News, Trends, & Analytics 08.05.2020

Today, the focus is on the success of Nintendo, the possible resumption of operations at the Tesla plant, as well as new data from the US labor market.

 

News

Nintendo reported quarterly revenue growth of 200%, thanks to strong demand for the Switch console. Affects Nintendo


The number of initial applications for unemployment benefits in the United States grew by 3.169 million. Affects USD


The recovery of Chinese exports supported oil quotes. Affects Brent


The ECB rejects the decision of the German constitutional court, insisting on its independence and the need for economic incentives. Affects EUR


Tesla plans to resume production at its Fremont plant. Affects Tesla

 

Calendar

12:30 GMT

There will be a report on the change in the number of people employed in the non-agricultural sector of the United States. A sharp decrease of 22 million is expected. If the real data turn out to be even worse, the S&P 500 will probably begin to decline actively.

 

Technical Analysis

Basic dollar index

From the first days of May, the US dollar has been acting as a safe haven currency, since there is no unity in Europe in stimulating the economy, and stock markets do not show stability due to the weak reporting season of companies. Even another increase in unemployment benefits could not stop the bullish trend of the dollar.

Against this background, the Basic dollar index can continue up to 103,400.

USD/TRY

The currency pair has updated the global maximum, reaching the level of 7.20. However, the use of Fibonacci levels for the maximum and minimum of 2019 shows that it is precisely 7.20 which could be the beginning of a downward correction.

USD/NOK

Amid rising oil prices, the Norwegian krone may counterattack the US dollar and break through the support level of 10.20.

 

USD/NOK on this day in history

  • Since 2000, May 8th has been a trading day 15 times.
  • On 60% of those days, the asset finished trading with growth.
  • The maximum strengthening range was 0.87%.
  • The downward trend was limited to 1.91%.

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