1. Forex Market Insight
EUR/USD was up 0.08% in late trading at $1.0547 on last Friday, 6th May 2022, having earlier fallen to $1.04830, slightly above the five-year low of $1.0470 hit on 28th April 2022.
EUR/USD weakened as a result of the sanctions imposed following the Russia’s invasion of Ukraine, which has also slowed down the Europe’s economic growth of the Europe and has disrupted energy supplies.
Official data released on last Friday, 6th May 2022, demonstrated that German industrial production fell more than expected in March, as epidemic restrictions and the war in Ukraine disrupted supply chains and made it difficult to fill orders.
(EUR/USD 1-hour chart)
We focus on the 1.0529-line today. If the euro runs steadily below the 1.0529-line, then pay attention to the support strength of the position of 1.0357. If the strength of the euro breaks above the 1.0529-line, then pay attention to the suppression strength of the two positions of 1.0662 and 1.0776.
GBP Intraday Trend Analysis
GBP fell to its lowest level since June 2020 after the Bank of England raised interest rates on last Thursday, 5th May 2022, to the highest level since 2009. Yet, it warned that the economy was at risk of recession.
GBP/USD was down 0.20% at $1.2331 in late trading on last Friday, 6th May 2022, after dropping to $1.2276 during the day.
(GBP/USD 1-hour chart)
GBP is mainly focused on the 1.2478-line today. If GBP runs below the 1.2478-line, it will pay attention to the suppression strength of the two positions of 1.2243 and 1.2106. If GBP runs above the 1.2478-line, then pay attention to the support strength of the position of 1.2668.
2. Precious Metals Market Insight
Gold prices rose slightly on last Friday, 6th May 2022, to close at $1,883.38 per ounce. Yet, the weekly trend will fall for the third consecutive week, weighed down by the prospect of a sharp interest rate hike by the Federal Reserve, while demand concerns dragged gold prices down sharply at one point.
The recent climb in U.S. bond yields and stronger-than-expected U.S. employment data is seen as giving justification for a deeper rate hike, which has limited gold prices to the upside.
(Gold 1-hour chart)
Gold pays attention to the 1869-line today. If the gold price runs steadily above the 1869-line, then it will pay attention to the support strength of the 1880 and 1909 positions. If the gold price breaks below the 1869-line, then pay attention to the suppression strength of the two positions of the 1861 and 1855.
3. Commodities Market Insight
WTI Crude Oil
International oil prices weakened in early trading on Monday, 9th May 2022, as Saudi Arabia cut the selling price of crude oil in Asia. U.S. crude is currently down 0.72%, trading near $108.98 per barrel.
Saudi Arabia cut its oil prices for Asian customers in June for the first time in four months, with state-owned Saudi Aramco lowering its official selling price for Arabian Light crude to Asia to $4.4 per barrel from a $9.35 per barrel premium to the average price in Dubai, Oman.
However, oil prices rose nearly 1.5 percent on last Friday and for the second week in a row, with the EU about to impose sanctions on Russian oil, which could lead to tighter supplies, while traders shrugged off concerns about global economic growth.
(Crude Oil 1-hour chart)
Oil prices focus on the 107.52-line today. If the oil price runs above the 107.52-line, then focus on the suppression strength of the two positions of 111.95 and 116.30. If the oil price runs below the 107.52-line, then pay attention to the support strength of the two positions of 102.52 and 99.50.
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