Morning Insights 12th February

Simon Alagbe

Analyst

Instrument: US.30

Intraday: Bullish

Technical Analysis

Preference:  Buy at the current price with take profit at 29358.

Alternative scenario:  Sell position is envisaged if price trades below 29236 with take profit at 29168

Fundamentals:

Fed Chair Powell Testifies (USD)  4 PM.

Comment: Due to the strong data backing the US economy, it is likely stocks continue to rise notwithstanding the current corona saga.


Instrument: GOLD

Intraday: Bearish

Technical Analysis

Preference:  Sell at current price with take profit at 1559.99.

Alternative scenario: Buy position is envisaged if price trades above 1567.98 with take profit at 1570.79.

Fundamentals:

Fed Chair Powell Testifies (USD) 4 PM

Comment: In his testimony yesterday, Federal Reserve Chairman Jay Powell said the U.S. economy has been fairly resilient against the pandemic but that it was too early to speculate on the impact of the coronavirus especially with the strong positive data on the side of the U.S Dollar.

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