European data that is flowing in, is robust, as reflects economies across the region that are growing at a rate that requires less stimulus. With the ECB scheduled to meet in June, it will become difficult for the doves to hold on to an easing bias. In fact, keeping the tone neutral will be rejected by many of the hawks such as the Bundesbanks Weidman, who will likely be anxious to put in a tightening bias to depress future inflation.
The EUR/USD[i] moved higher as stronger than expected data kept the currency pair buoyed despite a round of profit taking that capped the exchange rate. Resistance is seen near the November 8, highs at 1.1299. Additional resistance is seen near the August highs at 1.1365. Support is seen near the 10-day moving average at 1.1067. Momentum remains robust as the MACD (moving average convergence divergence) index prints in the black with an upward sloping trajectory on the MACD histogram which points to a higher currency pair.
WTI Oil
Crude oil prices[i] pushed lower as a round of profit taking took hold prior to this evenings API inventory report. Prices rebounded and are lower by 0.35%. Support is seen near the 10-day moving average at 49.40. Resistance is seen near the 50-day moving average at 51.97. Momentum remains positive as the MACD (moving average convergence divergence) index prints in the black with an upward sloping trajectory on the MACD histogram which points to higher prices.
US 500
The S&P 500 index[i] rebounded for the 3rd consecutive trading session, after tumbling last Wednesday. Prices are poised to test the all-time highs near 2,406, which is seen as solid resistance. Support is seen near the 50-day moving average at 2,369. Negative momentum is decelerating, as the MACD histogram begins to decline.
Apple
Apple shares (NASDAQ:AAPL) moved higher on Monday and the stock price is higher in the pre-market on Tuesday. Shares are poised to test resistance near the all-time highs at 156, while support is seen near the 50-day moving average at 145. Momentum is neutral as the MACD prints near the zero index level with a flat trajectory on the MACD histogram which reflects consolidation.
