (+1.26%) to 34,408.
The U.S. 10-year Treasury yield retreated 7 basis points to 3.717%.
Software & services (+2.69%), telecoms services (+2.1%), and transportation (+1.72%) stock sectors led the market higher.
Microsoft (MSFT) rose 3.19%. During the session, the software giant marked an all-time intraday high of $349.84.
Apple (AAPL) gained 1.12%. The tech giant also touched an all-time intraday high of $186.52.
On the other hand, Nvidia (NVDA) retreated 0.80% from its record closing level of $429.97 achieved Wednesday.
Tesla (TSLA) slipped a further 0.35% after halting a thirteen-session winning streak Wednesday.
Lennar (LEN) advanced 4.41%. The largest homebuilder in the U.S. reported better-than-expected second-quarter results and raised its full-year home-delivery guidance.
U.S.-listed shares of Chinese companies posted further gains. Alibaba (BABA) jumped 3.18%, JD.com (JD) rose 3.42%, Baidu (BIDU) climbed up 1.02%, and Tencent (TCEHY) was up 1.13%.
Regarding U.S. economic data, retail sales grew 0.3% on month in May (vs +0.2% expected), while industrial production shrank 0.2% (vs +0.2% expected).
Import prices fell 0.6% on month in May (vs -0.4% expected).
The latest number of initial jobless claims was stable at 262,000 (vs 275,000 expected).
The New York State manufacturing index bounced to 6.6 in June (vs -15.0 expected), while the Philadelphia Fed manufacturing index dropped to -13.7 (vs -13.0 expected).
European stocks closed mixed. The DAX 40 fell 0.13%, and the CAC 40 dropped 0.51%, while the FTSE 100 gained 0.34%.
U.S. WTI crude futures rebounded $2.40 to $70.63 a barrel.
Gold price rose $15 to $1,958 an ounce.
Market Wrap: Forex
The U.S. dollar weakened against other major currencies. The dollar index fell to 102.12.
EUR/USD jumped 118 pips to 1.0948 after the European Central Bank (ECB) raised its key interest rate by 25 basis points to 3.5%, the highest level in 22 years. ECB President Christine Lagarde said: "We are not thinking about pausing."
USD/JPY gained 16 pips to 140.25. The Bank of Japan is widely expected to keep its key interest rate at negative -0.100% later today.
GBP/USD surged 120 pips to 1.2784.
AUD/USD climbed 91 pips to 0.6887. Australia's data showed that the economy added 75,900 jobs in May (vs +37,000 jobs expected) and the jobless rate fell to 3.6% (vs 3.7% expected).
USD/CHF dropped 97 pips to 0.8913.
USD/CAD tumbled 108 pips to 1.3216. Canada's data showed that the number of housing starts fell to 202,500 in May (vs 219,000 expected).
Bitcoin was steady at $25,500.
Gold Intraday: towards 1973.00.
Pivot:
1946.00
Our preference:
Long positions above 1946.00 with targets at 1965.00 & 1973.00 in extension.
Alternative scenario:
Below 1946.00 look for further downside with 1938.00 & 1932.00 as targets.
Comment:
The RSI is bullish and calls for further advance.
Crude Oil (WTI) (N3) Intraday: bullish bias above 69.80.
Pivot:
69.80
Our preference:
Long positions above 69.80 with targets at 71.00 & 71.70 in extension.
Alternative scenario:
Below 69.80 look for further downside with 69.20 & 68.70 as targets.
Comment:
The next resistances are at 71.00 and then at 71.70.
EUR/USD Intraday: 1.1000 in sight.
Pivot:
1.0900
Our preference:
Long positions above 1.0900 with targets at 1.0980 & 1.1000 in extension.
Alternative scenario:
Below 1.0900 look for further downside with 1.0880 & 1.0860 as targets.
Comment:
The RSI is bullish and calls for further advance.
Bitcoin / Dollar intraday: the upside prevails as long as 25230 is support
25230 is our pivot point.
Our preference:
The upside prevails as long as 25230 is support.
Alternative scenario:
Below 25230, expect 24870 and 24660.
Comment:
The RSI is above 50. The MACD is positive and above its signal line. The configuration is positive. Moreover, the price is trading above both its 20 and 50 period moving average (respectively at 25305 and 25113).
S&P 500 (CME) (M3) Intraday: the bias remains bullish.
Pivot:
4447.00
Our preference:
Long positions above 4447.00 with targets at 4485.00 & 4500.00 in extension.
Alternative scenario:
Below 4447.00 look for further downside with 4435.00 & 4420.00 as targets.
Comment:
The RSI is above its neutrality area at 50%.
Tesla intraday: Target 250.4.
Our pivot point stands at 259.6.
Our preference:
Target 250.4.
Alternative scenario:
Above 259.6, look for 262.8 and 264.6.
Comment:
The RSI is below its neutrality area at 50. The MACD is positive and below its signal line. The MACD must penetrate its zero line to expect further downside. Tesla is trading under its 20 period moving average (256.6) but above its 50 period moving average (255.21).
*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.
