Market Review 27 May 2020

by Constantinos Loizou

  • In the Economic calendar of today we can expect some volatility in EUR, CAD, and USD
  • At 07:30 (GMT) the president of the European Central Bank (ECB), Christine Lagarde, will give a speech
  • Her comments may affect the Euro trend in the short term
  • At 12;30 (GMT) the Statistics office of Canada will release their Building permits for new construction projects
  • It implies the movement of corporate investments
  • The result of the previous month was at -13.2%
  • At 14:00(GMT) the Federal Reserve Bank of Richmond (USA) will release their survey for the Manufacturing Index
  • That survey includes information on shipments, new orders, order backlogs, and inventories and provides information on current activity in the manufacturing sector
  • The result is expected to increase at -47 considering the last month that was at -53


On the charts


  • As we can observe on the S&P 500 4-hour chart, the price has broken above the red resistance line, reacted to the 123.6% Fibonacci Retracement Level (From 2980 to 2775), at 3027 and retested the red line
  • The price is now at 3015, above the blue upward trendline and the purple 20 periods Moving Average
  • MACD has crossed its red signal line to the upside while both are above zero, indicating bullish momentum
  • Considering the above, if we see a breakout above the 3027, there is a possibility to see the price moving higher to 3105 a price which consists the 161.8% Fibonacci Retracement Level (From 2980 to 2775) and a previous resistance level