Daily Forecast - 24 October 2014
WTI Crude December contract
WTI Crude going sideways but this is increasingly looking like a pause in the bear trend now, rather than an opportunity for a recovery. We hit our selling opportunity at 8240/50 yesterday & this trade worked almost perfectly as we topped at 8237. Failure to hold above 8160 sees a drift lower towards 8065/55 & if we continue lower a retest of last week's low at 7938/7910 is very possible. This area is crucial to future direction. A double bottom is required for any chance of a sustained recovery. Exit shorts & try longs with stops below 7880. Be ready to go with a break lower however as this signals the start of the next leg down in the longer term bear trend & targets 2012 lows at 7756/28 in to next week.
Holding above 8155/60 may gives us a second chance of a selling opportunity at 8240/50. We topped exactly here yesterday at 8237 but shorts need stops above 8285 today. Try shorts again at 8315/25 with stops above 8350.
The contents of our reports are intended to be understood by professional users who are fully aware of the inherent risks in Forex, Futures, Options, Stocks and Bonds trading. INFORMATION PROVIDED WITHIN THIS MATERIAL SHOULD NOT BE CONSTRUED AS ADVICE AND IS PROVIDED FOR INFORMATION AND EDUCATION PURPOSES ONLY.
Recommended Content
Editors’ Picks
EUR/USD stabilizes near 1.0800 as trading action turns subdued
EUR/USD holds steady near 1.0800 on Thursday and remains on track to end the day in negative territory following upbeat macroeconomic data releases from the US. The action in financial markets turn subdued as trading volumes thin out heading into Easter holiday.
GBP/USD extends sideways grind above 1.2600
GBP/USD fluctuates in a narrow channel above 1.2600 on Thursday. The better-than-expected Initial Jobless Claims data from the US and the upward revision to the Q4 GDP growth help the USD stay resilient against its rivals and limits the pair's upside.
Gold pulls away from daily highs, holds above $2,200
Gold retreats from daily highs but holds comfortably above $2,200 in the American session on Thursday. The benchmark 10-year US Treasury bond yield stays near 4.2% after upbeat US data and makes it difficult for XAU/USD to gather further bullish momentum.
XRP price falls to $0.60 support as Ripple ruling doesn’t help Coinbase lawsuit against SEC
XRP programmatic sales ruling by Judge Torres was completely rejected by another US Court that ruled in favor of the SEC in a lawsuit against Coinbase.
Portfolio rebalancing and reflation trades emerge into Q2
Yesterday’s price action pointed at a possible end-of-quarter portfolio rebalancing as the session saw the laggards of the quarter like Apple and Tesla gain, and the stars like Microsoft and Nvidia retreat.