Daily Market

Report
January 25, 2024

Focus of the day

Today, the European Central Bank (ECB) is poised to maintain borrowing
costs, keeping the deposit rate at 4% during its third consecutive
meeting, amidst efforts to temper investor expectations for imminent
rate cuts. Despite market speculation favoring a rate decrease as early
as April, ECB officials, including President Christine Lagarde, signal a
more conservative stance, suggesting a likely commencement of
monetary easing around June. This approach hinges on acquiring
reassurance that inflation is steadily declining towards the 2% target,
with significant data, particularly on wage deals, expected to inform the
June meeting's decisions.

Amidst this backdrop, the ECB confronts mixed economic indicators,

with some data hinting at a potential extension of the euro area's
economic downturn into the current quarter, contrasted by a resilient
labor market. Inflation, having seen a slight increase in December, is
anticipated to decelerate throughout 2024, aligning with the ECB’s
longer-term forecasts. As the ECB navigates these complexities, the
upcoming review of its operational framework and internal criticisms of
Lagarde's presidency adds layers to the decision-making landscape,
underscoring the challenges in balancing economic recovery, inflation
control, and policy implementation.
Latest news
Tesla's Q4 2023 earnings report fell short of analysts' expectations
1 with only a 1% year-over-year revenue increase, as the company
signals growth slowdown ahead of a new model launch next year.

Analysts believe the significant decline in trading volume for

2 Grayscale's spot BTC-ETF, may indicate that the selling trend is
starting to wane.
US aviation authorities have issued a directive to Boeing Co.
3 (#BA), mandating a pause on any further expansion of their 737
Max aircraft production volumes.
Oil prices rose to a one-month peak after a larger-than-expected
4 fall in US inventories and after China announced further economic
stimulus measures. XBRUSD rose, surpassing $80 per barrel.
 1

EURUSD
EURUSD successfully breached the upper boundary of the bullish

wedge, subsequently retesting this edge along with the 1.0880 support

level, signaling a strong indication for continuing the bullish trend

towards the 1.095 level.

Trade now

Resistance: 1.0950, 1.1000

Long-term trend Short-term trend

Support: 1.0880, 1.0820

 Gold
2

(XAUUSD)

XAUUSD is currently consolidating within a symmetrical triangle, with the

price testing the pattern's lower boundary. A break below this boundary

and the 2010.00 support level could pave the way to 1980.00. Conversely,

surpassing the 2035.00 resistance level would steer the asset towards a

target of 2060.00.

Trade now

Resistance: 2035.00,
2060.00
Long-term trend Short-term trend

Support: 2010.00, 1980.00

 XBRUSD 3

XBRUSD has surpassed the boundary of the symmetrical triangle pattern

and is now facing resistance at 80.00. Breaking through this resistance
level would clear the way to 84.00. However, a corrective movement could
decrease the asset's price to 73.00.

Trade now

Resistance: 80.00, 84.00

Long-term trend Short-term trend
Support: 77.00, 73.00
 EURJPY
4

EURJPY broke through the lower boundary of an ascending wedge

pattern. Further breaching the 160.000 support level would open the

path to 158.200. However, if the asset rises above 161.000, the next

target will be 162.000.

Trade now

Resistance: 161.000,

Long-term trend Short-term trend 162.000

Support: 160.000, 158.200

Economic calendar

Time Asset Event Previous Forecast

15:15

EUR

ECB Monetary -

Policy Statement

15:30

USD

Advance GDP q/q

4.9%

2.0%

15:30

USD

Unemployment 187K

199K

Claims

15:45 EUR

ECB Press - -

Conference

Want more?
We always provide our traders with valuable articles,

videos, and webinars about trading. Go check out the

freshest materials we’ve prepared for you this time!

Latest articles

Two Ways to Win in Trading

USDCAD: Key Levels to Consider for Further

Upside or Deeper Correction

Video

Why do you trade counter trend?

| Learn with FBS

Stay tuned
Follow us on social media for

the latest FBS news, contests,

and many more! Go to Personal Area

Disclaimer
This document is for general informational purposes only and is not intended as a
recommendation or an offer or solicitation for the purchase or sale of any security,
currency, investment, service or to attract any funds or deposits. Information in this
document has been prepared without taking account of the objectives, financial situation
or needs of any particular investor.Therefore, investment products mentioned in this
document may not be suitable for all investors. Any person considering an investment
should seekindependent advice on the suitability or otherwise of a particular investment.
Before making any investment, each investor must obtain the investment offering
materials, which include a description of the risks, fees and expenses and the performance
history, if any, which may be considered in connection with making an investment decision
Each investor should carefully consider the risks associated with the investment and make
a determination based upon the investor’s own particular circumstances, that the
investment is consistent with the investor’s investment objectives.