Stocks Set To Open Higher As Big Banks Report Strong Earnings Results

Treasury Yields Stay Close To Recent Lows

S&P 500 futures are gaining some ground in premarket trading as Treasury yields remain close to recent lows. Yesterday, U.S. inflation reports indicated that inflation was rising a bit faster than analysts expected.

However, this increase is not sufficient enough to trigger any response from the Fed so Treasury yields declined after the release of inflation reports. Today, Treasury yields remain close to yesterday’s levels which is bullish for tech stocks which look ready to continue their upside move.

Big Banks Report Earnings

JPMorgan has recently released its quarterly results. The company reported revenue of $32.3 billion and earnings of $4.50 per share, beating analyst estimates on both earnings and revenue. Goldman Sachs and Wells Fargo reports also exceeded analyst estimates.

Financial stocks had a strong start of the year as yields moved higher, and it looks that investors have made a right move by betting on the financial segment as results look strong.

Interestingly, shares of Goldman Sachs and Wells Fargo are gaining some ground in premarket trading while JPMoran stock is down by about 0.5%, but the situation may change quickly when the regular trading session begins.

Oil Moves Higher As Iran Tensions Increase

WTI oil is currently trying to settle above the $61 level as the fate of renewed nuclear talks with Iran is under question. Recently, participants of the 2015 nuclear deal made an attempt to put Iran and U.S. back to the negotiation table, but the recent attack on Iran’s Natanz nuclear facility increased tensions.

In response to the attack, Iran stated that it would enrich uranium up to 60% purity. It is not clear whether Iran has the technical capability to do so in the near term, but the move clearly raises stakes in the complicated game between U.S., Iran and other participants of the 2015 nuclear deal.

It should be noted that the recent API Crude Oil Stock Change report indicated that crude inventories decreased by 3.6 million barrels and provided additional support to the oil market. If today’s EIA Weekly Petroleum Status Reports confirms API numbers, oil may gain additional upside momentum.

For a look at all of today’s economic events, check out our economic calendar.

AUD/USD Daily Forecast – Test Of Resistance At 0.7675

AUD/USD Video 14.04.21.

Australian Dollar Moves Higher Against U.S. Dollar

AUD/USD is currently trying to settle above the resistance at the 50 EMA at 0.7675 while the U.S. dollar is moving lower against a broad basket of currencies.

The U.S. Dollar Index has recently managed to get below the support at the 50 EMA at 91.80 and made an attempt to develop additional downside momentum. This attempt was not successful, and the U.S. Dollar Index moved back to the 50 EMA level. If the U.S. Dollar Index gets back above the 50 EMA, it will head towards the resistance at the 92 level which will be bearish for AUD/USD.

Today, Australia reported that Consumer Confidence Index improved from 111.8 in March to 118.8 in April compared to analyst consensus of 113. The report provided additional support to Australian dollar which was boosted by strong commodity markets and falling U.S. Treasury yields.

Traders will remain focused on the dynamics of U.S. Treasury yields which have significant impact on the foreign exchange market. Currently, the yield of 10-year Treasuries is trying to settle back above the 20 EMA at 1.635%. If this attempt is successful, it will have a good chance to develop additional upside momentum which will be bullish for the U.S. dollar.

Technical Analysis

aud usd april 14 2021

AUD/USD managed to settle above the 20 EMA at 0.7650 and is trying to settle above the next significant resistance level at the 50 EMA at 0.7675. In case this attempt is successful, AUD/USD will move towards the resistance at 0.7700.

In case AUD/USD gets above the resistance at 0.7700, it will head towards the next resistance level which is located at 0.7720. A move above this level will open the way to the test of the resistance at 0.7750.

On the support side, the previous resistance at the 20 EMA at 0.7650 will likely serve as the first support level for AUD/USD although AUD/USD may also get some support at 0.7665.

If AUD/USD declines below the 20 EMA, it will head towards the support at 0.7635. A move below this level will push AUD/USD towards the major support level at 0.7600.

For a look at all of today’s economic events, check out our economic calendar.

EUR/USD Daily Forecast – U.S. Dollar Is Under Pressure Against Euro

EUR/USD Video 14.04.21.

Euro Gains Ground Against U.S. Dollar

EUR/USD is currently trying to settle above the resistance at 1.1965 while the U.S. dollar remains under pressure against a broad basket of currencies.

The U.S. Dollar Index has recently managed to get below the 50 EMA at 91.80 and is moving towards the support at 91.50. In case the U.S. Dollar Index gets to the test of this level, EUR/USD will get more support.

Yesterday, EU reported that Euro Area ZEW Economic Sentiment Index decreased from 74 in March to 66.3 in April compared to analyst consensus of 77. The report indicated that the third wave of the virus put pressure on economic sentiment. However, the disappointing report did not put any pressure on euro as foreign exchange market traders focused on falling Treasury yields after the release of U.S. inflation reports.

Today, traders will have a chance to take a look at Euro Area Industrial Production report for February. Analysts expect that Industrial Production declined by 1.1% month-over-month in February after growing by 0.8% in January. On a year-over-year basis, Industrial Production is expected to decrease by 0.9%.

Technical Analysis

eur usd april 14 2021

EUR/USD managed to settle above the 50 EMA at 1.1925 and is testing the next resistance level at 1.1965. In case this test is successful, EUR/USD will move towards the next resistance at 1.1990. RSI remains in the moderate territory, and there is plenty of room to gain additional upside momentum in case the right catalysts emerge.

If EUR/USD manages to settle above the resistance at 1.1990, it will head towards the next resistance level which is located at 1.2025. A successful test of this level will open the way to the test of the next resistance at 1.2040.

On the support side, the previous resistance level at the 50 EMA at 1.1925 will serve as the first support level for EUR/USD. If EUR/USD declines below the 50 EMA, it will head towards the support at 1.1900. A move below this level will push EUR/USD towards the support at the 20 EMA at 1.1880.

For a look at all of today’s economic events, check out our economic calendar.

GBP/USD Daily Forecast – Test Of Resistance At 1.3780

GBP/USD Video 14.04.21.

British Pound Moves Higher Against U.S. Dollar

GBP/USD is currently testing the resistance at 1.3780 while the U.S. dollar is under pressure against a broad basket of currencies.

The U.S. Dollar Index managed to settle below the support at the 92 level and is trying to settle below the next support level which is located at the 50 EMA at 91.80. In case this attempt is successful, the U.S. Dollar Index will move towards 91.50 which will be bullish for GBP/USD.

Yesterday, the U.S. reported that Inflation Rate increased by 2.6% year-over-year in March compared to analyst consensus which called for growth of 2.5%. Core Inflation Rate grew by 1.6%. While inflation exceeded analyst expectations, Treasury yields moved lower which was bearish for the American currency.

Today, foreign exchange market traders will continue to monitor the developments in U.S. government bond markets. The yield of 10-year Treasuries managed to get below the 20 EMA at 1.635% and is trying to get below the recent lows near 1.61%. If this attempt is successful, it will gain additional downside momentum which will be bullish for GBP/USD.

Technical Analysis

gbp usd april 14 2021

GBP/USD managed to settle above the resistance at 1.3745 and is testing the next resistance level which is located near the 20 EMA at 1.3780. In case GBP/USD settles above this level, it will head towards the next resistance at the 50 EMA at 1.3800.

A move above the 50 EMA will push GBP/USD towards the resistance at 1.3835. If GBP/USD gets above the resistance at 1.3835, it will move towrds the next resistance at 1.3865.

On the support side, the previous resistance at 1.3745 will serve as the first support level for GBP/USD. If GBP/USD declines below this level, it will move towards the next support at 1.3710. This support level has been tested during yesterday’s trading session and proved its strength.

In case GBP/USD moves below the support at 1.3710, it will head towards the next support level which is located near the recent lows at 1.3665.

For a look at all of today’s economic events, check out our economic calendar.

USD/CAD Daily Forecast – Resistance At 1.2625 Remains Strong

USD/CAD Video 13.04.21.

U.S. Dollar Is Losing Ground Against Canadian Dollar

USD/CAD is currently trying to settle back below the support at 1.2550 while the U.S. dollar is losing ground against a broad basket of currencies.

The U.S. Dollar Index is currently trying to settle below the support at the 92 level. In case this attempt is successful, the U.S. Dollar Index will move towards the 50 EMA at 91.80 which will be bearish for USD/CAD.

Today, U.S. reported that Inflation Rate increased by 2.6% year-over-year compared to analyst consensus which called for growth of 2.5%. Core Inflation Rate grew by 1.6% compared to analyst consensus of 1.5%.

The reports indicated that inflation was rising a bit faster than expected but failed to provide additional support to the U.S. dollar on the foreign exchange market. Treasury yields have moved lower after the release of U.S. inflation reports, which served as a bearish catalyst for USD/CAD.

In addition, commodity markets moved higher today which was a bullish development for commodity-related currencies including Canadian dollar.

Technical Analysis

usd cad april 13 2021

USD to CAD has recently made another attempt to settle above the resistance at 1.2625 but failed to develop sufficient upside momentum and pulled back towards the support at 1.2550. Currently, USD to CAD is trying to settle below this support level.

In case this attempt is successful, USD to CAD will head towards the support at 1.2525. A move below this level will push USD to CAD towards April lows at 1.2500. If USD to CAD declines below 1.2500, it will move towards the support at 1.2470.

On the upside, the nearest resistance level for USD to CAD is located at the 20 EMA at 1.2560. A move above the 20 EMA will open the way to the test of the resistance at 1.2590. The next resistance level is located at the 50 EMA near 1.2600. In case USD to CAD manages to get back above the 50 EMA, it will move towards the resistance at 1.2625.

For a look at all of today’s economic events, check out our economic calendar.

Why Shares Of Moderna Are Up By 7% Today?

Moderna Video 13.04.21.

Moderna Says That Its Vaccine Is Not Linked To Rare Blood Clots

Shares of Moderna gained solid upside momentum after the company stated that available safety data on its coronavirus vaccine did not suggest an association with cerebral venous sinus thrombosis (CVST) or thrombotic events. More than 64.5 million doses of Moderna’s vaccine have been administered globally.

Moderna decided to issue this statement after U.S. recommended to pause the use of Johnson & Johnson COVID-19 vaccine as six women developed blood clots after receiving the vaccine. Previously, AstraZeneca faced problems with rare blood clots, and some countries decided to limit the use of the company’s vaccine.

While blood clots appear to be a very rare side effect (more than 6.8 million doses of Johnson & Johnson’s vaccine have been administered in the U.S., and only six cases of blood clots potentially linked to vaccine have been reported so far), Johnson & Johnson’s vaccine will surely suffer a PR blow.

This is a negative development for the mass vaccination program but a positive development for Moderna which may gain additional market share due to problems of AstraZeneca and Johnson & Johnson.

What’s Next For Moderna?

The bull case for Moderna is getting stronger. Its coronavirus vaccine has avoided any notable problems, and the company’s shares stand ready to gain from the problems of its competitors.

Currently, analysts expect that the company will report earnings of $21.85 per share in 2021 and $14.87 per share in 2022 so the stock is trading at about 10 forward P/E for 2022.

However, it is not clear whether revenue from the coronavirus vaccine will be recurring. If data suggests that people will need regular vaccinations, like in the case of an ordinary flu, Moderna shares will look very cheap at current levels.

In the near term, Moderna stock will likely continue to benefit from Johnson & Johnson and AstraZeneca problems.

For a look at all of today’s economic events, check out our economic calendar.

Silver Price Daily Forecast – Silver Gains Ground As U.S. Inflation Rises Faster Than Expected

Silver Video 13.04.21.

Weak Dollar Provides Additional Support To Silver

Silver is currently trying to settle above the 20 EMA at $25.30 while the U.S. dollar is losing ground against a broad basket of currencies.

The U.S. Dollar Index gained downside momentum after the release of U.S. inflation reports and managed to settle below the support at 92.15. Currently, the U.S. Dollar Index is trying to settle below the next support which is located at the 92 level. If the U.S. Dollar Index manages to settle below this level, it will gain additional downside momentum which will be bullish for silver and gold price today.

Gold managed to get back above the 20 EMA at $1735 and is moving higher. The nearest significant resistance level for gold is located at the 50 EMA at $1760. In case gold gets to the test of this level, silver will get more support.

Gold/silver ratio failed to settle above the resistance at 70 and declined towards the 50 EMA at 68.60. In case gold/silver ratio manages to settle below the 50 EMA, it will head towards the 68 level which will be bullish for silver.

Technical Analysis

silver april 13 2021

Silver managed to get above the resistance at $25.20 and is testing the next resistance level which is located at the 20 EMA at $25.30. In case silver manages to settle above the 20 EMA, it will gain additional upside momentum and head towards the next resistance at $25.55.

A move above the resistance at $25.55 will push silver towards the resistance at the 50 EMA at $25.65. If silver gets above the 50 EMA, it will move towards the resistance at $25.85. A successful test of this level will open the way to the test of the next resistance area at $26.25 – $26.30.

On the support side, the previous resistance at $25.20 will serve as the first support level for silver. In case silver manages to settle below this level, it will head towards the support at $25.00. A move below the support at $25.00 will push silver towards the support at $24.70.

For a look at all of today’s economic events, check out our economic calendar.

Stocks Mixed After Inflation Exceeds Analyst Expectations

Inflation Rate Increased By 2.6% In March

The U.S. has just released Inflation Rate and Core Inflation Rate reports. The reports indicated that Inflation Rate increased by 2.6% year-over-year in March compared to analyst consensus which called for growth of 2.5%. Core Inflation Rate increased by 1.6% year-over-year compared to analyst consensus of 1.5%.

Inflation is moving higher on a year-over-year basis as prices were weak during the acute phase of the coronavirus crisis a year ago. Inflation looks more calm on a month-over-month basis although it also exceeded analyst expectations. Inflation Rate grew by 0.6% month-over-month in March compared to analyst consensus of 0.5%, while Core Inflation Rate increased by 0.3%.

S&P 500 futures are swinging between gains and losses in premarket trading after the release of inflation reports. Meanwhile, Treasury yields failed to gain additional upside momentum after reports indicated that inflation exceeded analyst expectations.

U.S. Recommends Pausing The Use Of Johnson & Johnson’s COVID-19 Vaccine

Shares of Johnson & Johnson found themselves under pressure in premarket trading after U.S. health agencies called for a temporary pause of the use of the company’s coronavirus vaccine.

The problems of Johnson & Johnson are similar to AstraZeneca‘s problems. In rare cases, recipients of the vaccine developed blood clots.

While these cases are extremely rare, the negative headlines may decrease people’s confidence in vaccination in general, so Johnson & Johnson’s problems may serve as a bearish catalyst for the market.

Euro Area Economic Sentiment Declines

Today, EU reported that Euro Area ZEW Economic Sentiment Index decreased from 74 in March to 66.3 in April. Analysts expected that it would grow to 77. In Germany, Economic Sentiment Index declined from 76.6 to 70.7 compared to analyst consensus of 79.

The reports indicated that European businesses have started to feel the pressure from the third wave of the virus. At the same time, it should be noted that ZEW Economic Sentiment Index remains at high levels.

For a look at all of today’s economic events, check out our economic calendar.

AUD/USD Daily Forecast – The Major Support Level At 0.7600 Stays Strong

AUD/USD Video 13.04.21.

U.S. Dollar Gains Ground Against Australian Dollar

AUD/USD continues to test the major support level at 0.7600 while the U.S. dollar gains some ground against a broad basket of currencies.

The U.S. Dollar Index has recently made an attempt to settle above the resistance at the 20 EMA at 92.30 but failed to develop sufficient upside momentum and pulled back towards the support at 92.15. If the U.S. Dollar Index declines below this support level, it will move closer to the next support at the 92 level which will be bullish for AUD/USD.

Today, Australia reported that Business Confidence declined from 18 in February (revised from 16) to 15 in March compared to analyst forecast of 18. The report put some pressure on the Australian currency.

Foreign exchange market traders will soon have a chance to take a look at the latest inflation data from the U.S. Analysts expect that Inflation Rate grew by 2.5% year-over-year in March. Core Inflation Rate is projected to grow by 1.5% year-over-year.

Inflation reports may have a material impact on the dynamics of the U.S. dollar on the foreign exchange market. If inflation is higher than expected, Treasury yields will move higher which will be bullish for the American currency.

Technical Analysis

aud usd april 13 2021

AUD/USD failed to settle above the resistance at 0.7635 and declined back to the key support level at 0.7600. This is a very important support level which has been tested many times in recent trading sessions.

If AUD/USD manages to settle below the support at 0.7600, it will likely gain significant downside momentum and quickly get to the test of the next support at 0.7575. A successful test of the support at 0.7575 will push AUD/USD towards the next support at 0.7535.

On the upside, AUD/USD needs to settle above the resistance at 0.7635 to have a chance to develop upside momentum in the near term. The next resistance level for AUD/USD is located at the 20 EMA at 0.7645. In case AUD/USD gets above the 20 EMA, it will head towards the resistance at 0.7665.

For a look at all of today’s economic events, check out our economic calendar.

EUR/USD Daily Forecast – Euro Moves Lower Against U.S. Dollar

EUR/USD Video 13.04.21.

Resistance At The 50 EMA Stays Strong

EUR/USD is currently trying to settle below 1.1900 while the U.S. dollar is moving higher against a broad basket of currencies.

The U.S. Dollar Index is currently testing the resistance level at the 20 EMA at 92.30. A move above this level will push the U.S. Dollar Index towards the next resistance at 92.50 which will be bearish for EUR/USD.

Today, foreign exchange market traders will have a chance to take a look at Euro Area ZEW Economic Sentiment Index for April. Analysts expect that Euro Area ZEW Economic Sentiment Index increased from 74 in March to 77 in April despite the negative impact of the third wave of coronavirus in Europe. In Germany ZEW Economic Sentiment Index is projected to impove from 76.6 to 79.

Euro has recently managed to gain some ground against U.S. dollar but traders will continue to closely monitor economic data from Europe as the rebound of the European economy remains fragile. If the upcoming reports indicate that the rebound of the Euro Area economy is starting to slow down, euro will find itself under pressure.

Technical Analysis

eur usd april 13 2021

EUR/USD declined below the support at 1.1900 and is moving towards the next support level at 1.1880. In case EUR/USD manages to settle below the support at 1.1880, it will head towards the next support which is located at the 20 EMA at 1.1865.

A successful test of the support at the 20 EMA will open the way to the test of the next support level at 1.1850. If EUR/USD gets below the support at 1.1850, it will move towards the next support at 1.1830.

On the upside, EUR/USD needs to get above 1.1900 to get to the test of the resistance at the 50 EMA at 1.1920. The resistance at the 50 EMA has been tested several times in recent trading sessions and proved its strength. A move above this resistance level will open the way to the test of the next resistance at 1.1965.

For a look at all of today’s economic events, check out our economic calendar.

GBP/USD Daily Forecast – British Pound Tries To Gain More Ground Against U.S. Dollar

GBP/USD Video 13.04.21.

Test Of Resistance At 1.3745

GBP/USD is currently trying to settle above the resistance at 1.3745 while the U.S. dollar is gaining ground against a broad basket of currencies.

The U.S. Dollar Index has recently tested the nearest resistance level at the 20 EMA at 92.30. If the U.S. Dollar Index manages to settle above the 20 EMA, it will gain upside momentum and head towards the resistance at 92.50 which will be bearish for GBP/USD.

UK has recently reported that its GDP increased by 0.4% month-over-month in February compared to analyst consensus which called for growth of 0.6%. On a year-over-year basis, GDP declined by 7.8%.

Industrial Production grew by 1% month-over-month in February compared to analyst consensus of 0.5%. Manufacturing Production increased by 1.3% month-over-month compared to analyst consensus of 0.5%.

On a year-over-year basis, Industrial Production and Manufacturing Production remained under pressure. Industrial Production declined by 3.5% while Manufacturing Production decreased by 4.2%. Both reports exceeded analyst expectations.

It remains to be seen whether better-than-expected reports will be able to provide additional support to British pound as Treasury yields are moving higher which is bullish for the American currency.

Technical Analysis

gbp usd april 13 2021

GBP/USD managed to settle above the resistance at 1.3710 and is testing the next resistance level which is located at 1.3745. RSI remains in the moderate territory so there is plenty of room to gain upside momentum in case the right catalysts emerge.

In case GBP/USD settles above the resistance at 1.3745, it will head towards the next resistance level at 1.3780. A move above the resistance at 1.3780 will push GBP/USD towards the 20 EMA which is located at 1.3790.

If GBP/USD gets above the 20 EMA, it will get to the test of the next resistance at the 50 EMA at 1.3800. Most likely, GBP/USD will face material resistance in the 1.3780 – 1.3800 area.

On the support side, a move below 1.3745 will push GBP/USD back towards the support at 1.3710. If GBP/USD declines below this level, it will move towards the support at 1.3665.

For a look at all of today’s economic events, check out our economic calendar.

USD/CAD Daily Forecast – Canadian Dollar Retreats At The Start Of The Week

USD/CAD Video 12.04.21.

U.S. Dollar Gains Ground Against Canadian Dollar

USD/CAD is currently trying to settle back above the resistance at 1.2550 while the U.S. dollar is losing some ground against a broad basket of currencies.

The U.S. Dollar Index managed to get below the support at 92.15 but failed to settle below the next support level at 92. If the U.S. Dollar Index gets back above 92.15, it will head towards the 20 EMA at 92.30 which will be bullish for USD/CAD.

Today, the Bank of Canada released its Business Outlook Survey which indicated that Business Outlook Survey Indicator increased from 1.3 in the fourth quarter of 2020 to 2.9 in the first quarter of 2021.

The report did not provide additional support to the Canadian dollar on the foreign exchange market, and Canadian currency found itself under some pressure against U.S. dollar at the beginning of the week.

While WTI oil made an attempt to settle above the psychologically important $60 level after an attack on Iran’s nuclear plant which caused an electricity outage, other commodities were under pressure which was bearish for commodity-related currencies. Meanwhile, the situation with coronavirus in India is getting worse which may serve as an additional bearish catalyst for commodity-related currencies like Canadian dollar.

Technical Analysis

usd cad april 12 2021

USD to CAD failed to settle below the support at 1.2525 and is trying to settle above the nearest resistance at 1.2550. The next resistance level is located at the 20 EMA at 1.2565.

If USD to CAD gets above the resistance at the 20 EMA, it will move towards the next resistance at 1.2590. A successful test of this resistance level will push USD to CAD towards the 50 EMA which is located at 1.2600.

On the support side, the nearest support level for USD to CAD is still located at 1.2525. If USD to CAD declines below this level, it will move towards the next support at 1.2500. A successful test of the support at 1.2500 will push USD to CAD towards the support at 1.2470.

For a look at all of today’s economic events, check out our economic calendar.

Why Shares Of Alibaba Are Up By 8% Today?

Alibaba Video 12.04.21.

Alibaba Stock Gains Ground After A Record $2.75 Billion Fine

Shares of Alibaba gained strong upside momentum after Chinese regulators imposed a $2.75 billion fine on the company. Regulators accused Alibaba of violating anti-monopoly rules. The fine of $2.75 billion was calculated as 4% of the company’s 2019 revenues. Alibaba has already stated that it accepted the penalty and will comply with regulators’ demands.

Alibaba faced problems after Jack Ma criticized China’s regulators in October of 2020. Soon after Ma’s speech, IPO of fintech Ant Group was stopped, while Alibaba found itself under increased regulatory scrutiny.

Regulatory uncertainty put material pressure on Alibaba’s stock in 2021, and the company’s shares were down by about 4% year-to-date before today’s trading session despite the general bullish mood in the markets.

What’s Next For Alibaba?

The fine of $2.75 billion is not a material problem for a company with a market capitalization of more than $600 billion. In addition, the fine may mark the end of Alibaba’s problems, at least in the near term.

In this light, today’s strong performance of Alibaba’s shares is not surprising. Currently, the stock is up by about 8%, and it has decent chances to continue the upside move in the upcoming trading sessions.

Before the crisis with the Ant Group’s IPO, Alibaba shares were trading near the $310 level. If the market decides that the company’s problems are over, Alibaba shares will attract buyers who are willing to buy them at a significant discount to 2020 highs.

At the same time, traders will closely monitor news about Ant Group. China has recently directed Ant Group to register as a financial holding company, which will put it under regulation for financial companies. Jack Ma’s problems started after he stated that Chinese regulators hurt innovation, but now Ant Group will have to comply with stricter financial regulations.

For a look at all of today’s economic events, check out our economic calendar.

Silver Price Daily Forecast – Silver Is Losing Ground At The Start Of The Week

Silver Video 12.04.21.

Higher Treasury Yields Put Pressure On Precious Metals

Silver continues its attempts to settle below the support at $25.00 while the U.S. dollar is losing ground against a broad basket of currencies.

The U.S. Dollar Index has recently managed to get below the support at 92.15 and made an attempt to settle below the next support at the 92 level. In case the U.S. Dollar Index declines below this level, it will gain additional downside momentum which will be bullish for silver and gold price today.

Meanwhile, gold is testing the support at the 20 EMA at $1735. Treasury yields are moving higher which is bearish for precious metals. If gold settles below the 20 EMA at $1735, it will move towards $1720 which will be bearish for silver.

Gold/silver ratio failed to settle below the nearest support at the 69 level and is trying to gain upside momentum. The nearest material resistance level for gold/silver ratio is located at the 70 level. If gold/silver ratio manages to settle above this level, it will gain upside momentum and head towards the next resistance at 70.50 which will be bearish for silver.

Technical Analysis

silver april 12 2021

Silver is currently testing the nearest support level at $25.00. In case this test is successful, silver will gain downside momentum and move towards the next support level at $24.70. RSI is in the moderate territory, and there is plenty of room to gain downside momentum in case the right catalysts emerge.

If silver declines below the support at $24.70, it will head towards the next support level at $24.50. A move below this support level will open the way to the test of the next support at $24.25.

On the upside, the nearest resistance level for silver is located at $25.20. If silver gets above this level, it will get to the test of the 20 EMA at $25.30. A successful test of the 20 EMA will push silver towards the resistance at $25.55. In case silver moves above this level, it will head towards the next resistance at the 50 EMA at $25.70.

For a look at all of today’s economic events, check out our economic calendar.

Stocks Decline As Traders Take Some Profits After Rally

Traders Prepare For Earnings Season

S&P 500 futures are moving lower in premarket trading as traders prepare to take some profits off the table ahead of the earnings season.

Big financial companies like JPMorgan Chase, Wells Fargo and Goldman Sachs will provide their earnings reports this week, marking the beginning of the active phase of the new earnings season.

The stock market is trading at all-time high levels, and stocks may get an additional boost if the earnings season brings positive news. At the same time,  some traders may prefer to wait for actual reports before increasing their exposure to stocks.

Strong Retail Sales Data From Europe Supports Markets

Today, EU reported that Euro Area Retail Sales increased by 3% month-over-month in February after falling by 5.2% in January. Analysts projected that Retail Sales would grow by 1.5% so the report was much better than expected.

The strong report provided some support to global markets as it indicated that consumer activity in Europe increased despite the challenging situation on the virus front.

WTI Oil Gains Ground After An Attack On Iran’s Nuclear Plant

Iran’s Natanz nuclear site has recently suffered an electricity outage which led to unspecified damage. On Monday, Iran blamed Israel for the attack on its plant but noted that the attack would not impact nuclear talks.

The recent nuclear talks went well which put some pressure on oil. If Iran starts to comply with the 2015 nuclear deal, Iranian oil will return back to the international markets and put pressure on oil prices.

In this light, an incident at the key Iranian nuclear site serves as a bullish catalyst for the market. Currently, WTI oil is trying to settle back above the psychologically important $60 level. In case this attempt is successful, WTI oil will gain additional upside momentum and move towards the recent highs at the $62 level which will be bullish for oil-related stocks.

For a look at all of today’s economic events, check out our economic calendar.

AUD/USD Daily Forecast – Another Test Of Support At 0.7600 Yields No Results

AUD/USD Video 12.04.21.

Australian Dollar Is Mostly Flat Against U.S. Dollar

AUD/USD has recently made an another attempt to settle below the major support level at 0.7600 but failed to develop sufficient downside momentum while the U.S. dollar moved higher against a broad basket of currencies.

The U.S. Dollar Index is currently located in the range between the support at 91.15 and the resistance at the 20 EMA at 92.30. A move above the 20 EMA will signal that the U.S. Dollar Index is ready to develop additional upside momentum which will be bearish for AUD/USD.

There are no important economic reports scheduled to be released in the U.S. and Australia today so foreign exchange market traders will monitor the dynamics of commodity markets and keep an eye on the developments in U.S. government bond markets.

Commodity markets are currently moving lower as traders are worried about the situation with coronavirus in India which is a major consumer of commodities. Yesterday, India recorded almost 170,000 cases of coronavirus which was a new daily record. If the situation in India gets worse, commodity-related currencies may find themselves under more pressure.

Technical Analysis

aud usd april 12 2021

AUD/USD failed to settle below the key support level at 0.7600 and remained in the range between the support at 0.7600 and the resistance at 0.7635.

If AUD/USD manages to settle above the resistance at 0.7635, it will move towards the resistance which is located at the 20 EMA at 0.7650. A successful test of this level will push AUD/USD towards the resistance at 0.7665. In case AUD/USD gets above the resistance at 0.7665, it will get to the test of the next resistance at the 50 EMA at 0.7675.

On the support side, AUD/USD needs to get below the major support level at 0.7600 to gain downside momentum. If AUD/USD settles below this level, it will quickly get to the test of the next support at 0.7575. A move below the support at 0.7575 will open the way to the test of the next support level at 0.7535.

For a look at all of today’s economic events, check out our economic calendar.

EUR/USD Daily Forecast – Euro Is Under Pressure At The Start Of The Week

EUR/USD Video 12.04.21.

U.S. Dollar Gains Some Ground Against Euro

EUR/USD is currently trying to get back below the support at 1.1880 while the U.S. dollar is moving higher against a broad basket of currencies.

The U.S. Dollar Index managed to settle above the resistance at 92.15 and made several attempts to settle above the next resistance at the 20 EMA at 92.30. A move above the 20 EMA will push the U.S. Dollar Index towards the resistance at 92.50 which will be bearish for EUR/USD.

Today, foreign exchange market traders will have a chance to take a look at Euro Area Retail Sales data for February. Analysts expect that Retail Sales increased by 1.5% month-over-month after declining by 5.9% in January. On a year-over-year basis, Retail Sales are projected to decline by 5.4%.

Euro has recently managed to rebound against the U.S. dollar as Treasury yields moved lower. However, it remains to be seen whether this rebound will be sustainable as the situation with coronavirus in Europe remains challenging and European economy remains under pressure.

Technical Analysis

eur usd april 12 2021

EUR/USD declined below 1.1900 and is trying to get below the support level at 1.1880. RSI is in the moderate territory, and there is plenty of room to gain momentum in case the right catalysts emerge.

If EUR/USD manages to settle below the support at 1.1880, it will head towards the next support level which is located at the 20 EMA at 1.1860.

A move below the 20 EMA at 1.1860 will push EUR/USD towards the next support at 1.1830. In case EUR/USD declines below the support at 1.1830, it will head towards the next support at 1.1800.

On the upside, the previous support level at 1.1900 will serve as the first resistance level for EUR/USD. If EUR/USD manages to settle above this level, it will have a chance to get to the test of the resistance at the 20 EMA at 1.1920.

EUR/USD has already made several attempts to settle above this level in recent trading sessions but failed to develop sufficient upside momentum. If EUR/USD gets above the 50 EMA, it will move towards the resistance at 1.1965.

For a look at all of today’s economic events, check out our economic calendar.

GBP/USD Daily Forecast – Support At 1.3665 In Sight

GBP/USD Video 12.04.21.

British Pound Remains Under Pressure At The Beginning Of The Week

GBP/USD managed to get below the support at 1.3710 and is moving towards the next support level at 1.3665 while the U.S. dollar is gaining ground against a broad basket of currencies.

The U.S. Dollar Index is currently testing the nearest resistance level at the 20 EMA at 92.30. If the U.S. Dollar Index manages to settle above this level, it will head towards the next resistance at 92.50 which will be bearish for GBP/USD.

There are no important economic reports scheduled to be released in the U.S. and UK today so foreign exchange market traders will focus on general market sentiment and dynamics of U.S. Treasury yields.

The yield of 10-year Treasuries has recently made several attempts to settle below the 20 EMA at 1.64% but failed to develop sufficient downside momentum. If Treasury yields get back to the upside mode, the U.S. dollar will get more support.

Today, British shops, pub gardens and other businesses are set to reopen as the country gradually lifts virus-related restrictions. However, it remains to be seen whether this move will provide support to the British pound which found itself under pressure in recent trading sessions amid problems with AstraZeneca COVID-19 vaccine.

Technical Analysis

gbp usd april 12 2021

GBP/USD has recently made an attempt to get to the test of the nearest support level at 1.3665. In case GBP/USD manages to settle below this level, it will head towards the next support at 1.3625. A successful test of the support at 1.3625 will push GBP/USD towards the next support at 1.3575.

On the upside, the previous support at 1.3710 will serve as the first resistance level for GBP/USD. If GBP/USD gets above this level, it will move towards the next resistance at 1.3745.

A move above the resistance at 1.3745 will push GBP/USD towards the resistance which is located near the 20 EMA at 1.3780. In case GBP/USD gets above the 20 EMA, it will head towards the next resistance at the 50 EMA at 1.3800.

For a look at all of today’s economic events, check out our economic calendar.

USD/CAD Daily Forecast – Canadian Dollar Gains Ground After Strong Employment Reports

USD/CAD Video 09.04.21.

U.S. Dollar Is Losing Ground Against Canadian Dollar

USD/CAD is currently trying to settle below the support at 1.2550 while the U.S. dollar is moving higher against a broad basket of currencies.

The U.S. Dollar Index has recently made an attempt to settle above the resistance at the 20 EMA at 92.35 but failed to develop sufficient upside momentum and declined towards the support at 92.15. If the U.S. Dollar Index settles below this level, it will get to the test of the next support at the 92 level which will be bearish for USD/CAD.

Today, Canada provided Employment Change report for March which indicated that the Canadian economy added 303,100 jobs compared to analyst consensus of 100,000. Unemployment Rate declined from 8.2% in February to 7.5% in March while analysts expected that it would decline to 8%. Stronger-than-expected employment reports provided material support to the Canadian dollar.

The yield of 10-year Treasuries has recently made an attempt to settle above 1.68% but lost momentum and declined closer to the 20 EMA at 1.63%. If the yield of 10-year Treasuries settles below the 20 EMA, it will continue its downisde move which will be bearish for the U.S. dollar.

Technical Analysis

usd cad april 9 2021

USD to CAD is currently testing the support at 1.2550. In case this test is successful, USD to CAD will move towards the next support level at 1.2525.

A move below the support at 1.2525 will open the way to the test of the support which is located at the lows of the previous pullback at 1.2500. If USD to CAD manages to settle below this level, it will move towards the support at 1.2470.

On the upside, the nearest resistance level for USD to CAD is located at the 20 EMA at 1.2565. A successful test of this resistance level will push USD to CAD towards the next resistance at 1.2590. If USD to CAD gets above this level, it will head towards the resistance at the 50 EMA at 1.2605.

For a look at all of today’s economic events, check out our economic calendar.

Why Shares Of Johnson & Johnson Are Under Pressure Today?

Johnson & Johnson Video 09.04.21.

Johnson & Johnson Stock Moves Lower After European Medicines Agency Starts To Review Reports Of Rare Blood Clots

Shares of Johnson & Johnson found themselves under pressure after the European Medicines Agency started to review possible cases of blood clots that may have been caused by the company’s coronavirus vaccine. The European Medicines Agency noted that it found four cases of such blood clots.

Johnson & Johnson stated that “no clear causal relationship has been established between these rare events and the Janssen COVID-19 vaccine”.

Earlier, AstraZeneca COVID-19 vaccine was found to cause blood clots in rare cases. The UK recommended not to use the vaccine for people under 30, while Australia decided that vaccine should not be given to people under 50.

While regulators have stated that benefits outweighed risks in the case of AstraZeneca vaccine, the scope of probes into vaccine safety has grown while various countries have introduced restrictions on its use.

What’s Next For Johnson & Johnson?

While there are just four reports of potential blood clots in people who received Johnson & Johnson coronavirus vaccine and no link between the vaccine and clots has been established, the news served as a bearish catalyst for the stock.

AstraZeneca’s problems got a lot of bad press, so the news about potential issues with the Johnson & Johnson vaccine could also generate many negative headlines.

At the same time, Johnson & Johnson is a huge company which does not depend on the success of its coronavirus vaccine. Analysts expect that the company will report earnings of $9.51 in 2021 and $10.31 in 2022, so the stock is trading at roughly 15 forward P/E which is rather cheap in today’s market environment.

In this light, the negative headlines may continue to put some pressure on shares of Johnson & Johnson in the upcoming trading sessions, but the stock may also attract value-oriented investors who are trying to find reasonably valued companies.

For a look at all of today’s economic events, check out our economic calendar.