Weekly Update – 27 September 2020 – LS Trader

Stocks

The S&P 500 has closed down for four consecutive weeks. The Nasdaq 100 ended with an up week and printed a bullish engulfing pattern on the weekly chart, whilst the S&P 500 printed a hammer. Last week’s lows may be critical to the short-term direction of the market. If last week’s lows hold, we may see prices push back towards the recent highs. However, a break of the lows would likely lead to additional selling. The 40-level is holding on the RSI, which is bull market support, and the long-term trend remains up.

Commodities

Metals have seen additional weakness this week, but the long-term trend remains up across the sector.

The energy markets except for Natural gas remain in long-term uptrends, but continue to trade in a range with low volatility.

The grains markets have been in strong uptrends in recent weeks but saw some corrective weakness this week. The long-term trend remains up across the sector.

Currencies

The Dollar has had a good week with strength seen across the board. The Dollar Index itself has made a two month high. For now, the long-term trend remains against the Dollar.

Only the Yen remains in a current trade against the Dollar, and that trend may end this week as the Dollar corrects against the primary trend against all majors.

Interest rate futures

Interest rate futures continue to trade in a sideways quiet channel but are pressing up towards the higher end of the range, with upside breakouts very much in range.

Weekly Update – 20 September 2020 – LS Trader

Stocks

Stocks have remained week and are at interesting short-term levels. The Nasdaq 100 and S&P 500 tested support in terms of price and the 40-level on the RSI, which is bull market support. So far, both markets have held up. The long-term trend remains up for stock indices.

Commodities

Copper made a new high for the move and closed on the high of the week, which is often a sign that momentum will continue on Monday.

Gold and Silver continue to consolidate in low volatility sideways triangular patterns that have a bias to potentially breakout to the upside and resume the long-term bull trend. Breakouts from such low levels of volatility tend to be sharp. We could see some swift moves if and when the breakout is successful.

Currencies

It’s been another mixed week in the currency markets. The Australian Dollar continues its recent uptrend having held above support. The Kiwi broke out to a new high for the move but was unable to progress and closed back below prior resistance, but did still manage to make a new high close since July 2019.

USD/JPY remains in a long-term downtrend. Weakness took the market down to test support at the July low. That support has held so far.

Interest rate futures

Interest rate futures remain in a sideways quiet channel, which has been the case for several months. The sector is about as neutral as it can get as the market moves sideways with very low volatility and an RSI hovering around the midline.

Weekly Update – 13 September 2020 – LS Trader

Stocks

Stocks ended the week lower but remain in long-term uptrends. The S&P 500 and Nasdaq 100 both saw their respective RSIs find support at the 40 levels, keeping the bull range intact.

The Dax and the Nikkei have been stronger than their US counterparts and are within range of upside breakouts this week.

The long-term trend remains up for global stocks despite recent weakness.

Commodities

Copper remains the strongest of the metals in the short-term as Silver broke short-term support this week. Palladium has held up well and could complete a change of trend to up this week.

The energy markets are still in long-term uptrends but have broken out of their rectangle patterns to the downside. Weakness has been sufficient to put the RSI into the bear range on three markets in the sector. Further weakness will be required for a change of long-term trend to down.

Currencies

The currency markets have been mixed, but have seen sufficient dollar strength in the short-term to bring most trends against the Dollar to an end for now. However, the long-term trend remains very much against the Dollar. The Australian Dollar continues to hold up and bounced off support this week.

Interest rate futures

US interest rate futures continue to trade in what can best be described as a sideways quiet channel, in a long-term uptrend. Upside breakouts are within range for these markets. Volatility remains low.

The UK Long Gilts market has been more volatile but is also within a long-term uptrend.

Weekly Update – 5 September 2020 – LS Trader

Monday is Labour Day Holiday in the US so the US markets will be closed.

Stocks

Stocks made new all-time highs during the first half of the week but reversed sharply on Thursday and Friday to end the week down. The Dax completed a change of trend to up but was stopped out following the reversal. The long-term trend is currently up for all global stock indices that we trade at LS Trader despite this week’s sell-off.

The S&P 500 held up better than the other indices and bounced off support to keep the uptrend alive.

Commodities

Copper held up well and managed to make a new high for the current move this week. Gold and Silver continue to consolidate. Palladium ended the week higher and is in range of completing a change of trend to up.

The energy markets have seen some weakness this week and are trading towards the lower end of the recent trading range. The long-term trend is up across the sector.

Currencies

The Dollar continues to show signs of attempting to bottom. The Dollar Index printed a hammer from the lows on Tuesday and ended the week higher. The long-term trend remains against the Dollar across the board, but there was sufficient strength to bring the current trends to an end for the British Pound and Swiss Franc.

Interest rate futures

Interest rate futures remain rangebound having traded higher throughout the week until Friday, where they reversed lower. All interest rate futures continue to trade in a sideways channel as they have since March, but the long-term trend remains up across the board.