US market is leading the global rally as SP500 and US100 recorded new all-time highs while US30 had the biggest gains yesterday. Many major stocks had new all-times highs like Walmart, Visa, Amazon, PayPal etc. Generally, utilities-consumer staples and real estate stocks were the main winners and boosted the indices. There are expectations that initial claims could fall below 1M as the Labor Department will perform a few relative adjustments.
Asian markets were mixed today as JPN225 was up by + 0.94% and Kospi +1.25%. On the other hand, Shanghai fell by 0.63% and Hang Send 0.45% respectively. Caixin China PMI was improved to 55.1 while PMI services remain almost stable. Japanese composite PMI increased to 45.9 but the PMI services slightly decreased to 45.
EU market follows the bullish run and all major indices currently record gains. Reviewing today’s figures, French IHS Markit Composite and service fell to 51.6 and 51.5 respectively. EU Services PMI was improved to 50.5 as well Composite PMI was grown to 51.9. France approved a €100bn new stimulus package as economic support from the COVID-19 impact. In the meantime, GlaxoSmithKline and Sanofi announced their first vaccine trial on humans. The base of their vaccine is one of the existing and approved flu vaccines which may give better probabilities of its success.
Heading to the forex market, our EURUSD scenario was verified as the pair retraced after testing the rising channel to the downside. RSI provided solid bearish indications. Its already bounce at the lower side of the channel and 200SMA. GBPUSD is on the corrective phase and 61.8%Fibonacci level could be a major support for the mid-term outlook. USDJPY has an upside intraday momentum however traders should monitor the area among 106.5-6 which may act as resistance.
EURUSD 240m
GBPUSD 240m
USDJPY 60m
Checking the ZuluTrade’s Traders Sentiment, the community is currently bullish on EURUSD and bearish on GBPUSD and GBPJPY.
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