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Strong Greenback On Chances of Tapering Talks, Indices Erases Earlier Gains & Oil Prices Soars Down

By Research Team Thursday, May 20, 2021
AUD/USD

    • 10.25am ISTD1
    • High0.77512
    • Low0.77157
    • Close0.77494

AUD/USD is trading at 0.77471, 0.08% down since Wednesday. The Aussie slid down on Thursday post release of mixed labor data wherein the number of employed people fell by 30.6K against the expected rise of 17.5K & the Unemployment Rate dropped to 5.5% from 5.7% in the previous month. Besides this, the rebounding USD on the chances of QE tapering talks amid global recovery makes other currencies slightly weaker.  The market will be looking forward to the outcome of PMI figures which are to be issued on Friday. As seen in the chart, the pair is trading near cluster support of 0.77000 levels, which also acts as a neckline for Head & Shoulder pattern. This shows a make or break situation in AUD/USD on daily basis.

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Daily Outlook

AUD/USD

Intra Day
Near Day

Technical Levels

R3 0.79173
R2 0.78303
R1 0.77759
Turnaround 0.77433
S1 0.76889
S2 0.76563
S3 0.75693
By Research Team Thursday, May 20, 2021
SOYBEAN

    • 11.00am ISTD1
    • High1553.04
    • Low1541.28
    • Close1549.27

Soybean is trading at $1545.27, 0.32% down since previous close. The Soybean saw a downward momentum since last few trading sessions amid strong USD as U.S bond-purchases program may see a tapering down steps due to rising inflation rate & improving employment sector. This makes the BRL Brazilian Real (BRL) currency weaker & Soybean prices as well. The change in climatic conditions in Argentina led to a rise in production & supplies of beans which further makes in less expensive. As seen in the chart, the Fibonacci Retracement tool shows a contraction till Fibo level 50.0 which may act as a major support. Slight selling momentum may be suggested for the day in Soybean.

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Daily Outlook

SOYBEAN

Intra Day
Near Day

Technical Levels

R3 1649.07000
R2 1596.04000
R1 1566.27000
Turnaround 1544.01000
S1 1513.74000
S2 1491.47000
S3 1438.95000
By Research Team Thursday, May 20, 2021
US30

    • 10.42am ISTD1
    • High33845
    • Low33721
    • Close33837

US30 is trading at 33844, 0.53% down since Wednesday. A sell-off can be seen in U.S markets after FOMC Minutes hinted the chances of QE tapering down if global recovery rate & employment rate shows a progress in the near term. Also, the tech shares rout further drags down the US30 as it contributes widely in the index. Last week, the US30 tested record high levels on uncertain outlook over interest rate hike decision as mentioned by few Fed officials. The outcome of Philly Fed Manufacturing Index & Jobless Claims data will remain into focus for the day. As seen in the chart, the index is hovering near lower trend-line of channel pattern & is forming double bottoms at 33800. Sideways trading may be noticed for the day in US30.

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Daily Outlook

US30

Intra Day
Near Day

Technical Levels

R3 34920.00000
R2 34323.00000
R1 34052.00000
Turnaround 33726.00000
S1 33455.00000
S2 33129.00000
S3 32532.00000
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