The U.S. Congress will propose its fifth stimulus check today with a total estimation up to 1 trillion. The fifth stimulus check might be the last stimulus before this November’s presidential election. Both the Democratic and Republicans agreed to pass a new claimant project plan. However, the key question lies whether the extra claimant amount is sufficient or not. The Democrats on one hand expect this plan of the claimant remains until the end of January 2021, but on the other hand, the Republicans believe the over-consumption of claimant amount might discourage people to seek employment. From the report, some people earn more than working by staying at home (approximately 15 billion U.S. dollar is spent every week). Accordingly, the three major U.S. indexes closed high especially NASDAQ, which rose by 2.88%. Will the market continue to rise? We should pay more attention to whether the stimulus check is allowed.

On the other hand, the gold price (20th) has pulled back after reaching the resistance level. There was a surge breaking between the 1810.0~1815.0 USD/Ounces on the resistance level and the gold price went up high above 1820.0 USD/Ounces. The trendline remains at high point. There might be multiple pullbacks in the short-term. It is important to keep in mind that the gold price might continue to keep rising in the future whether from the perspective of technical analysis or Central Bank’s Quantitative Easing

Technical Analysis (XAUUSD)

The price of gold (21st of July) lies around 1817.4 early today. Under 1-hour of technical analysis, the trend broke through the upper resistance level and went up directly as predicted yesterday (20th). The trendline lies between the middle and upper Bollinger Band, with the band facing up looking bullish. There might be a chance for re-rise after a small pullback.

Currently, the short-swing upper resistance level lies between 1821.0~1823.0. The current support level lies between 1812.0~1814.0. Investors who wish to go long could consider buying between 1815.0~1817.0 in the short-term and set stop loss below 1812.5.

xauusd

Technical Analysis (EURUSD):

The price of EUR/USD (21st of July) lies around 1.14429 early today. Under 1-hour of technical analysis, the value of the U.S. dollar has depreciated, making the Euro rise continuously. The trendline currently lies between the middle and upper Bollinger Band with the band facing upwards looking bullish. There might be a chance to continue rising.

Currently, the short-swing upper resistance level lies between 1.14800~1.14900. The current support level lies between 1.14200~1.14300. Investors who wish to go long could consider buying between 1.14500~1.14580 in the short-term and set stop loss below 1.14400.

eurusd

Technical Analysis (GBPUSD):

The price of GBP/USD (21st of July) lies around 1.26561 today. Under 1-hour of technical analysis, the trendline continues to surge after breaking out the downtrend resistance level. There are possible pullbacks from high. There might be chances to re-rise after correction.

Currently, the short-swing upper resistance level lies between 1.27050~1.27100. The current support level lies between 1.26300~1.26350. Investors who wish to go long could consider buying between 1.26660~1.26700 in the short-term and set stop loss below 1.26530.

gbpusd

Technical Analysis (AUDUSD):

The price of AUD/USD (21st of July) lies around 0.70152 early this morning. Under 1-hour of technical analysis, the trendline currently lies between the middle and upper Bollinger Band, with the band facing upwards and expanding looking bullish. There might be a chance to continue rising.

Currently, the short-swing upper resistance level lies between 0.70400~0.70450. The current support level lies between 0.70100~0.70150.

Investors who wish to go long could consider buying carefully between 0.70200~0.70250 in the short-term and set stop loss below 0.70120.

audusd

Technical Analysis (USOUSD):

The price of USO/USD (21st of July) lies around 40.49 early this morning. Under 1-hour of technical analysis, the trend went down as predicted yesterday (20th); it rebounded after touching the bottom. The Bollinger Band currently faces upwards. There might be a chance to re-rise after a pullback.

Currently, the short-swing upper resistance level lies between 41.15~41.25. The current support level lies between 40.00~40.10. Investors who wish to go long could consider buying between 40.55~40.62 in the short-term and set stop loss below 40.32.

U.S. oil

Technical Analysis (Nas100):

The NASDAQ (21st of July) lies around 10964.0 early this morning. Under 1-hour of technical analysis, after breaking out the upper resistance level, it is likely to pullback from the volatility zone at high. There might be a chance to retrace sharply after bumping.

Currently, the short-swing upper resistance level lies between 11060.0~11080.0. The current support level lies between 10780.0~10800.0. Investors who wish to sell short could consider selling between 11020.0~11040.0 in the short-term and set stop loss above 11065.0.

nas100

Economy Calendar (21st of July)

(Source: uk.investing.com)

 TimeDataImportance
1.00:30National Core CPI (YoY) (Jun)★★★
2.07:00Trade Balance (Jun)★★★
3.13:30Core Retail Sales (MoM) (May)★★★

(Importance: maximum five stars ★★★★★)

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