A break below the 126.64 level may signal a new sell-off. Important support still stands at Fibonacci 0.618 at price 124.18 and the March 8th bottom at price 116.21. Important resistance lies at 131.25 inside support , at 137.07 resistance formed from the Arpil 29th top and at the tentative down-trend line formed from this year’s all time high at 145.09. A penetration and close above the tentative down-trend line may signal another rally.
• The US markets will be busy in terms of speeches today. Four members of the FOMC are due to speak at various important events successively. Any of these speeches may have an effect on the markets in general. According to a report by Reuter’s, the dollar hovers near multi-month lows. Commodity prices are lending support to exporters' currencies, though caution about U.S. inflation leading to interest rate rises kept the greenback from sliding further.
• According to Reuter’s, President Joe Biden urged U.S. companies to help workers gain access to vaccines and to raise their pay. At the same time he hinted to an infusion of $350 billion in federal aid to help more parents obtain child care and return to work.
• Federal Reserve member Charles Evans said that the Fed would like to see higher inflation, more wage growth and several months of strong employment gains before thinking of adjusting the monetary policy.
• At 14:30 GMT FOMC member John Williams will speak at the same event as Bank of England’s Governor Ben Bailey, in a panel discussion about Secured Overnight Financing Rate.
• At 16:00 GMT FOMC member Lael Brainard will speak at an online event hosted by the Society for Advancing Business Editing and Writing.
• At 16:00 GMT FOMC member Mary Daley is due to speak at an event hosted by the Community Bankers of Washington Northwest.
• At 17:15 GMT FOMC member Rafael Bostic is due to speak at an online event hosted by the Rotary Club of Alexandria.
US Indices yesterday:
• Dow Jones -0.10%
• S&P 500 -1.04%
• Nasdaq -2.55%