ATFX Market Update - 2019.12.24

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ATFX Market Outlook, 2019 Dec 24

Personal opinions today:

U.S. durable goods orders unexpectedly fell in November after a 2% drop in expectations of a 1.5% rise. U.S. new home sales also fell in November from the previous month. The dollar fell, European currencies, commodity currencies and gold and silver prices generally rose, and crude oil prices have adjusted. But Dow futures continued to rise on hopes that the U.S. trade department will soon sign a trade deal with China.

Stock markets in several countries were closed or closed early ahead of the Christmas holiday today, with some contracts closing early. On the economic front, only the Richmond Fed manufacturing index for December and the U.S. crude oil inventories last week were released at tomorrow morning. Before the Christmas holiday, assuming the global stock markets and contracts in several countries will be closed early.

This column will be closed for one day. Merry Christmas!

[Important financial data and events] note: * is important

Stock markets in several countries were closed or closed early, and some contracts closed early
07:50 Bank of Japan minutes
23:00 the Richmond Fed manufacturing index **
05:30 US API crude oil stocks change ***

EURUSD
1.1095/1.1105 resistance
1.1075/1.1065 support
Recent U.S.economic data growth than expected, bearish for the Euro. But US durable goods orders fell more than expected and the dollar fell. Technically, the Euro’s trend is still down, the fundamentals are still bearish for the Euro. The Euro is expected to decline against the dollar, will continue to test the low. The Euro is likely to trade in a narrow range as markets are closed ahead of the Christmas holiday and trading is light across the board.

Pound to dollar
1.2955/1.2965 resistance
1.2905/1.2895 support
The UK economy is showing weakness and slowing. The governor of the Bank of England said the outlook is uncertain and monetary policy remains loose, which is bearish for the pound. At present, the fundamentals and technical side of the negative pound. Technically, focus on the 1.3000 important resistance. Due to the Christmas holiday eve, the market closed ahead of schedule, the overall market trading is slight. Looking at between 1.2965 resistance and 1.2895 support.

Australian dollar to dollar
0.6930/0.6940 resistance
0.6900/0.6890 support
U.S. durable goods orders for November fell more than expected, while the Australian dollar rose. The AUDUSD had hit the resistance of 0.6930, but trading was light as markets closed ahead of the Christmas holiday. The Australian dollar traded in a limited range against the U.S. dollar. It may suggest, AUDUSD trading between 0.6930 resistance and 0.6900 support in the New year eve.

Dollar to yen
109.50/109.60 resistance
109.30/109.20 support
The Japanese yen is likely to trade in a tight range as markets close early ahead of the Christmas holiday, leaving the broader market thinly traded. Expect USDJPY to trade between 109.30 or 109.20 to 109.60.

USDCAD
1.3165/1.3175 resistance
1.3130/1.3120 support
Canada October GDP was lower than expected and lower than the previous month. But U.S. data was also weak, stabilizing the Canadian dollar and limited the losses. With markets closed early ahead of the Christmas holiday, overall trading was light, with the USDCAD likely to trade in a tight range.

US crude oil futures
60.85/61.15 resistance
60.05/59.75 support
Crude oil price rise stopped price adjustment. The market is watching U.S. API crude oil stocks last week and is likely to keep oil prices above 60.05 or 59.75 support and above 60.85 or 61.15 resistance.

Gold
1488/1490 resistance
1480/1478 support
U.S. November durable goods orders fell more than expected and gold rose during dollar fell. But Dow futures rose and gold limited gains. Gold is likely to trade in a tight range as markets close ahead of the Christmas holiday. If $1,490 does not break through, look for $1,478 or less.

U.S. Dow Jones industrial average futures US30
28600/28685 resistance
28470/28375 support
The market is concerned about when the US-China trade agreement will be signed and the investment climate is good. Last night, the US weak data-limited Dow’s gain. Technically, Dow futures look for resistance on 28600 or 28685. After the Christmas holiday, in response to the situation in the US consumer consumption. We need to be careful about the trend volatility, pay attention to the index correction.

BTCUSD:
7650/ 7775 resistance
7075/ 6955 support
The federal reserve announced the suspension of interest rate cuts, bearish for Bitcoin price. Now, the Brexit leads the market risk on, also concern the Dow future fall, bullish cryptocurrency and the bitcoin price could rebound. Technically, the first resistance at $7650, next $7850 resistance. I fail to break the resistance, it may concern downward.

Enjoy trading! The content is for reference only. Please do ensure that you understand the risk.

Registered Australian Accountant/ Certified Professional Manager / Certified Financial Advisor Experienced Investor / Media Market Commentator Martin Lam has Over 17 years’ experience in global investment market. Familiar with the worldwide stock indices, precious metals such Gold and Silver, Crude oil and Forex. He operated Martin Currency Trading Company and had partnership with a number of well-known international financial corporations and institutions. Before he join ATFX, he was TeleTrade Greater China development and Sales Director. Mr. Lam attends Hong Kong Now TV and China CCTV finance channel once a week. He also had regularly invited by different media, such as DBC Digital Financial Channel, Hong Kong Economic Times, The Standard, Ming Pao to share his experience to trade in Forex, Precious metals, Crude oil and worldwide stock indices.

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