Market review 11 June 2020

by Constantinos Loizou

  • In the Economic calendar of today we can expect some volatility in EUR and USD
  • At 10:00 (GMT) the 27 Finance Ministers of the members of the European Union will have the EcoFin Meeting
  • The Economic and Financial Affairs Council covers areas such as coordinated economic measures, budgetary policies, public finances, capital movements and financial markets
  • The Ecofin can also gather the only 17 members of the Euro Area to examine measures related to the Euro and the EMU
  • At 15:30 (GMT) the US Department of Labor will release their Initial Jobless Claims
  • The above is a measure of the number of people filing first-time claims for state unemployment insurance
  • The result is forecasted to decrease to 1550K considering the last month that was at 1877K

 

On the charts

  • As we can observe on the Nasdaq 100 Daily chart, the price for first time in history has broken above the 10,000
  • Yesterday the price created a new all-time high, at 10,160
  • The price – as it was expected – reacted to the downside, since 10,000 consists a strong psychological level, and is now at 9,999
  • The Awesome Oscillator (AO), for the last 20 days is moving sideways, in contrast with the price that is moving to the upside creating a negative divergence
  • RSI is already above its overbought area and turned to the downside
  • Considering the above, there is a possibility to see further downside reaction till the inside support at 9,760
  • Otherwise, we may see the price moving to the upside to 10,500, a price level which consists the 123.6% Fibonacci Extension Level (From 9760 to 6622)