U.S. markets are coming off a meager up week with the Dow Jones and S&P 500 closes the in the green the last 3 session prior to the weekend. The NASDAQ, however, is having difficulties with its largest component Apple (AAPL, quote) continues to struggle.
AUDUSD stays above a upward trend line on 4-hour chart, and remains in uptrend from 1.0287. As long as the trend line support holds, the uptrend could be expected to continue, and further rise to 1.0550 area is still possible. On the downside, a clear break below the trend line support will suggest that a cycle top has been formed at 1.0515, and the uptrend has completed, then the following downward movement could bring price back to 1.0000 zone.
Current market conditions – The Dow Jones (DIA, quote) trading up by 0.21% to 13101.07, S&P 500 (SPY, quote) is trading lower by 0.10% to 1421.51 and the NASDAQ (QQQ, quote) is trading down by 0.65% to 2969.88
Shares of biotech firm Amarin (AMRN, quote) were crushed in after hours trading on Thursday after the company announced plans to raise $100 million in debt financing and to hire 250-300 sales reps to market its fish-oil drug Vascepa. The stock finished the after hours session down more than 18 percent at $9.75. Shares traded as low as $8.76 in the immediate aftermath of the announcement.
Breaking News – Non-Farm Payroll Report
EURUSD breaks below the lower line of the price channel on 4-hour chart, suggesting that a cycle top has been formed at 1.3125 and the uptrend from 1.2661 has completed. The pair is now in downtrend from 1.3125, further decline could be expected and next target would be at 1.2850-1.2900 area. Key resistance is at 1.3125, only break above this level could trigger another rise towards 1.3500.
Following the market opening Thursday, the Dow traded up 0.03 percent to 13,038.87 while the NASDAQ rose 0.37 percent to 2,984.75. The S&P also rose, increasing 0.09 percent to 1,410.48.
EURUSD may be forming a cycle top at 1.3125 on 4-hour chart. Range trading between 1.3000 and 1.3125 would likely be seen in a couple of days. Support is now located at the lower line of the price channel, as long as the channel support holds, the fall from 1.3125 could be treated as consolidation of the uptrend from 1.2661, one more rise towards 1.3500 is still possible after consolidation, only a clear break below the channel support could signal completion of the uptrend.
The overnight trade is starting the month of December with renewed hopes that December of 2012 will give a Christmas present like the December of 2011. The beans are already +20, meal has gained $5, oil has posted gains of 70 points, corn is pushing 10 higher and wheat is also +10-12.
Oil prices are likely to hold within their relatively sideways direction in the near-term, as support from a weaker dollar is countered by uncertainty over the fiscal cliff. WTI had a nice bounce early in the session yesterday but fell back to close near the day’s low
