Oil Bounced off $82 to Hold Trendline: One to Watch
FTSE 100 , futures +20 on cash flirting with the 7400 level
Brent did slip to the $82 support area as highlighted yesterday before a big intraday rally back to close just above the trendline forming a dragonfly doji : this shows significnat demand and if the trendline holds today , we should see a rally off this level . One to watch for a trade in either direction on the black stuff though a rally will lift the oilers especally the more highly correlated (non divi paying) names - see oil chart.
Gold slips 8EMA but holds around 1740 : this is technical no man's land . I'd favour a check back to the 21EMA around $1719 though a retrace of 50% of the recent move to the $1702 wtih a strong bounce would be a buying opportunity ( I am long from $1620 w/ partial profits booked looking to add to the position on weakness with an $1800 target). US holidays this week result in lighter volumes so random sideways movement in many assets classes are to be expected given low liquidity.
Copper pulled back further as China Covid shut downs impacted the whole commodities complex
Dollar Index off Aug 22 support to retake the 8EMA may see further weakness in gold and commodites if the greenback rallies further.
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Market Dashboard and Sentiment:
VIX drops further to 22 supporting risk on
US Heatmap as of Close Mon 21 Nov 22
US closed mixed - DOW advanncing on healthcare and banks
Econ Calendar
Today's economic calendar light day although Japan CPI overnight printed 2.7% on expected 2.2%
