Daily Markets Broadcast 2018-11-21

Daily Markets Broadcast

2018-11-21

Wall Street tumbles further

All US indices declined yesterday, led by continued weakness in the tech sector, disappointing earnings warnings from the retail sector while a collapse in oil prices to one-year lows pressured the energy sector.

US30USD Weekly Chart

Source: OANDA fxTrade

  • The US30 fell the most in more than a month yesterday, pressured by weakness across the tech, retail and energy sectors
  • The two-day drop has so far failed to take out last month’s low. The 100-week moving average is at 23,335
  • US October durable goods orders are due today. The ex-transportation reading is expected to expand 0.4% following a 0.1% gain in September.

DE30EUR Monthly Chart

Source: OANDA fxTrade

  • The Germany30 index fell for a third straight day, echoing the mood on Wall Street
  • The index hit the lowest level in almost two years and looks poised to sustain the breach below the 55-month moving average at 11,217
  • The EU Commission’s response to the Italian budget draft is due today. Italy’s Deputy PM said he is open to discussions on the budget, and might agree to some cuts, but wants to keep proposed reforms in place.

WTICOUSD Weekly Chart

Source: OANDA fxTrade

  • WTI crashed below $53 per barrel for the first time in a year on concerns that planned OPEC production cuts would not be enough to stem a global glut amid an expected weakening in demand
  • WTI could test the 200-week moving average support at $51.93
  • EIA crude oil stocks for the week ended Nov 16 are due today. Last week saw a build of 10.27 million barrels, the most since Feb 2017. Another strong increase would pressure oil prices further.

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.