Overnight Moves

Today, we looked at a handful of charts. Join us in the morning call on Discord to see it all. Let’s have a look at the overnight moves. The Rand has gained some strength while metals have recovered slightly. Overall, the markets are looking a little greener today but still on the quiet side as we wait to see if any resolution comes out of the Middle East.

S&P 500 Index

This morning, we are seeing risk-on sentiment thanks to the discussions of a potential ceasefire, but this only pushed the market for a short while. We were not able to reach the highs set on Monday and closed the day down 0.43%. We are seeing muted movement this morning, so the market is still in a wait-and-see mentality as we deal with various headlines, since they are the catalysts. Support can be found at 6,600, and the closest resistance we need to hold above is 6,650.

Gold

Gold has seen another day of upward movement, seeing a nice gain of 1.64%. We have found some resistance at $4,580, which has been a level we mentioned before. If we manage to break above it, we will hopefully have enough momentum to carry us back to $4,700. These movements should reflect positively on South African gold miners like Harmony Gold (HAR).

Oil

There are talks of a potential ceasefire in the Middle East as President Donald Trump of the United States says that they are in communication with Iranian officials who want to end the war, but Iranian outlets and state officials deny this. We have seen it before, where the market reacts to what the US president says as they are looking for relief from the inflationary consequences of sustained high oil prices. At the same time, while discussing peace talks, the Pentagon has ordered a large force of paratroopers to be placed in the region as a reactionary force. As you can see, the situation is volatile with mixed signals, and that explains the sideways movement we have seen in oil recently. Our levels for today are $87.50, $92, and $100.

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