Market Movers: Oil, Gold, DOW & GBP

There are plenty of market movers to capture trader’s attention from Oil, Gold to GBP & Dow hitting 28,000 for the first time ever.

The US Equities really continues to drive on despite the trade fears and Fed messaging. SP500 nailed $3,120 as the buying power holds strong momentum for risk assets, perhaps fuelled by some positive US comments regarding trade progress for US & China.

Meanwhile Gold has formed a nice bottom last week at that low of $1,444, and now heading towards $1,470 very quickly as HK protests ramp up, again. The fires burning in HK university after an “all night protest” in HK, makes for some concerns on how China may look to handle this, and impact on trade negotiations if they do so.

HK50 (Hang Seng) remains pressured amid total chaos in the city of HK, spilling over into selling pressure in HK equities, with more pain in store.

I remain cautious n trade progress with a brave call to reverse on Gold and become a buyer last week – with a target of $1,500 firmly set once again.

• AUD/USD liked the improved chatter from the US regarding trade progress, and advanced back to 0.6820
• NZD/USD followed higher to regain the 64c handle also.

Oil was noteworthy with a strongly bullish close as lower US rig count spurred on a rally in Oil, back to $58.

In GBP/Brexit news, some resignations in the Brexit party boosted the optimism around Brexit by way of a clearer pathway to a majority UK government post December 12 election – lifting GBP sharply.

• GBP/JPY was a sharp mover on the open today, now dealing at 140.40 after punching higher with a bullish gap to start the new week.

This week delivers many central bank forward guidance minutes, which I always love to see, as traders gain a clearer insight into what could come next from:

• RBA.
• US Fed.
• Bank of Canada.
• ECB.

The EUR/USD also found bidders on Friday with a renewed upside move to 1.1050 on the charts ahead of the Euro data on Friday and respect to ECB Lagarde speaking this week also.

Chart to Watch:

• Gold – Look for a run up to $1,480.