Noor Capital | Interview with Mohammed Hashad on CNBC – Sept 23, 2024

In an interview conducted by CNBC Television, Mohamed Hashad, Head of Research and Development at Noor Capital and a member of the American Association of Technical Analysts, commented and analyzed the performance of key assets in the financial markets.

Euro-Dollar (EUR/USD)

The Euro-Dollar pair experienced significant movement. Following the Federal Reserve’s decision to cut interest rates, the Dollar Index faced intense selling pressure, creating an opportunity for other currencies to strengthen against the dollar. Despite this, the Euro encountered slight difficulty in maintaining its upward momentum. However, the simple moving average continues to support the potential for further gains, and an ascending trend line reinforces the likelihood of an upward trend.

We’re currently waiting for the Stochastic indicator to gain additional bullish momentum, which could propel the pair to break the 1.1200 resistance level. If this key level is surpassed, we may see the Euro targeting the 1.1260 level and possibly extending toward 1.1330. The activation of this bullish scenario depends on the EUR/USD maintaining stability above the pivotal support level at 1.1100. Should this support level be breached, we could witness some temporary selling pressure, with the pair potentially retesting the 1.1030 level before resuming its upward trajectory.

Sterling-Dollar (GBP/USD)

The Sterling-Dollar pair has demonstrated consistent strength, targeting the 1.3100 level. The recent trading activity suggests that further gains are likely, especially given that the pair has stabilised above the 1.3240 mark. The simple moving averages continue to offer positive support from below, reinforcing the bullish sentiment.

As long as trading remains above 1.3240, the GBP/USD pair is expected to target the 1.4300 level, potentially extending to 1.4340. This bullish outlook hinges on the pair maintaining its stability above 1.3240, which remains a crucial level to watch.

Yen-Dollar (JPY/USD)

The interest rate differentials between Japan and the United States have been pivotal in influencing the Yen-Dollar pair’s movements. Technically, the pair broke through a critical resistance level at 143.30, which has since transformed into a support level according to the concept of role reversal. The pair also shows positive momentum signals on the 14-day momentum indicator.

As long as the pair remains above the 143.30 level, there is a chance to maintain the short-term upward trend, with an initial target of retesting the 145.50 and 146.00 levels. Should the pair drop below 143.30, we might see a return to the main upward path, with targets starting from the 141.20 level.

Gold

Gold prices have entered a phase of relative calm, with recent trading indicating a clear state of overbought conditions. Despite this, the general trend for gold remains bullish, reaching new record highs of $2,631 per ounce. Trading has steadily risen, with prices above the $2,600 level, supported by ongoing demand for safe-haven assets.

The upward trajectory appears intact, with potential targets of $2,640 and possibly extending to $2,660 in the current week’s trading. The key level to monitor remains $2,600. A break below this level could trigger a downward correction, potentially targeting $2,550 before any renewed attempts to climb higher.

Oil (WTI Crude)

The energy market continues to face concerns about weak demand, particularly from major consumers like the United States and China. Despite these worries, WTI crude has managed to break above the $70 mark once again. Last week’s trading closed above a significant resistance level at $70.40, which has now transformed into a support level. Technically, a bullish inverted head and shoulders pattern has emerged on the four-hour chart, further supported by positive momentum from the moving average.

Given these developments, we might see additional gains in WTI crude oil prices throughout the week, with an initial target of $73.40. For this bullish scenario to remain valid, it’s crucial that trading stays above the $70.40 support level. As always, it’s important to closely monitor market developments and price movements in the coming days.

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