Daily Markets Broadcast 2019-01-14

Daily Markets Broadcast

2019-01-14

Wall Street steadies after a strong week

US indices consolidated a bullish week on Friday, though the ongoing US government shutdown capped sentiment. A Japan holiday today could impact liquidity in the Asian session. China releases trade data for December, which could dictate near-term direction.

US30USD Daily Chart

Source: OANDA fxTrade

  • The US30 index posted its biggest weekly gain since late-November last week, buoyed by a dovish shift from the Fed
  • The 61.8% Fibonacci retracement of December’s drop is at 24,308, while the 55-day moving average has edged lower to 24,411
  • US consumer prices matched expectations in December, falling 0.1% m/m, the first decline in nine months. There are no major data releases today but markets will be keeping an eye on the US government shutdown situation.

DE30EUR Daily Chart

Source: OANDA fxTrade

  • The Germany30 index snapped a three-day winning streak on Friday as the UK’s looming parliamentary Brexit vote (tomorrow) dented sentiment
  • The 55-day moving average at 11,098 looks as if it might continue to cap the recent upmove, as the slow stochastics momentum indicator turns bearish
  • Euro-zone industrial production data for November is due today. It’s expected to decline 1.0% m/m and a worse number could suggest a near-term top is in place for German equities.

CN50USD Daily Chart

Source: OANDA fxTrade

  • China shares rose four out of five days last week, the third weekly advance in a row, as trade talk hopes increased
  • The 55-day moving average is at 10,916. The index has traded below this average since December 13
  • China’s trade data for December are due today. Imports are expected to increase to 5.0% y/y from +3.0% in November, while export growth is seen slowing to +3.0% from +5.4%.

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.