Microsoft issue widens, stocks weaken and Dollar shines
Important news for the day:
- Fri, 19th 08:00 CET UK Retail Sales.
- Fri, 19th 14:30 CET CA core Retail Sales.
US elections
US President Biden gets under further pressure as the election campaign continues. The 81-year-old has been diagnosed with COVID-19 and needs to take a break from public appearances. Negative headlines also followed from Nancy Pelosi, the former Democratic speaker of the House, stating that he should step down from a potential re-election. Former President Trump had delivered a speech in Milwaukee during the Republican National Convention. Meanwhile the Dollar is gearing up steam. Further pressure might cause the correction in stock markets to extend: Microsoft has seemingly reported issues with an outage of a computer system.
Market talk
The strength of the Dollar continues and ost currency pairs offer a potential turnaround pattern towards the end of this week. Also equities remain negative with in particular the Dow Jones having pared most of last week’s previous gains. Tech stocks remain hit the most and the current news surrounding Microsoft might further weigh negatively on the situation. The strength of the Dollar also caused Gold to weaken. The slide in Silver is even stronger. Bitcoin and ETH are losing steam as well but were mostly able to hold gains for now. Daily charts, however, suggest that the current downtrend might continue.
- AUDUSD: we sold at 0.6740 with SL NOW at 0.6740 and TP at 0.6595.
Tendencies in the markets
- Equities weak, USD stronger, cryptos sideways, oil correcting, Gold bearish, Silver down, JPY sideways.
Author
Frank Walbaum
FX Strategies.Asia
Frank has been working in the TV business for several years. Acquiring his skills in Germany’s biggest broadcasting station, he then chose to work and live in Asia, which was in 2007.
