Friday, May 19 2017
Gold prices are trading near steady
World stock markets were mostly firmer overnight. The political drama in Washington, D.C., has died down a little bit, for now, which has allowed global stock markets to stabilize and focus more on recent upbeat economic data coming out of the U.S. and the European Union. U.S. stock indexes are heading toward firmer openings when the New York day session begins.
Gold prices are trading near steady in pre-U.S. day trading,as the anxiety levels among most traders and investors have receded the past 24 hours.
Maybe the world marketplace was somewhat assuaged by remarks from U.S. President Donald Trump to the press on Thursday.He said he had nothing to do with collusion with the Russians regarding the last U.S. presidential election, and did not ask the fired former FBI director to back off on his investigation of Trump’s former national security advisor.
The key outside markets on Friday morning find the U.S.dollar index lower again and continuing its downside trek after Thursday’s brief bounce. The dollar index is hovering near this week’s six-month low. Meantime, Nymex crude oil futures prices are higher. Oil prices have trended solidly higher just recently, to suggest prices have put in a market bottom.
There is no major U.S. economic data due for release Friday.President Trump begins his first overseas trip as he heads for Israel, Saudi Arabia and Italy.
U.S. STOCK INDEXES
S&P 500 June e-mini futures: Prices are firmer on a corrective bounce after hitting a four-week low Thursday.The bulls have faded this week, to begin to suggest a market top is in place. The shorter-term moving averages (4-, 9-and 18-day) are neutral early today. The 4-day moving average is below the 9-day and 18-day. The 9-day is even with the 18-day moving average. Short-term oscillators (RSI,slow stochastics) are neutral early today. Today, shorter-term technical resistance comes in at Thursday’s high of 2,375.00 and then at 2,390.00. Buy stops likely reside just above those levels. Downside support for active traders today is located at the overnight low of 2,361.00 and the nat 2,350.00. Sell stops are likely located just below those levels.
Nasdaq index June futures: Prices are firmer in early U.S.trading. Bulls have the overall near-term technical advantage, but have faded a bit this week. Shorter-term moving averages (4- 9-and 18-day) are neutral early today.The 4-day moving average is below the 9-day. The 9-day average is above the 18-day. Short-term oscillators (RSI,slow stochastics) are neutral early today. Shorter-term technical resistance is seen at 5,650.00 and then at 5,675.00. Buy stops likely reside just above those levels.On the downside, short-term support is seen at the over night low of 5,622.00 and then at 5,600.00. Sell stops are likely located just below those levels.
U.S. TREASURY BONDS AND NOTES
June U.S. T-Bonds: Prices are slightly lower in early U.S.trading, on a mild corrective pullback after hitting a four-week high on Thursday. Shorter-term moving averages (4- 9-18-day) are neutral early today. The 4-day moving average is above the 9-day and 18-day. The 9-day is below the 18-day moving average. Oscillators (RSI, slow stochastics) are neutral to bullish early today. Shorter-term technical resistance is seen at the overnight high of 153 30/32 and then at this week’s high of 154 13/32. Buy stops likely reside just above those levels. Shorter-term support lies at 153 16/32 and then at Thursday’s low of 153 6/32. Sell stops likely reside just below those levels.
June U.S. T-Notes: Prices are weaker in early U.S. trading,on mild profit taking after prices hit a six-month high on Thursday. Shorter-term moving averages (4- 9- 18-day) are bullish early today. The 4-day moving average is above the 9-day and 18-day. The 9-day is above the 18-day moving average. Oscillators (RSI, slow stochastics) are neutral early today. Shorter-term resistance lies at the over night high of 126.11.5 and then at 126.16.0. Buy stops likely reside just above those levels. Shorter-term technical support lies at 126.00.0 and then at 125.24.0. Sell stops likely reside just below those levels.
U.S. DOLLAR INDEX
The June U.S. dollar index is lower and close to this week’s six-month low in early U.S. trading. Bears have the firm overall near-term technical advantage. The shorter-term moving averages for the dollar index are bearish early today as the 4-day is below the 9-day and 18-day. The 9-day is below with the 18-day moving average. Short-term oscillators for the dollar index are bearish early today. The dollar index finds shorter-term technical resistance at the overnight high of 97.740 and then at 98.000. Shorter-term support is seen at this week’s low of 97.275 and then at 97.000.
NYMEX CRUDE OIL
June Nymex crude oil prices are higher and hit a three-week high above $50.00 a barrel in early U.S. trading. Look for buy stops to reside just above technical resistance at$50.50 and then at $51.00. Look for sell stops just below technical support at the overnight low of $49.28 and then at$49.00.
Grain futures markets were higher overnight, on a short-
covering bounce from this week’s selling pressure. Trading remains choppy to lower in corn. Soybean and wheat price shave slumped badly this week. Weather in the U.S. Corn Belt remains mostly non-threatening, which is bearish. It’s going to take a weather scare in the U.S. Corn Belt to jump start any significant rallies in the grains in the coming weeks.
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