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Market Analytics
1st | February| 2021
Profiting is Managing your Risk
www.enrichers.com.pk
Market Overview
Asian shares fluctuated on Monday amid anxiety on slow-paced economic recovery due to issues with
vaccine roll out along with new variant of coronavirus.
MSCI's broadest index of Asia-Pacific shares outside Japan edged lower 0.4%, following four straight
sessions of losses. Japan’s Nikkei bounced 0.4%, after flaking almost 2% on Friday.
Futures for the S&P 500 lost another 0.3% in heavy trade, while NASDAQ futures dropped 0.4%. Wall
Street major indexes posted losses as volatile trading in a number of heavily shorted companies such
as GameStop and AMC Entertainment bubbled worries.
The word on the street on Monday was silver with new board for the retail crowd as the metal soared
5.7% to a six-month high.
Vaccine rollouts news is not meeting any positive end. Also video gamer retailer day by day is putting
pressure on risk assets. Anticipating a light at the end of tunnel is all to weigh on. Doubts have
escalated $1.9 trillion stimulus relief package fate.
The stocks restlessness put a small wrinkle in Treasury yields that actually rose late last week. A record
$1.11 trillion of gross Treasury issuance is slated for this quarter, up from $685 billion the same time
last year.
Cautious market mood have seen the safe-haven dollar firming above its recent lows. The dollar
index stood at 90.628, having recoiled from a trench of 89.206 hit early in January. The euro lounged at
$1.2121, well off its current peak at $1.2349, while the dollar held firm at 104.74 yen.
Gold followed silver higher to $1,853 an ounce, but has frequently evaded at resistance around $1,875.
Silver prices rallied to start the trading week, fueled by a wave of fresh passion from online traders.
Global demand concerns kept oil prices composed. U.S. crude was flat at $52.20 a barrel, while Brent
crude futures edged up 10 cents to $55.14
29th January 2021 Price Range
Instruments Open High Low Close Range Change %Change
Crude Oil 52.15 53.25 51.93 52.2 1.32 0.05 0.09%
Gold Futures 1845.6 1878.9 1841.2 1850.3 37.7 4.7 0.25%
Silver Futures 26.625 27.77 26.15 26.915 1.62 0.29 1.08%
EUR/USD 1.2121 1.2156 1.2093 1.2136 0.0063 0.0015 0.12%
GBP/USD 1.3721 1.3752 1.3657 1.3702 0.0095 -0.0019 -0.13%
USD/JPY 104.24 104.95 104.21 104.68 0.74 0.44 0.42%
NSDQ100 13156 13188 12829 12911.25 359 -244.75 -1.86%
Dow 30 30445 30521 29754 29879 767 -566 -1.85%
S&P 500 3770.25 3777.25 3685.5 3705.25 91.75 -65 -1.72%
KSE 100 46166.05 46656.98 46166.05 46385.54 490.93 219.49 0.47%
DXY 90.56 90.78 90.36 90.58 0.42 0.02 0.02%
Table 1: Price Ranges in Market 29h January, 2021 - Friday
Commodities
Crude Oil
U.S. West Texas Intermediate crude oil futures traded lower
on Friday as buyers seemed to wave a white flag after
embarking to attract enough buyers to continue the move.
Due to a lot of chatters going around, buyers for the most
part were de-energize by demand worries, nevertheless,
losses may have been restricted by the bullish sentiment
being powered by a cut in Saudi Arabian oil supply and
falling U.S. oil inventories. A major supply level on the chart
can cause Oil latching onto upward momentum.
Today's Technical Level
Instrument S3 S2 S1 Pivots R1 R2 R3
Crude Oil 49.82 51.14 51.67 52.46 52.99 53.78 55.10
GOLD
On Friday, gold prices pushed forward but unable to gain
traction. Prices couldn’t seen better days for the whole week
declining roughly 0.2%. The Bulls and the Bears are battling for
a breakout in gold prices, pushing the price within the $1,873
and $1,818 price level. The yellow metal also had an aggressive
bearish breakout earlier in the starting of second week of
January, but the downside momentum fail to keep sight of it.
Analysts are anticipating that bulls will take over the market in
twinkling of an eye.
Today's Technical Level
Instrument S3 S2 S1 Pivots R1 R2 R3
Gold 1781.40 1819.10 1834.70 1856.80 1872.40 1894.50 1932.20
SILVER
Silver bulls attack $29.00, currently up 6.60% near $28.97,
during the early Asian trading on Monday. Silver has rallied in
recent trading sessions after weekend chatters suggesting a
short squeeze similar to ones credited with injecting recent
gains in other stocks on the internet, like GameStop Corp. has
gained king-size consideration from day traders. Attention from
day traders is the silver lining for silver prices, which have
traded in a range since notching a record performance in 2020.
Today's Technical Level
Instrument S3 S2 S1 Pivots R1 R2 R3
Silver 23.71 25.33 26.12 26.95 27.74 28.57 30.19
Currencies
EUR/USD
The EUR/USD pair had muted moves on Friday, ending the
week with modest losses, but within familiar levels in the
1.2130 price zone. Investors’ focus remained on equities.
Global indexes inched lower at the end of the week, with Wall
Street reaching fresh January lows. The dismal market mood
was further infuriated by vaccine-related banners, as the one-
shoot from Johnson & Johnson has proven 66% effective in
phase three trials, while Pfizer CEO said new variant could
escape the vaccine.
Today's Technical Level
Instrument S3 S2 S1 Pivots R1 R2 R3
EUR/USD 1.2002 1.2065 1.2101 1.2128 1.2164 1.2191 1.2254
GBP/USD
The GBP/USD pair rested the week with humble gains just
below the 1.3700 level and not far from a fresh multi-year high
of 1.3758. The pair spent the week consolidating in the midst
of a limited UK calendar, whilst the pound was pretty resilient
to the dollar’s demand on risk-aversion. UK currency gains
some strength on the support of easing out pandemic
pressure. On Monday, Markit will publish the UK final January
Manufacturing PMI, anticipated to be unchanged at 52.9.
Today's Technical Level
Instrument S3 S2 S1 Pivots R1 R2 R3
GBP/USD 1.3514 1.3609 1.3655 1.3704 1.3750 1.3799 1.3894
USD/JPY
The USD/JPY pair hopped to 104.93 last Friday, a level that
was last seen mid-November, to rest the day with
considerable gains in the 104.70 price region. Demand for the
American currency counterbalance the poor tone of equities,
boosted the pair. Japan issued January Tokyo inflation, which
left bullish sentiments, printing at -0.5% YoY. Industrial
Production in the year to December dropped 3.2%, better
than the -3.5%. In early Feb, the country will release the
January Jibun Bank Manufacturing PMI, previously at 49.7.
Today's Technical Level
Instrument S3 S2 S1 Pivots R1 R2 R3
USD/JPY 103.13 103.87 104.28 104.61 105.02 105.35 106.09
US Stock Market
NASDAQ 100
U.S. stock index futures inched lower in overnight trading as a
flow in speculative trading by retail traders continued to
effect the overall health of markets. Nasdaq 100 futures fell
0.35%. Apple (AAPL) gave up 3.7% in its third straight decline.
Novavax (NVAX) soared more than 60%. Microsoft (MSFT)
gave up 2.9% to snap an eight-session win streak. The buy
zone tops out at 239.63. After the close Tuesday, the
software giant announced quarterly results that smashed
Wall Street targets.
Today's Technical Level
Instrument S3 S2 S1 Pivots R1 R2 R3
NASDAQ 100 12258.08 12617.08 12764.17 12976.08 13123.17 13335.08 13694.08
DOW JONES 30
The Dow chopped down 620 points on Friday, or 2%, to
close below the 30,000 level for the first time since
December. Johnson & Johnson (JNJ) gapped down and
dropped nearly 4% in heavy trade. Moderna (MRNA),
whose two-dose vaccine has 94% efficacy level, rallied 9%.
Moderna stock is up 66% this year. Dow (DOW) and 3M
(MMM) were big losers, down more than 4% each. Only
one of the 30 blue chip stocks avoided the sell-off:
McDonald's (MCD) climbed 0.6%.
Today's Technical Level
Instrument S3 S2 S1 Pivots R1 R2 R3
DOWJONES 30 28517.33 29284.33 29581.67 30051.33 30348.67 30818.33 31585.33
S&P 500
The S&P 500 fell 1.9%. S&P 500 posted losses for January,
the first negative month in four. The current boom in stocks
like GameStop and AMC Entertainment continues to show
topping pattern as retail investors are flooding in market. 99
S&P companies set to report earning this week Alphabet,
Amazon, Alibaba, Snap, Exxon, Biogen, Pfizer and Chipotle
are among them. Automakers, airlines and solar stocks led
the downside among IBD's 197 industry groups.
Today's Technical Level
Instrument S3 S2 S1 Pivots R1 R2 R3
S&P 500 3539.17 3630.92 3668.08 3722.67 3759.83 3814.42 3906.17
Financial Glossary Recoil – Jump back Wave white flag – To give up on something Latching into – Gaining Silver Lining – Being optimistic Short Squeeze - A short squeeze occurs when a stock or other asset jumps sharply higher, forcing traders who had bet that its price would fall, to buy it in order to forestall even greater losses. Their scramble to buy only adds to the upward pressure on the stock's price.
DISCLAIMER Information and opinions contained herein is compiled by sources Enrichers Research Team believes to be reliable, but we do not accept any responsibility of its accuracy or completeness. In particular, the report takes no account of the investment objectives. Any opinions, research, news, analysis, prices or other information contained do not constitute an offer or solicitation to make any investment which carries risk. For moreinformation Call or visit us today 3rd Floor High-Q Tower, Gulberg H - Lahore www.enrichers.com.pk 042 111 36 74 24 https://www.facebook.com/EnrichersTrading/
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