DAILY TECHNICAL ANALYSIS | CAPITAL STREET FX | FOREX NEWS

DAILY TECHNICAL ANALYSIS | CAPITAL STREET FX | FOREX NEWS | 29th-september-2020

September 29, 2020

On Tuesday Asian markets crouched down low ahead of the first U.S. presidential debate later in the global day, with investors also remaining cautious over the global economy’s prospects as coronavirus deaths surpassed the 1-million mark worldwide. Hong Kong’s Hang Seng index was down 0.56% to 23,344. Mainland Chinese stocks also edged lower today, as the Shanghai composite climbed up by 0.41% to about 3,229.42. South Korea’s Kospi climbed up by1.01% to 2,329.91. Shares in Australia also saw loss, with the S&P/ASX 200 inching down to 0.14% to 5,944.80. Overall, the Singapore MSCI index gained 1.46% to 287.38, at the time of writing.

The American stock market opened on a positive note as traders are eagerly speculating the market as the first U.S Presidential debate is going to take place,later today. The Nasdaq 100 was up by 1.87% to 11,136 , the S&P 500 was down also up 1.61% to 3,351.47 and the Dow Jones was up by 1.51% at 27,587.42, at the time of writing.

European stock markets are seen opening flat on Tuesday, as investors strengthened their investments after the strong gains of the previous session, weighing the potential for more stimulus against the damage done by the ongoing coronavirus pandemic. The pan-European Stoxx 50 climbed up by 2.75% to 3,233.19. In the cash markets, the DAX futures Germany was trading 3.22% higher at 12,870.87, CAC 40 futures in France climbed up 2.46% to 4,864.5, while the FTSE 100 futures in the U.K. rose 1.46% to 5,927.

In corporate news, the bitter fallout from LVMH’s soured $16 billion acquisition of Tiffany continues. The German car sector may be in focus after Uber is weighing up a purchase of Free Now, a ride-hailing joint venture between Daimler and BMW. Shares of logistics provider ZTO Express surged in the opening minutes of the debut in Hong Kong on Tuesday, jumping about 10% from the offer price of 218 Hong Kong dollars ($28.13) per share. s Nippon Telegraph and Telephone (NTT) fell 2.85%, with the firm announcing Tuesday a buyout of its wireless unit, Shares of NTT Docomo soared 15.78% on Tuesday.

On the Economic Front, The value of U.S. goods bought by China declined from the previous month, led by a slowdown in energy products. The US economy could end the year with the unemployment rate between 7% and 8%. Inflation could end the year above 1% but still well below the Fed’s 2% target. European Union negotiators have signaled that they are willing to begin work on a joint legal text of a trade agreement with the UK, ahead of trade talks that resume on Tuesday. In Asia the economists predict that the coronavirus pandemic is expected to bring the slowest growth in more than 50 years in East Asia and the Pacific as well as China. It is also estimated by the World Bank that 38 million people are set to be pushed back into poverty. Growth in China was expected to come in at 2% this year.

On the data front, final euro zone economic sentiment and consumer confidence readings are due at 10 a.m. BST on Tuesday. EUR ECB President Lagarde is scheduled to speak at 8:45 local time today. In the United States, Fed Chairman Jerome Powell is due to appear before Congressional committees later today at 10:00 local time. China Manufacturing Purchasing Managers Index (PMI) data will be release at 21:00, Previous PMI was 51.0 and Forecast was 51.2. U.S. CB Consumer Confidence at 10:00 local time, previous was 84.8 and forecast was 89.2. China Caixin Manufacturing Purchasing Managers Index (PMI) data will be publish at 21:45, Previous was 53.1 & Forecast was 53.1.

In the currency market ,The dollar was steady in early European trade Tuesday. the Dollar Index, was down 0.1% at 94.233 while EUR/USD was up 0.06% to 1.1674 . The AUD/USD was up by 0.18% to 0.7083 and the NZD/USD pair edged up by 0.15% to 0.6563. The USD/CNY pair inched up by 0.19% to 6.8232. The GBP/USD pair inched up 0.0030 % to 1.2850 , at the time of writing.

In the Commodity Markets, Gold prices rose by 0.03% to $1,882 ,on Tuesday. Spot gold (XAU/USD) was down 0.09% at $1,879.09 per ounce. Elsewhere, silver futures fell 0.06% to $23.592 per ounce and platinum climbed down 0.65% to $887.74, while palladium edged 0.10% higher to $2,280, at the time of writing.Oil prices fell on Tuesday amid concerns that a possible rise in Covid-19 cases. U.S. West Texas Intermediate crude futures fell by 0.64%, to $42.68 per barrel. Brent crude futures also fell by 0.56%, to $42.63 a barrel.

In the Cryptocurrency Markets, BTC/USD inched down 1.96% and was trading at 10,706. Ethereum edged down 1.42% to $352.33. Litecoin declined 2.05% to 45.410, and Dash inched down 2.89% to 67.49,at the time of writing.

TECHNICAL SUMMARY

EURUSD