Daily Markets

• Oil fell on Thursday as weak U.S. economic data raised concerns over a potential global recession and demand reduction, but benchmark prices were headed for a weekly advance after OPEC+ announced further output cuts and U.S. oil stocks dropped. Brent and WTI have both gained nearly 6% so far this week, headed towards three straight weeks of increase after the Organization of the Petroleum Exporting Countries and allies including Russia, a grouping known as OPEC+, pledged voluntary production cuts. The U.S. services sector slowed more than expected in March as demand cooled, while a measure of prices paid by services businesses fell to the lowest in nearly three years, giving the Federal Reserve a boost in the fight against inflation. New Zealand's central bank raised interest rates more than expected on Wednesday, and India is likely to be the next in line to step up its benchmark rates Meanwhile, U.S. job openings in February dropped to their lowest in nearly two years, suggesting the labor market was cooling. The slew of soft economic data soured market sentiment, stoking fears of a recession and prompting investors to adopt risk aversion strategies. The U.S. dollar index strengthened on Thursday, rebounding from a recent two-month-low. A stronger greenback could dent oil demand as crude becomes more expensive for holders of other currencies. Underpinning the market, Saudi Arabia, the world's top oil exporter, raised prices for its flagship crude for Asian buyers for a third straight month. U.S. crude inventories fell 3.7 million barrels last week, about 1.5 million barrels more than forecast, government data showed. Gasoline and distillate stocks also fell more than expected, drawing down by 4.1 million barrels and 3.6 million barrels, respectively.

Gold – XAU

Gold on Wednesday made it’s intraday high of US$2031.98/oz and low of $2009.96/oz. Gold is up by 0.0163% at US$2020.65/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 2020-2080 keeping stop loss closing above 2080, targeting 2009-1994 and 1981-1969-1950. Buy in between 2020-1959 with risk below 1959, targeting 2,034-2,050-2,058 and 2,069-2,080.

Silver - XAG

Silver on Wednesday made its intraday high of US$25.12/oz and low of US$24.63/oz settled up by 0.104% at US$24.93/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 24.60-18.30, targeting 25.00-25.90-26.30 and 26.90-27.50 with stop loss should be placed on the breakage below 18.00. Sell in between 25.00-26.20 with a stop loss above 26.20; targeting 23.60-23.00-22.05-21.60 and 21.00-20.05-19.90.

Oil - WTI

Crude Ol on Wednesday made an intra‐day high of US$81.21/bbl, an intraday low of US$79.71/bbl, and settled up by 0.764% to close at US$80.30/bbl.

Technicals in Focus:

On daily charts, oil is sustaining below its 200DMA i.e. 68.50 which is a support level and breakage below will call for 68.40. 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 81.00-83.30 with stop loss at 84.00; targeting 78.70-77.96-77.10 and 76.00-75.00-74.25 . Buy above 80.10-74.25 with risk daily closing below 74.25; targeting 81.70 and 82.40-83.30-84.00.

EUR/USD

EUR/USD on Wednesday made an intraday low of US$1.0890/EUR, a high of US$1.0968/EUR, and settled the day down by 0.441% to close at US$1.0905/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 1.0960-1.1090, targeting 1.0810-1.0750-1.0700 and 1.0650-1.0590-1.0520-1.0480 with stop-loss at daily closing above 1.1032. Buy above 1.0900-1.0525 with risk below 1.0525 targeting 1.0910 and 1.0950-1.0990-1.1030.

GBP/USD

GBP/USD on Wednesday made an intra‐day low of US$1.2431/GBP, a high of US$1.2513/GBP, and settled the day down 0.312% to close at US$1.2461/GBP.

Technicals in Focus:

On daily charts, prices are sustaining below 200DMA (1.2112) 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 oversold 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 1.2400-1.2050 with a target of 1.2445 and 1.2490-1.2545 with a stop loss closing below 1.2050. Sell in between 1.2490-1.2745 with targets at 1.2400-1.2340-1.2240 and 1.2200-1.2170-1.2100 with stop loss should be 1.2745.

USD/JPY

USD/JPY on Wednesday made an intra‐day low of JPY130.62/USD and made an intraday high of JPY131.83/USD and settled the day down by 0.290% at JPY131.29/USD.

Technicals in Focus:

In daily charts, JPY is sustaining above 200DMA (134.05), which is major 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 overbought territory and signaling to buy as it has given a positive crossover to confirm a bullish stance.

Trading Strategy: Neutral to Sell

Sell below 132.00-140.60 with risk above 140.60 targeting 131.40-130.60-130.00-129.40 and 128.90-128.00. Long positions above 131.00-128.00 with targets of 131.40-132.00-132.90 and 134.00-134.90-135.0 with stops below 130.00.