Dollar Rebounds As Stocks Tumble

STATE OF THE MARKETS

Dollar rebounds as stocks tumble. US stocks erased earlier gains on Wednesday on moderate cashes out that sent the Dollar higher, back to the 113 handle, as no bonds buying were evident, sending yields higher across the board. The small cap Russell (-1.72%) fell the most, followed by Nasdaq (-0.85%), S&P (-0.67%) and Dow (-0.33%) while the 10Y benchmark jumped to 4.14%.

In the commodity markets, crude oil pushed higher after fears of new sanctions on Russia would squeeze supply. As at writing, the black gold has pierced the $86.20/bl barrier and is pulling back to the $86 handle. Fears of aggressive hikes from the Federal Reserve has sent gold reeling lower to $1,627.65/oz while iron ore continues to flirt around $94.85/tn waiting for the next catalysts.

In the FX space, short and medium term accounts continue to be bullish as Kiwi, Sterling and Loonie lead the demand while Swiss and Yen continue to be offered. Long term accounts were unchanged, signaling movement in the short and medium term accounts could be mere rebalancing.

On Thursday, markets expect to remain cautious as investors shift focus to the jobless claims number, manufacturing index and leading indicators to gauge the health of the US economy and Fed’s plan for rate hikes. Earnings to watch include Danaher (DHR), Phillip Morris (PM), Union Pacific (UNP), AT&T (T), BlackStone (BX), Marsh & McLennan (MMC), CSX Corp (CSX) and Freeport-McMoRan (FCX).


G8 CURRENCIES SENTIMENTS

ST NZD CAD USD AUD JPY EUR GBP CHF ST
MT NZD GBP EUR CAD AUD USD CHF JPY MT
LT USD EUR GBP JPY CHF CAD NZD AUD LT
** ST refers to Short-Term daily turnover, MT is Medium Term weekly 
and LT refers to Long-Term monthly turnover.


WALL ST MOST ACTIVE

TICKER LAST PRICE

% CHANGE

VOLUME 90 DAYS AVG
TQQQ 19.54 – 1.21 259,209.0K 184,118.3K
SQQQ 57.16 + 1.01 144,228.2K 127,913.6K
SOXL 7.57 + 2.30 133,845.9K 83,919.6K
NIO 10.92 – 10.57 98,923.2K 49,908.8K
LABU 6.21 – 14.93 85,542.8K 50,941.8K
SPY 368.50 – 0.71 79,721.8K 83,548.5K
AMD 57.23 – 1.19 75,604.8K 85,340.7K
CCL 7.68 – 4.95 70,803.4K 61,349.4K
TSLA 222.04 + 0.84 65,916.1K 79,307.2K
AAPL 143.86 + 0.08 61,654.8K 81,542.8K
** % Change here refers to price vs previous day price


WALL ST TOP FLOWS

TICKER LAST PRICE

VOLUME

% CHANGE FUNDS FLOW $
TSLA 222.04 65,916.1K – 14.60 14,636.0M
NFLX 272.38 46,647.3K + 208.36 12,705.8M
AAPL 143.86 61,654.8K – 33.93 8,869.7M
NVDA 120.51 52,255.1K – 15.07 6,297.3M
AMZN 115.08 47,069.6K – 18.20 5,416.3M
MSFT 236.48 19,950.9K – 31.63 4,718.0M
AMD 57.23 75,604.8K – 21.78 4,326.9M
META 133.23 30,661.9K – 3.09 4,085.1M
GOOGL 99.63 23,779.4K – 13.72 2,369.1M
XOM 103.79 20,901.6K + 1.90 2,169.4M
** % change here refers to volume vs. 20 days average volume.


TOP 5 BLOCK ORDERS

TICKER PRICE TYPE VOL/OI FUNDS FLOW
XP 17.24 stock/options 166.74 104.7M
LAZR 6.88 stock/options 127.28 33.5M
SNAP 10.86 stocks/options 91.69 567.0M
ZS 1,372.40 Soybean futures 90,981 124.9M
NQ 11,079.25 NASDAQ futures 8,543 95.2M


OUR PICK – EUR/GBP

On medium term pullback. We see current political turmoil in the UK will continue to weigh the Sterling against the Euro as the ECB continues to tame inflation while the Bank of England in a tug of war with its Treasury. Sentiments model point to medium term pullback as long term remains bullish while short term has turned mildly bullish.

For high probability picks, please use our Trading Central services. You could also join us at MFM’s TradeCopy

 

HORIZON STRATEGY SL TP1 TP2
Short-Term Buy 0.8650 0.8785 0.8835
Medium-Term Buy 0.8650 0.8835 0.8890
Long-Term Buy 0.8650 0.8890 0.8950

 

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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