For the bulls, important resistance levels exist at price 681.20 on the 0.50 Fibonacci retracement level, at 769.40 latest top of April 27th, and finally at 838.20 inside support still standing from a bottom of 2012.
For the bears, important support level at 660.40 price on the 0.618 Fibonacci retracement level, at 625.00 level where the valid uptrend line currently stands, and at the 593.20 level which is the bottom of the last upward move on 30th March 2021.
• It’s a relatively busy day ahead on the economic calendar. CAD Retail and Core Retail Sales will draw interest followed by important data from the U.S. on Manufacturing and Flash Services PMIs and Existing Home Sales figures.
• The S&P 500 closed higher Thursday, snapping a three-day losing streak as a rally in chips and mega-cap tech triggered bullish bets on stocks.
The S&P 500 rose 1.06%, the Dow Jones Industrial Average gained 0.55%, or 188 points, and the Nasdaq Composite gained 1.77%. Tech was up more than 1% amid improving investor appetite for growth following weeks of pressure.
• According to the Labor Department, the number of Americans filing new claims for unemployment benefits dropped further below 500,000 last week, suggesting job growth picked up this month. Initial claims for state unemployment benefits totalled a seasonally adjusted 444,000 for the week ended May 15, compared to 478,000 in the prior week. That was the lowest since mid-March 2020.
• Twitter (TWTR) has launched a verification application process allowing anyone to apply for the coveted blue checkmark. The new application process marks an important milestone in the company’s push to enhance transparency and credibility in the network
• Gold and silver prices on Thursday recovered from modest losses and closed slightly higher. A weaker dollar on Thursday supported gains in metals along with lower T-note yields. Mostly better-than-expected global economic data on Thursday was positive for industrial metals demand and silver prices. Gains in metals were limited as a rally in stocks reduced the demand for metals as a safe haven. Also, a decline in inflation expectations on Thursday undercut demand for gold as an inflation hedge.
• Crude oil prices tumbled Thursday after Iranian President Hassan Rouhani said that world powers had taken a "major step" to restore the 2015 nuclear deal and accept that sanctions on Iran would be lifted. President Rouhani added that "the main agreement has been made," and diplomats are still discussing "details and finer points" before there is "a final agreement." Citigroup on Thursday said that it expects an initial 500,000 bpd increase in Iran crude exports starting in Q3 of this year. July WTI crude oil (CLN21) on Thursday closed down -1.41 (-2.23%).
• At 12:30 (GMT) CAD Retail Sales results due to be published. This measures the change in the total value of sales at the retail level.
• At 12:30 (GMT) CAD Core Retail Sales due to be announced. This measures the change in the total value of sales at the retail level, excluding automobiles.
• At 13:45 (GMT) US Flash Manufacturing PMI results will come out. This is a survey of about 800 purchasing managers which asks respondents to rate the relative level of business conditions including employment, production, new orders, prices, supplier deliveries, and inventories.
• At 14:00 (GMT) US Existing Home Sales figures coming up. The figure is the annualized number of residential buildings that were sold during the previous month, excluding new construction.
• AT 17:30 (GMT) US FOMC Member Mary Daly is due to speak in a panel discussion titled "Wage Dynamics" at an online conference hosted by the National Bureau of Economic Research.
US Indices yesterday:
• Dow Jones +0.55%
• S&P 500 +1.06%
• Nasdaq +1.77%
Sources: Investing.com, forexfactory.com, barchart.com.