Daily Markets Broadcast 2018-11-19

Daily Markets Broadcast

2018-11-19

Wall Street extends rebound in late buying

A weaker start on Friday was overcome late in the session and Wall Street extended Thursday’s rebound. Brexit was at centre stage for European bourses, with Theresa May still UK Prime Minister, for now. Oil prices rose for a third day.

US30USD Daily Chart

Source: OANDA fxTrade

  • The US30 index extended gains to a second day on Friday, on hopes for improvements in US-China trade negotiations
  • The index is currently sandwiched between the 200-day moving average at 25,101 and the 100-day moving average at 25,587
  • Friday’s gains may be short-lived after US-China relations soured at the weekend. US VP Pence said the U.S. wasn’t in a rush to end the trade war, and would “not change course until China changes its ways”. US index futures are pointing to a lower open.

DE30EUR Daily Chart

Source: OANDA fxTrade

  • The Germany30 index struggled on Friday as Brexit headlines weakened sentiment. UK PM May’s leadership could be challenged early this week
  • The index hit the lowest this month before rebounding, but still closed in the red on Friday, recording the second down-week in a row. The 55-day moving average at 11,823 could act as a resistance point
  • Euro-zone current account balance for September is due today. August’s surplus was EUR20.5 billion.

WTICOUSD Daily Chart

Source: OANDA fxTrade

  • Crude prices rallied for a third day on Friday, but not enough to climb into positive territory for the week. That meant oil prices have fallen for six straight weeks
  • The 200-week moving average lends support at $51.95 with resistance possible at $60.06, the 23.6% Fibonacci retracement of the Oct3 to Nov13 drop
  • OPEC ministers will meet on December 6 in Vienna to decide on production policy for the next six months amid a growing surplus in world markets.

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.

Andrew Robinson

Andrew Robinson

Senior Market Analyst at MarketPulse
A seasoned professional with more than 30 years’ experience in foreign exchange, interest rates and commodities, Andrew Robinson is a senior market analyst with OANDA, responsible for providing timely and relevant market commentary and live market analysis throughout the Asia-Pacific region. Having previously worked in Europe, since moving to Singapore he worked with several leading institutions including Bloomberg, Saxo Capital Markets and Informa Global Markets, proving FX strategies based on a combination of technical and fundamental analysis as well as market flow information. Andrew began his career as an FX dealer with NatWest and the Royal Bank of Scotland in the UK.