Wednesday, January 7, 2026
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Market Comment
Market Wrap: Stocks, Bonds, Commodities

On Tuesday, both the S&P 500 (+42 points or 0.62% to 6944) and the Dow Jones Industrial Average (+484 points or 0.99% to 49,462) scored record-high closing levels.

And the Nasdaq 100 +238 points (+0.94%) to 25,639.

Memory and storage tech stocks advanced as the Consumer Electronics Show in Las Vegas started:
Sandisk (SNDK) +27.56%
Western Digital (WDC) +16.77%
Micron Technology (MU) +10.02%

Also,
Microchip Technology (MCHP) +11.65%
Texas Instruments (TXN) +8.43%
Intel (INTC) +1.70%

On the other hand,
Advanced Micro Devices (AMD) -3.04%
Nvidia (NVDA) -0.47%

The U.S. 10-year Treasury yield +1.4 basis points to 4.169%.

European stocks remained firm:
DAX 40 + 23 points (+0.09%) to 24,892
CAC 40 +25 points (+0.32%) to 8,237
FTSE 100 +118 points (+1.18%) to 10,122

Gold price +46 dollars (+1.03%) to 4,495 dollars an ounce.

U.S. WTI crude futures -1.19 dollar (-2.04%) to 57.13 dollars a barrel.

Reuters reported that governments of the U.S. and Venezuela are discussing exporting Venezuelan crude to refiners in the U.S.


Market Wrap: Forex

The U.S. dollar strengthened, with the dollar index rising to 98.60.

EUR/USD -33 pips to 1.1687.

Germany's inflation rate slowed to 1.8% year on year in December.

France's inflation rate dipped to 0.8% year on year in December.

USD/JPY +27 pips to 156.65.

GBP/USD -40 pips to 1.3500, AUD/USD +25 pips to 0.6738.

USD/CHF +42 pips to 0.7955, USD/CAD +42 pips to 1.3811.

Bitcoin -583 dollars to 93,487 dollars.


Morning Trading

In Asian trading hours, AUD/USD edged up to 0.6748. Australia's inflation rate eased to 3.4% year-on-year in November, below 3.8% expected.

Meanwhile, EUR/USD rebounded to 1.1698 and GBP/USD climbed to 1.3511.

USD/JPY was little changed at 156.62.

Gold retreated to 4,474 dollars.

Bitcoin fell to 92,911 dollars.


Expected Today

The eurozone's inflation rate is expected to ease to 2.0% year-on-year in December.

Germany's retail sales are estimated to grow 0.4% month-on-month in November, while jobless rate is expected to be unchanged at 6.3% in December.

In the U.S., ADP employment is estimated to increase by 45,000 in December, while the ISM services purchasing managers index is anticipated to slip to 52.0. Also, the JOLTs job openings are estimated at 7.7 million.
Forex Last %1D %YTD
EUR/USD 1.1697 0.09 -0.49
USD/JPY 156.32 -0.19 -0.02
GBP/USD 1.3510 0.07 0.20
Commodities Last %1D %YTD
Gold 4,449.8300 -1.04 4.23
Silver 78.7400 -3.13 14.06
Crude Oil 56.2200 -1.59 -1.93
EUR/USD Intraday: key resistance at 1.1710. Next
Pivot: 1.1710

Our preference: short positions below 1.1710 with targets at 1.1660 & 1.1645 in extension.

Alternative scenario: above 1.1710 look for further upside with 1.1725 & 1.1740 as targets.

Comment: as long as 1.1710 is resistance, look for choppy price action with a bearish bias.
Green Lines Represent Resistances | Red Lines Represent Support Levels | Light Blue is a Pivot Point |  Black represents the price when the report was produced
EUR/JPY intraday : the downside prevails as long as 183.24 is resistance Previous  | Next
Our pivot point is at 183.24.

Our preference: the downside prevails as long as 183.24 is resistance

Alternative scenario: above 183.24, look for 183.59 and 183.79.

Comment: the RSI is below its neutrality area at 50. The MACD is below its signal line and negative. The configuration is negative. Moreover, the price stands below its 20 and 50 period moving average (respectively at 183.03 and 183.11).
Green Lines Represent Resistances | Red Lines Represent Support Levels | Light Blue is a Pivot Point |  Black represents the price when the report was produced
GBP/USD Intraday: the downside prevails. Previous  | Next
Pivot: 1.3530

Our preference: short positions below 1.3530 with targets at 1.3470 & 1.3450 in extension.

Alternative scenario: above 1.3530 look for further upside with 1.3560 & 1.3590 as targets.

Comment: intraday technical indicators are mixed and call for caution.
Green Lines Represent Resistances | Red Lines Represent Support Levels | Light Blue is a Pivot Point |  Black represents the price when the report was produced
GBP/JPY intraday : the downside prevails as long as 211.62 is resistance Previous  | Next
Our pivot point is at 211.62.

Our preference: the downside prevails as long as 211.62 is resistance

Alternative scenario: above 211.62, look for 212.03 and 212.27.

Comment: the RSI is below its neutrality area at 50. The MACD is below its signal line and negative. The configuration is negative. Moreover, the price stands below its 20 and 50 period moving average (respectively at 211.41 and 211.49).
Green Lines Represent Resistances | Red Lines Represent Support Levels | Light Blue is a Pivot Point |  Black represents the price when the report was produced
USD/JPY Intraday: the downside prevails. Previous  | Next
Pivot: 156.75

Our preference: short positions below 156.75 with targets at 156.20 & 155.95 in extension.

Alternative scenario: above 156.75 look for further upside with 157.00 & 157.30 as targets.

Comment: even though a continuation of the technical rebound cannot be ruled out, its extent should be limited.
Green Lines Represent Resistances | Red Lines Represent Support Levels | Light Blue is a Pivot Point |  Black represents the price when the report was produced
USD/CAD Intraday: rebound expected. Previous  | Next
Pivot: 1.3785

Our preference: long positions above 1.3785 with targets at 1.3835 & 1.3860 in extension.

Alternative scenario: below 1.3785 look for further downside with 1.3760 & 1.3740 as targets.

Comment: the RSI is below its neutrality area at 50% but reversing up.
Green Lines Represent Resistances | Red Lines Represent Support Levels | Light Blue is a Pivot Point |  Black represents the price when the report was produced
Crude Oil (WTI) (G6) Intraday: key resistance at 57.10. Previous  | Next
Pivot: 57.10

Our preference: short positions below 57.10 with targets at 55.75 & 55.35 in extension.

Alternative scenario: above 57.10 look for further upside with 57.75 & 58.30 as targets.

Comment: even though a continuation of the technical rebound cannot be ruled out, its extent should be limited.
Green Lines Represent Resistances | Red Lines Represent Support Levels | Light Blue is a Pivot Point |  Black represents the price when the report was produced
Brent (ICE) (H6) Intraday: key resistance at 60.65. Previous  | Next
Pivot: 60.65

Our preference: short positions below 60.65 with targets at 59.95 & 59.50 in extension.

Alternative scenario: above 60.65 look for further upside with 61.25 & 61.85 as targets.

Comment: as long as 60.65 is resistance, likely decline to 59.95.
Green Lines Represent Resistances | Red Lines Represent Support Levels | Light Blue is a Pivot Point |  Black represents the price when the report was produced
Dow Jones (CME) (H6) Intraday: further upside. Previous  | Next
Pivot: 49450

Our preference: long positions above 49450 with targets at 50000 & 50200 in extension.

Alternative scenario: below 49450 look for further downside with 49100 & 48900 as targets.

Comment: the RSI is bullish and calls for further advance.
Green Lines Represent Resistances | Red Lines Represent Support Levels | Light Blue is a Pivot Point |  Black represents the price when the report was produced
Gold Intraday: under pressure. Previous 
Pivot: 4480

Our preference: short positions below 4480 with targets at 4441 & 4426 in extension.

Alternative scenario: above 4480 look for further upside with 4500 & 4513 as targets.

Comment: the RSI is bearish and calls for further downside.
Green Lines Represent Resistances | Red Lines Represent Support Levels | Light Blue is a Pivot Point |  Black represents the price when the report was produced

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