News & Analysis

European Round-Up: Thursday 6th December

December 7, 2018

Economic News Releases

Only United States economic date worth mentioning today:

  •  Trade Balance at -$55.5b vs. -$55.0b forecast
  • Initial Jobless Claims at 231k vs. 225k forecast
  • Continuing Claims at 1631k vs 1690k forecast
  • ISM Non-Manufacturing/Services Composite at 60.7 vs. 59 forecast
  • Factory Orders (October) at -2.1% vs. -2.0% forecast
  • Durable Goods Orders at -4.3% vs. -2.4% forecast

To keep up to date with the upcoming economic events click here for our Economic Calendar.

Forex

Australian Dollar continuing to slide against the major currencies today after the latest trade balance data which came our below expectations at A$2316m during the Asian session. Aussie Dollar trading 1.26% against the Japanese Yen today.

AUDJPY – Daily

No major developments on Brexit today so it was fairly good day for the Pound. Sterling trading higher against Australian Dollar, Canadian Dollar and the US Dollar. It strengthened against the US Dollar for the second consecutive day by around 0.39% at the end of the European session.

GBPUSD– Daily

FX Majors Summary

 

Commodities 

Oil price dropping today after a positive day yesterday after talks of smaller than expected OPEC output cuts. US Crude (USOUSD) and Brent (UKOUSD) down by 4.37% and 3.53% respectively.

Gold trading higher today, up by 0.36%. At one point trading at its highest level since June. Silver lower by 0.26%

XAUUSD – Daily

Indices

All of the major world indices trading lower today with DAX30 having the most losses, trading 3.23% lower. FTSE100 dipping to its lowest level since December, the worst since the day of the Brexit referendum. The index is down by around 10% year-to-date.

US Indices also trading lower after yesterdays closure. Both Dow Jones Industrial Average (WS30) and S&P 500 (US500) down by 2.16% and 2.25%.

FTSE100 – Daily

Global Indices Summary

Cryptocurrencies

Another negative for the digital currencies today. Ethereum and Litecoin falling the most, down by 7.98% and 6.80% respectively. Litecoin dropping to its lowest level since June 2017.

Crypto Summary

Chart Of The Day By Adam Taylor 

 

GBPCAD (Point & Figure) – We currently see demand sitting at 1.7125 which also presents a triple top pattern at this level. Should a buy signal develop around this area, i.e. a breakout above, then we could potentially see another move into the 1.72 regions. More importantly, the longer-term downtrend as shown by the bearish resistance line would become compromised, essentially creating a new uptrend (bullish support line). An increase in supply could end up re-visiting a previous low of 1.6625 as support.

For all the latest technical analysis follow: @adamt_trading

 

By Klāvs Valters  
 @klavsvalters

This article is written by a GO Markets Analyst and is based on their independent analysis. They remain fully responsible for the views expressed as well as any remaining error or omissions. Trading Forex and Derivatives carries a high level of risk.

Sources: Go Markets MT4, Google, Datawrapper, Tradingview.

Economic Calendar