Despite emerging of supply last week for 4 major US indices (S&P 500, Nasdaq 100, Dow Jones, Russell 2000), the attempt to have a correction was not successful. The close on Thursday’s was mainly a hammer (highlighted in blue) suggesting lack of commitment to the downside and that was confirmed by Friday’s bullish bar. Refer to the chart for the 4 US indices below:
The market direction is still up. Yet the market breadth does not improve yet and the price certainly is over-stretched, which are still the red-flags and is vulnerable for a market correction. Focus on the trade management is still the priority.
Meanwhile, check out the stocks that are set to take off for Week 28. Watch the video below to find out the trading plan and the potential low risk entry:
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EUR/USD has lost its traction and declined below 1.0900 in the American session on Friday. Quarter-end flows seem to be allowing the US Dollar find some demand but the risk-positive market environment seems to be limiting the pair's downside ahead of the weekend.
GBP/USD trades below 1.2400, looks to post weekly gains
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Gold tries to stabilize near $1,980 following earlier spike
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Dogecoin price has been in a tight range bound movement since November 22. The recent recovery above the range low looks promising and hints at an explosive move for next week.
Week ahead – Nonfarm payrolls to set the tone for US dollar
With the banking turmoil receding, market participants will turn their attention back to economic releases. The spotlight will fall on the US employment report.