Weekly Market Commentary | 15.07 - 21.07

Monday

• A busy start with China's GDP below expectations, but industrial production exceeding forecasts. Later, the US Empire State Manufacturing Index is expected at -5.5 and Jerome Powell's speech post-European session could impact markets.

Tuesday

• Inflation data from Canada expected to drop to 0.1%. US retail sales forecast at -0.2%, hinting at potential consumer spending challenges.

Wednesday

• New Zealand's inflation expected at 0.5%. UK's inflation at 1.9%, crucial for the Bank of England. US industrial production at 0.4%.

Thursday

• Australia's job data. UK's claimant count change at 23.4k. ECB rate decision expected at 4.25%, followed by a press conference.

Friday

• Retail sales from the UK and Canada to conclude the week, indicating consumer spending trends.

Setups for This Week:

USDJPY

• Primary View: The price is currently fighting on the long-term uptrend line and yellow horizontal support. Price breaking below that will be a signal to sell.

  • The long-term uptrend line provides crucial support.

  • The yellow horizontal support has been tested multiple times, indicating its significance.

• Alternative View: Price coming back above the blue uptrend line and bouncing off yellow horizontal support would be a buy signal.

CAC 40 

• Primary View: The price is still inside the sideways trend marked as a black rectangle. As long as we stay below the upper line of the rectangle, there is a short-term sell signal.

  • The sideways trend indicates market indecision.

  • Staying below the upper line suggests bearish momentum.

• Alternative View: Price breaking from the rectangle to the upside would be a signal to buy.

Brent Oil

• Primary View: The price is protecting and bouncing over key horizontal support marked with yellow color. As long as we stay above, there is a signal to buy.

  • The yellow horizontal support has historically held strong.

  • Recent bounces suggest ongoing bullish sentiment.

• Alternative View: Price breaking below the yellow support would be a signal to sell.