Stock Market Report – EUR USD – GPB Capital – Facebook

After a long decline in the first half of November, the EUR/USD pair moved to an upward correction. In the first two trading weeks of November, the price fell by more than 150 points and reached a key support level of 1.0995. Yesterday, the instrument began to grow within the correction, leaving a narrow downward channel. EUR was supported by favorable data on industrial production and the growth rate of the EU economy. In addition, the pair was positively affected by the growth in demand for the oversold euro.

Support and resistance

In the short term, an upward impulse with the targets at 1.1040, 1.1055, 1.1090 is expected. From these resistances, the price may reverse and begin to decline. It is worth noting the recent strengthening of the US dollar against all major currencies: data on key sectors of the US economy are positive, and investor interest is growing. The European currency is unlikely to be able to recover significantly, which means that it is worth counting on a soon resumption of the decline.

Technical indicators confirm the forecast for the fall in the medium term: on the daily chart, high volumes of short MACD positions remain, Bollinger bands are still directed downwards.

Support levels: 1.1015, 1.0995, 1.0960, 1.0925, 1.0880.

Resistance levels: 1.1040, 1.1090, 1.1120, 1.1175, 1.1240.

Trading tips

Short positions may be opened from the current level with the targets at 1.0925, 1.0880 and stop loss of 1.1090.

Loser of the Week

GPB Capital continue to receive more bad news.  GPB has been investigated by the FBI, SEC and State agencies and arrest of the compliance officer.


Facebook Stock Analysis

Facebook shares are trading at a discount of 1.8% to a three-month high of October 31, which was previously updated amid the publication of a strong quarterly report, exceeding expectations for financial and operating indicators. Revenue rose by 29% (YoY) to USD 17.65 billion, earnings per share increased by 20% (YoY) to USD 2.12. At the same time, the number of daily active users amounted to 1.62 billion (an increase of 8.6% from last year).

During the previous week, Facebook shares grew by 1.43%. S&P500 went up by 0.39% within the same period.

Support and resistance

The emitter’s quotes are still in lateral movement. No single direction tendencies are observed. #FB shares are testing local levels of support and resistance at 189.00 and 197.00, respectively. The instrument has the potential to decline.

Indicators don’t give a clear signal: MA(50) crossed MA(200); MACD histogram is located near the zero line. Positions are to be opened from key levels.

Comparing the company’s multiplier with its competitors, we can say that #FB shares are neutral.

Support levels: 189.00, 182.00, 173.00.

Resistance levels: 197.00, 205.00, 208.50.

Trading tips

If the price consolidates below the support level of 189.00, #FB quotes are expected to fall. Potential profits should be locked in by orders at 182.00, 175.00, and 170.00. Stop-loss – 196.00.

If the price consolidates above 197.00, one may consider buying #FB. The moving potential is aimed at the area of 208.00–215.00. Stop-loss – 190.00.

Implementation period: 3 days.

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