CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 77% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 77% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Top charts for this week

13:15 14 May 2019

Summary:

  • SP500 (US500) comes back to the support
  • Oil prices affected by many factors
  • Has the TRY’s decline come to an end?

The beginning of the new week has brought elevated volatility across global equity markets. Of course, the ongoing trade dispute between the US and China keeps playing the major role, and having in mind that this thread is unlikely to be resolved any time soon, one may have rather a gloomy outlook for stock markets. Yesterday, the SP500 declined to around 2800 points, the significant technical level supporting bulls in the past. This level is also underpinned by the 23.6% retracement of the latest upward movement. Looking further, 2775 points may be also the interesting point to watch as it coincides with the 200DMA. As a result, from a pure technical view bulls may hope for a rebound in the nearest future.

Source: xStation5

Oil is another market we would like to look at today. The prime factor for oil prices’ performance is speculation regarding possible sanctions imposed on Iran by the US. On top of that, oil prices are also affected by a fulfilment of production limits by OPEC countries, supply disruptions in Venezuela and developments on the trade front. The latter may affect global economic growth and thereby lessen demand for oil. Technically oil prices keep trading in the vicinity of the support, hence a bounce to the upside is on the cards. In turn, should the price break below this area it could be a bearish signal for traders.

Source: xStation5

The Turkish lira is the last market under consideration. The TRY has sped up its downtrend after the authorities in Istanbul decided to cancel the elections’ outcome in the Turkish capital where the Erdogan’s AKP failed to win. In the meantime, the central bank suspended one-week repo funding for commercial banks in an effort to prevent a further lira’s slide. As a result, the EURTRY has already reached the 50% retracement of the bearish move since August 2018. If this level is smashed, then the TRY may be under increased downward pressure. From a technical standpoint, the current levels in the EURTRY may be viewed as interesting to enter a short position.

Source: xStation5

This content has been created by X-Trade Brokers Dom Maklerski S.A. This service is provided by X-Trade Brokers Dom Maklerski S.A. (X-Trade Brokers Brokerage House joint-stock company), with its registered office in Warsaw, at Ogrodowa 58, 00-876 Warsaw, Poland, entered in the register of entrepreneurs of the National Court Register (Krajowy Rejestr Sądowy) conducted by District Court for the Capital City of Warsaw, XII Commercial Division of the National Court Register under KRS number 0000217580, REGON number 015803782 and Tax Identification Number (NIP) 527-24-43-955, with the fully paid up share capital in the amount of PLN 5.869.181,75. X-Trade Brokers Dom Maklerski S.A. conducts brokerage activities on the basis of the license granted by Polish Securities and Exchange Commission on 8th November 2005 No. DDM-M-4021-57-1/2005 and is supervised by Polish Supervision Authority.

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