SGT Chart Book 13.05.24

sgt_chartbook

US equities put in a decent performance for the week, with the Dow up 2.2%, SP500 1.9% and Nasdaq 1.1%. The Dow extended its longest winning streak of 2024 to an eight-day run.

 

The May performance marks a reversal from April, when higher-than-expected inflation data and geopolitical concerns caused a significant sell off, many thought this was the start of a deeper correction to the rally that started at the end of October 2023.

 

Recent data has shown a slowdown in hiring and growth in unemployment claims have calmed some investors’ nerves about how long inflation will remain higher than the Fed’s 2% target.

 

Consumers’ outlook on the economy darkened in May, according to the University of Michigan survey. Respondents’ year ahead inflation expectations rose to 3.5% from April’s 3.2%, weighing down sentiment in the poll to its lowest level in six months.

 

10-year Treasury yields moved upward after the release, ending the week around at 4.5%.

 

The U.K. economy returned to growth in the first three months of the year, a sign the country is beginning to recover from the damage caused by Russia’s invasion of Ukraine.

 

Gross domestic product between January and March was 0.6% higher than in the previous quarter, the Office for National Statistics said Friday. It was the U.K.’s strongest performance since the final quarter of 2021, before the full-scale invasion in February of 2022. The annualized 2.5% expansion outstripped U.S. growth.

USA30

USA100

USA500

US10 YEAR RATES

Retests trendline support after supportive economic releases.

EURUSD

Downward sloping channel continues to dominate price action.

USDJPY

After BOJ Intervention, we can see that USDJPY retests the previous resistance area around 152 before market takes the pair higher.

XAUUSD

XAGUSD

Break of downtrend line mentioned last week has encouraged the bulls.

USOIL

After recent selloff, we have tested the up trendline support.

BTCUSD

After the short-lived break below $60k channel support, we have seen mostly sideways price action. The jury is still out whether $74k is the top for this rally.

Join us next week, for more market insights.

 

Happy trading,
SGT Trading Desk

trading@sgt.markets

Disclaimer: Trading Desk Observations are not trade recommendations. The purpose of these charts is to bring to your attention potential chart patterns you may wish to monitor.

Connect with SGT Markets

Follow us for the latest news & insights

Related Articles

sgt_chartbook

SGT Chart Book 20.05.24

sgt_markets_trading_guide_generic

Unlocking the Secrets of the Stochastic Oscillator: A Beginners Guide

sgt_markets_observations_tony_100524

Reflecting on Crypto: Are We Heading in the Right Direction?

sgt_markets_heikin

Mastering the Art of Heikin Ashi Candlesticks for Improved Trading Decisions

sgt_chartbook

SGT Chart Book 06.05.24

sgt_markets_observations_tony_030524

When things go wrong or the markets become quiet, we must put in more effort

sgt_markets_elliot_wave

Mastering Market Predictions: A Beginners Guide to Elliott Wave

sgt_chartbook

SGT Chart Book 29.04.24

sgt_markets_bep20

Deciphering the BEP20 Network: What is a Smart Chain?

sgt_markets_observations_tony_230424

The halving of bitcoin and other ramblings

sgt_chartbook

SGT Chart Book 22.04.24

sgt_markets_airdrop

How Does Airdrop Crypto Work? A Step-by-Step Guide