November 21th Daily Analysis

November 21th Daily Analysis

Dollar Index (USDX)

On Friday, November 18, the dollar headed towards its best week in a month, as statements by Federal Reserve officials and stronger-than-expected Retail Sales data curbed the US currency’s decline after signs of declining in the inflation rate.

Technically, the US dollar started to improve relatively, in an attempt to hold above the resistance levels at $107.10.

Pivot point: 106.65

British Pound (GBPUSD)

The pound sterling fell at the beginning of today’s session, Monday, November 21st, as both the British budget of tax increases and spending cuts disappointed investors.

The pound sterling stabilizes below its pivot point at 1.1895, supported by the stability of the US dollar.

Pivot point: 1.1895


Gold prices ended last week Friday (November 18th) lower, a day after St. Louis Fed James Bullard suggested during a presentation that the Fed’s policy reference rate could need to rise as much as 7%.

Gold prices fell by $8.60, or 0.5%, to close at $1,754.40 an ounce on Friday. It ended the week with a loss of 0.9%, after rising more than 5% last week.

Gold registered weekly losses, but still managed to hold on to most of its gains from the past two weeks, suggesting that the precious metal may have finally broken the downtrend that has affected it all year.

Pivot point: 1,755


Oil fell by more than three dollars per barrel at the settlement of Friday, November 18th, to record a decline for the second week due to uncertainty, with weak demand in China and the interest rate hike by the US Federal Reserve.

Brent crude fell by $2, or 2.2%, to $87.74 a barrel, and US West Texas Intermediate crude fell $1.5, or 1.87%, to $80.11 a barrel.

The two crudes recorded a decline for the second week in a row, as Brent prices fell by about 9%.

Pivot point: 80.05

Start your trading journey with Trade Master today!