Daily Markets

• Oil prices steadied on Wednesday as industry data showed an unexpected draw in U.S. crcrude oil inventories, after the market tumbled in the previous session on fears that more aggressive U.S. interest rate hikes would hit demand. Data from the American Petroleum Institute showed U.S. crude inventories fell by about 3.8 million barrels in the week ended March 3, according to market sources. The drawdown defied forecasts for a 400,000 barrel rise in crude stocks from nine analysts polled by Reuters. However, near-term drivers pointed towards a more bearish outlook as investors braced for steeper U.S. rate hikes. Traders were awaiting crude inventory data from the U.S. Energy Information Administration later on Wednesday, after the API data showed a decline in crude inventories for the first time after a 10-week build, she added. Both Brent and WTI fell more than 3% on Tuesday after comments by U.S. Federal Reserve Chair Jerome Powell that the central bank would likely need to raise interest rates more than expected in response to recent strong data. Powell's comments propelled the U.S. dollar, which typically trades inversely with oil, to hit a three-month high against a basket of currencies.

Gold – XAU

Gold on Wednesday made it’s intraday high of US$1851.55/oz and low of $1812.63/oz. Gold is down by 1.818% at US$1812.93/oz.

Technicals in Focus:

In daily charts, prices are above 200DMA (1809) and breakage below will call for 1790. MACD is above the zero line and histograms are a2lso increasing trend and it will bring an upward stance in the upcoming sessions. RSI is in the overbought region and more upside is expected before it gets stretched. The Stochastic Oscillator is in neutral territory and giving a negative crossover to a bearish stance for intraday trade.

Trading Strategy: Sell on Strength

Sell below 1823-1900 keeping stop loss closing above 1900, targeting 1802-1790-1774. Buy in between 1808-1761 with risk below 1761, targeting 1844 and 1853-1874-1887.

Silver - XAG

Silver on Tuesday made its intraday high of US$21.13/oz and low of US20.01/oz settled down by 4.61% at US$20.05/oz.

Technicals in Focus:

On daily charts, silver is sustaining below 100DMA (21.00), breakage above will lead to 21.60. MACD is below the zero line and histograms are decreasing trend and it will bring a bearish stance in the upcoming sessions. RSI is approaching the neutral region, indicating a buy signal for now. The Stochastic Oscillator is in the oversold region and gives a positive crossover to show an upside move for the intraday trade.

Trading Strategy: Buy on Dips

Buy in between 20.00-18.30, targeting 20.90-22.10-23.00 and 24.40-25.00-25.90 with stop loss should be placed on the breakage below 18.00. Sell in between 20.60-26.20 with a stop loss above 26.20; targeting 20.05-19.90 and 19.50-19.01.

Oil - WTI

Crude Ol on Tuesday made an intra‐day high of US$80.96/bbl, an intraday low of US$77.13/bbl, and settled down by 3.997% to close at US$77.27/bbl.

Technicals in Focus:

On daily charts, oil is sustaining above its 20DMA i.e. 68.50 which is a support level and breakage below will call for 65.40. MACD is above the zero line and histograms are in increasing mode will bring a bullish stance in the upcoming sessions. The Stochastic Oscillator is in the neutral region, giving a positive crossover for confirmation of a bullish stance; while the RSI is in the neutral region and more upside can be expected to reach the overbought region, which is highly probable.

Trading Strategy: Neutral to Sell

Sell in between 78.10-82.40 with stop loss at 82.40; targeting 77.00-75.10 and 74.00-73.10-72.40. Buy above 77.10-72.40 with risk daily closing below 72.40; targeting 78.10-79.55-80.30-81.00 and 81.90-82.50.

EUR/USD

EUR/USD on Tuesday made an intraday low of US$1.0545/EUR, a high of US$1.0694/EUR, and settled the day down by 1.219% to close at US$1.0548/EUR.

Technicals in Focus:

On daily charts, prices are sustaining above 50DMA (1.0736), which becomes immediate support, a break below will target 1.0647. MACD is above the zero line and histograms are increasing mode which will bring a bullish view. Stochastic is in overbought territory and giving positive crossovers to the bullish outlook for intraday. 14D RSI is currently in a neutral region and giving no directions to consider right now.

Trading Strategy: Neutral to Sell

Sell below 1.0590-1.0810, targeting 1.0520-1.0480 and 1.0450-1.0400 with stop-loss at daily closing above 1.0810. Buy above 1.0520-1.0450 with risk below 1.0450 targeting 1.0550-1.0590-1.0650 and 1.0690-1.0750-1.0810.

GBP/USD

GBP/USD on Tuesday made an intra‐day low of US$1.1820/GBP, a high of US$1.2064/GBP, and settled the day down 0.0524% to close at US$1.1825/GBP.

Technicals in Focus:

On daily charts, prices are sustaining below 20DMA (1.21) is becoming a resistance level. 14-D RSI is currently in a neutral region and direction is difficult to predict on RSI bases. The Stochastic Oscillator is in overbought territory and gives a positive crossover to confirm bullish a stance. MACD is above the zero line but histograms are increasing leading to movement.

Trading Strategy: Neutral to Buy

Based on the charts and explanations above; buy in between 1.2010-1.1650 with a target of 1.2090-1.2120 and 1.2170-1.2290- 1.2390 with a stop loss closing below 1.1650. Sell in between 1.2060-1.2650 with targets at 1.2010-1.1900-1.1820 and 1.1750- 1.1650-1.1600 with stop loss should be 1.2445.

USD/JPY

USD/JPY on Tuesday made an intra‐day low of JPY135.53/USD and made an intraday high of JPY137.18/USD and settled the day up by 0.916% at JPY137.14/USD.

Technicals in Focus:

In daily charts, JPY is sustaining above 200DMA (108.30), which is initial support on the daily chart. 14-D RSI is currently in the overbought region and chances of downward are expected based on RSI. MACD is above the zero line but histograms are in decreasing mode which might lead to downward movement. The Stochastic Oscillator is in neutral territory and signaling to sell as it has given a negative crossover to confirm a bearish stance.

Trading Strategy: Neutral to Sell

Sell below 136.20-140.60 with risk above 140.60 targeting 135.50-134.90-133.90 and 132.90-132.00-131.60. Long positions above 135.50-131.20 with targets of 136.50-138.10-139.00 and 140.10-140.60 with stops below 130.00.