STATE OF THE MARKETS
Biden Presidency was welcomed by Pfizer’s vaccine and gold sell-off. When news hit the wires that Pfizer and BioNTech have 90% effectiveness on their covid-19 vaccine candidate, gold had its biggest sell-off in seven years, yields soared highest in more than four months and more than $580b flows into the US treasury to welcome Joe Biden Presidency.
Crude rally on the news to end 8.5% higher at $40.29/barrel, the highest in more than two weeks; which saw CAD gaining momentum on demand. The uncertainties that remains, however, still place Kiwi among the leads in all short, medium, and long term accounts. Rate differentials may see Aussie on offers especially against Loonie and Kiwi in the long term accounts.
At this point, markets seem to ignore the legal battle over the presidential election results and hang on to Biden Presidency and a split congress as North Carolina and Alaska leaning Republican. Shall Georgia’s two January run off turned Democrats, it would have been what markets had hoped. A balanced government and a normal markets.
G8 CURRENCIES SENTIMENTS
| ST | NZD | USD | CAD | GBP | AUD | EUR | CHF | JPY | ST |
| MT | AUD | NZD | GBP | CAD | EUR | CHF | USD | JPY | MT |
| LT | NZD | GBP | CAD | AUD | JPY | USD | EUR | CHF | LT |
** ST refers to Short-Term which is daily turnover, MT is Medium Term which is
weekly and LT refers to Long-Term which is monthly turnover.
WALL ST MOST ACTIVE
| TICKER | LAST PRICE |
% CHANGE |
VOLUME | 90 DAYS AVG |
| AAL | 13.20 | +15.18 | 231,098.6K | 64,262.6K |
| NIO | 44.02 | +5.74 | 218,553.1K | 140,468.3K |
| PFE | 39.20 | +7.69 | 218,235.9K | 25,599.8K |
| GE | 8.72 | +7.79 | 193,157.3K | 95,603.4K |
| BAC | 27.76 | +14.19 | 178,344.3K | 60,101.3K |
| ACB | 11.21 | +14.50 | 166,778.7K | 13,716.5K |
| SPY | 354.56 | +1.26 | 172,206.7K | 70,965.0K |
| XLF | 27.01 | +8.21 | 162,963.0K | 57,041.9K |
| AAPL | 116.32 | -2.00 | 154,412.7K | 159,686.0K |
| AMC | 3.77 | +51.41 | 132,413.9K | 7,978.0K |
** % Change here refer to price vs previous day price
WALL ST TOP FLOWS
| TICKER | LAST PRICE |
VOLUME |
% CHANGE | FUNDS FLOW $ |
| AMZN | 3,143.74 | 7,159.1K | +27.12 | 22,506.3M |
| AAPL | 116.32 | 153,840.3K | +17.93 | 17,894.7M |
| TSLA | 421.26 | 34,673.7K | +7.20 | 14,606.6M |
| MSFT | 218.39 | 44,316.6K | +44.06 | 9,678.3M |
| NIO | 44.02 | 217,973.8K | +19.05 | 9,595.2M |
| BA | 179.36 | 48,609.6K | +199.56 | 8,718.6M |
| PFE | 39.20 | 217,790.0K | +508.22 | 8,537.4M |
| NVDA | 545.23 | 14,524.0K | +82.42 | 7,918.9M |
| ZM | 413.24 | 17,965.5K | +86.39 | 7,424.1M |
| FB | 278.77 | 25,051.6K | +12.60 | 6,983.6M |
** % change here refers to volume vs. 20 days average volume.
TOP 5 BLOCK ORDERS
| TICKER | PRICE/STRIKE | TYPE | VOL/OI | FUNDS FLOW |
| MYL | 15.12/16.00 | stock options/put | 252.82 | 343.7M |
| AEO | 16.27/15.00 | stock options/put | 136.86 | 359.6M |
| OG | 1,750.00 – 1,650.00 | gold options/put | 740 | 312.2K |
| LO | 44.00 – 47.00 | oil options/call | 3,500 | 1.9M |
| ZN | 138.20 – 137.19 | US bond futures | 42,362 | 581,506.6M |
OUR PICK – USD/CHF
Dollar/Swiss set to rise on risk appetite. With positive development on the covid-19 vaccine, we believe risk-on will take the helm of trading in the medium to long term accounts. This is already reflected in the short and long term accounts as medium term on repositioning due to US election recently. We set a hard stop at 0.9000 handle and ready to cut loss if rate closed below 0.9020 on the daily. Ideal entry at 0.9050. Sell on rally for short term as rate remains below 0.9145 monthly pivot.
| HORIZON | STRATEGY | SL | TP1 | TP2 |
| Short-Term | Sell | 0.9160 | 0.9080 | 0.9050 |
| Medium-Term | Buy | 0.9000 | 0.9200 | 0.9280 |
| Long-Term | Buy | 0.9000 | 0.9280 | 0.9380 |
Disclaimer:
This article is for general information purpose only. It is not an investment advice or a solicitation to buy or sell any securities. Opinions expressed are of the authors and not necessarily of MFM Securities Limited or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.
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