Nov 13, 2017 – Market Update (May on the way out, Upcoming 2-3 weeks will shape the form of Brexit deal/no deal, Alibaba on fire with global Singles’ Day sales, Uber heading to IPO with Softbank getting closer to the deal, US inflation to show direction for yields, EURUSD back to range 1.1570/1.1670, Gold – long liquidation below 1280 level?)

Mr Price Action/ November 13, 2017/ Market Update, Market Update Posts/ 0 comments

 

Short recap

 

Asia in red as investors becoming cautious on ability of US lawmakers to work out the tax reform

Europe opening higher

South China Sea disputes on again

Upcoming 2-3 weeks will shape the form of Brexit deal

As May is under enormous pressure from her own political party to step down

While EU made it clear that UK needs to honor its commitments (in other words how much they will pay for divorce)

Meanwhile EU getting ready for no agreement with UK

As UK not open to offer any new divorce figure

 

Equities

 

Alibaba on fire with Singles’ Day sales up 39% y/y hitting USD 25 bln globally

Uber heading to IPO at certain point with Softbank getting closer to company with USD 10 bln deal

PSA to build cars in Algeria

Visa sees a cut in UK spending

Soros, Tepper, Einhorn, Icahn to issue a regulatory fillings Mon/Tue

A nice reading that will show the changes their stock/asset holdings

 

Earnings

 

Home Depot, Tencent, Cisco, Applied Materials, Target, Best Buy, Wal-Mart

 

Bonds

 

10-yr Trys yield at 2.39% vs 2.34% on Friday morning

10-yr Bund yield at 0.41% vs 0.37% on Friday morning

US CPI & US Retail sales on Wed two of last major data ahead of Dec Fed hike decision

Especially inflation will have significant impact on yields

 

 

EURUSD

 

Still consolidating, no decision on H&S

Consolidating above 1.1605 (50.0% Fibo), 1.1615 (high from May 2016), 1.1623 (200 HMA), 1.16256 (10 DMA)

And below 1.1649 (200 WMA), 1.1670 and descending trendline connecting the lows of Oct 2008, Jul 2012

 

What’s next? Any continuation of 1.1570-1.1670 range?

 

Source: Saxo Bank

 

USDJPY

 

Bids sitting below 113.25, larger seen at/below 113.00

Offers seen ahead of 114.00 with stops above

Resistance at 113.79 (10 DMA), 114.40/50

Support at 113.00, 112.97 (23.6% Fibo)

 

Gold

 

Back to mid-range also with the help of 4 mln ounces sell order on Friday

Ongoing no major upside interest can turn into longs liquidation below 1280

US bond yields higher having greater impact than potential delay in US tax reform or Brexit developments

Even the uncertainty in Middle East doesn’t seem to have a big impact for now

Resistance 1277 (10 DMA), 1278 (100 DMA), 1281 (50.0% Fibo), 1293 (50 DMA)

Support 1263 (61.8% Fibo/200 DMA)

 

Source: Saxo Bank

 

Data/events

 

ECB’s Constancio (0900 GMT)

ECB’s Nowotny (1600 GMT)

BoJ’s Kuroda (1745 GMT)

EU Foreign Council meeting

 

Tue

 

Fed’s Evans (0805 GMT)

ECB’s Lautenschlaeger (0900 GMT)

Fed’s Yellen (1000 GMT)

BoJ’s Kuroda (1000 GMT)

ECB’s Draghi (1000 GMT)

Fed’s Bullard (1315 GMT)

ECB’s Coeure (1330 GMT)

Fed’s Bostic (1805 GMT)

 

Nov 28 – Powell before Senate Banking Committee

 

 

 

Should you have any questions feel free to contact me anytime.

 

Good luck Champs!

 

Mr Hawk

 

 

 

DISCLAIMER: This material was created for informational purposes only and represents the Land of Trading team’s view of the past and current economic and capital market environment. It is not an investment advice and should not be viewed that way at all, and the creators of this material cannot be held liable for any potential losses resulting from trading, where despite this disclaimer someone would consider this material as an investment advice. All rights reserved ©2016. Contact: landoftradingATgmailDOTcom

 

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