Daily Market Report: May 12, 2022

Latest events and figures - make your trading smarter by following the daily summary of the hottest market news and announcements.

US stocks lower; Oil climbs

US Stock Market

Last: 31,975

Pivot: 32,450

Review:

US stocks were lower after the close on Wednesday, as losses in the technology, consumer services and consumer goods sectors led shares lower. At the close in the NYSE, the Dow Jones Industrial Average fell 1.02% to hit a new 52-week low, while the S&P 500 index lost 1.65%, and the NASDAQ Composite index lost 3.18%.

Technical comment:

The RSI is below its neutrality area at 50%

Preference scenario:

For short positions below 32450, look for targets at 31540 and 31290 in extension.

Alternative scenario:

Should the rate surpass 32450, look for a further upside with 32900 and 33350 as targets.

Resistance 32,450 32,900 33,350
Support 31,540 31,290 30,830
US stocks lower; Oil climbs
USD/CHF

Last: 0.995

Pivot: 0.991

Review:

The USD/CHF pair is moving north firmly after the release of the US Consumer Price Index (CPI) on Wednesday. The asset found significant bids at around 0.9874 and is now scaling sharply higher towards the psychological resistance of 1.0000.

Technical comment:

The RSI is bullish and calls for further advance.

Preference scenario:

Should the rate climb above 0.9910, check out fresh targets at 0.9975 and 1.0000 in extension.

Alternative scenario:

If the price slides below 0.9910, look for a further downside with 0.9890 and 0.9870 as targets.

Resistance 0.9975 1 1.002
Support 0.991 0.989 0.987
US stocks lower; Oil climbs
Gold

Last: 1,854

Pivot: 1,839

Review:

Gold prices extend the previous day’s bounce off $1,835 support confluence. The XAU/USD prices pick up bids to renew intraday high around $1,858, stretching the previous day’s recovery during Thursday’s Asian session.

Technical comment:

The RSI calls for a rebound.

Preference scenario:

If the price moves above 1839.00, look for targets at 1865.00 and 1873.00 in extension.

Alternative scenario:

In the case of a price dive below 1839.00, look for a further downside with 1831.00 and 1822.00 as targets.

Resistance 1,865 1,873 1,884
Support 1,839 1,831 1,822
US stocks lower; Oil climbs
Oil

Last: 105.53

Pivot: 102.6

Review:

Oil prices eased in early Asian trade on Thursday, taking a pause after rising more than 5% in the previous session following new Russian sanctions on some European gas companies. WTI crude futures fell 13 cents to $105.58 a barrel.

Technical comment:

The RSI shows upside momentum.

Preference scenario:

Should the rate climb above 102.60, discover fresh targets at 108.00 and 109.50 in extension.

Alternative scenario:

If the rate drops below 102.60, look for a further downside with 101.30 and 99.50 as targets.

Resistance 108 109.5 110.8
Support 102.6 101.3 99.5
US stocks lower; Oil climbs
EUR/USD

Last: 1.0513

Pivot: 1.054

Review:

At 0.6934, EUR/USD is flat on the day so far in an environment of positive stocks in APAC despite the sea of red into the close on Wall Street. The euro was pressured as a consequence of a resilient US dollar and the market's conclusion that the inflation data for April was hot enough to panic, fuelling a bid on the greenback.

Technical comment:

The RSI advocates for further decline.

Preference scenario:

If the rate moves below 1.0540, check out new targets at 1.0500 and 1.0480 in extension.

Alternative scenario:

If the price climbs above 1.0540, look for a further upside with 1.0560 and 1.0580 as targets.

Resistance 1.054 1.056 1.058
Support 1.05 1.048 1.046
US stocks lower; Oil climbs
GBP/USD

Last: 1.2233

Pivot: 1.228

Review:

GBP/USD takes rounds to the lowest levels since June 2020 as traders await the UK Q1 GDP during Thursday’s Asian session. In doing so, the cable pair stays inside a one-week-old descending trend channel, flirting with the 1.2250 level, at the time of writing.

Technical comment:

The RSI is bearish and calls for further decline.

Preference scenario:

In the event of a price decline below 1.2280, discover targets at 1.2200 and 1.2170 in extension.

Alternative scenario:

In the case of a price rise above 1.2280, look for a further upside with 1.2310 and 1.2340 as targets.

Resistance 1.228 1.231 1.234
Support 1.22 1.217 1.214
US stocks lower; Oil climbs

Customer Notice: The charts are provided by Trading Central, which is a respected third party research provider. The information provided should not be considered as trading or investment advice. 1Market provides Trading Central chart analysis to support clients in their trading decisions, which should be independently evaluated. The recipient acknowledges that he is solely responsible for his decisions. The analysis offered reflects the views of Trading Central and are subject to change at any time. Past performance of a financial asset is not a reliable indicator of its future performance. 1Market cannot be held liable for any information provided by Trading Central. 1Market makes no representation and assumes no liability as to the accuracy or completeness of the information provided nor any loss arising from any investment based on this material, forecast or other information supplied by an employee of 1Market, a third party or otherwise.

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