Archive for Financial News – Page 2

Corcept Therapeutics Shares Rise 25% on Favorable U.S. Patent Office Ruling

Source: Streetwise Reports   11/19/2020

Shares of Corcept Therapeutics reached a new 52-week high after the firm reported that the U.S. Patent Trial and Appeals Board affirmed that all claims pertaining to its U.S. Patent No.10,195,214 are valid.

Commercial-stage pharmaceutical company Corcept Therapeutics Inc. (CORT:NASDAQ), which is focused on discovering and developing medicines that modulate the effects of the stress hormone cortisol to treat patients with severe metabolic, oncologic and psychiatric disorders, announced today that “the Patent Trial and Appeal Board (PTAB) of the U.S. Patent and Trademark Office has issued a decision upholding the validity of all claims of U.S. Patent No. 10,195,214, ‘Concomitant Administration of Glucocorticoid Receptor Modulators and CYP3A Inhibitors’ (the ‘214 patent’).” The firm noted that the ‘214 patent will expire in the year 2037.

Corcept Therapeutics’ CEO Joseph K. Belanoff, M.D., commented on the ruling, “We are gratified by the PTAB’s decision…The ‘214 patent is directed to an important medical discovery – that, with dose-adjustment as set forth in its FDA-approved label, Korlym® can be safely co-administered with medications known as strong CYP3A inhibitors, including commonly-prescribed antiviral, antibiotic, antifungal and antidepressant medications. Patients with Cushing’s syndrome often experience significant co-morbidities. We are glad that our research has increased the array of medications available to the physicians who treat them.”

The company indicated that excessive activity of the hormone cortisol is a primary cause of hypercortisolism, which is frequently referred to as Cushing’s syndrome. The firm advised that “endogenous Cushing’s syndrome (CS) is an orphan disease that most often affects adults aged 20-50.” Corcept Therapeutics noted that there are approximately 20,000 patients in the U.S. who have CS. The company explained that though CS symptoms vary, “most patients experience one or more of the following physical manifestations: high blood sugar, diabetes, high blood pressure, upper-body obesity, rounded face, increased fat around the neck, thinning arms and legs, severe fatigue and weak muscles.” Psychological symptoms also present often as well including increases in anxiety, cognitive disturbances, depression and irritability. The firm noted that “hypercortisolism can affect every organ system in the body and can be lethal if not treated effectively.”

Corcept Therapeutics is based in Menlo Park, Calif., and is a commercial-stage company engaged in the discovery and development of drugs that modulate the effects of the hormone cortisol. The firm stated that “Korlym® was the first drug approved by the U.S. Food and Drug Administration for patients with Cushing’s syndrome.” The company reported that “it has discovered a large portfolio of proprietary compounds that selectively modulate the effects of cortisol and that it owns extensive U.S. and foreign intellectual property covering the composition of its selective cortisol modulators and the use of cortisol modulators to treat a variety of serious disorders.”

Corcept Therapeutics began the day with a market capitalization of around $2.2 billion with approximately 116.2 million shares outstanding and a short interest of about 15.1%. CORT shares opened 20% higher today at $22.45 (+$3.79, +20.319%) over yesterday’s $18.66 closing price and reached a new 52-week high price this morning of $23.55. The stock has traded today between $21.37 and $23.55 per share and is currently trading at $23.40 (+$4.74, +25.40%).

 

Disclosure:
1) Stephen Hytha compiled this article for Streetwise Reports LLC and provides services to Streetwise Reports as an independent contractor. He or members of his household own securities of the following companies mentioned in the article: None. He or members of his household are paid by the following companies mentioned in this article: None.
2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: None. Click here for important disclosures about sponsor fees.
3) Comments and opinions expressed are those of the specific experts and not of Streetwise Reports or its officers. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security.
4) The article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports’ terms of use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.
5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the decision to publish an article until three business days after the publication of the article. The foregoing prohibition does not apply to articles that in substance only restate previously published company releases.
6) This article does not constitute medical advice. Officers, employees and contributors to Streetwise Reports are not licensed medical professionals. Readers should always contact their healthcare professionals for medical advice.

Energy Company Boosts Thailand Oil Production, Offers ‘Low Risk Production Growth’

Source: Streetwise Reports   11/19/2020

The highlights of Pan Orient Energy’s third quarter are presented in a Mackie Research Capital Corp. report.

In a Nov. 13 research note, Mackie Research Capital Corp. analyst Bill Newman reported that Pan Orient Energy Corp.’s (POE:TSX.V) Q3/20 financial and operational results were in line with expectations and noted that the company offers “low risk production growth in Thailand.”

Newman summarized the Canadian energy company’s achievements and reviewed the numbers, from Q3/20.

Operationally, oil production from Pan Orient’s Thailand Joint Venture was up, noting that in September 2020, the company placed the L53-DD7 and L53-DD8 development wells and the L53-AA2 exploration well in production. September 2020 net production surged to an average of about 1,575 barrels of oil per day (1,575 boe/d) from an average of roughly 881 boe/d in August. Net production in October came in at an average of 1,417 boe/d.

Overall Q3/20 net production for Alberta-headquartered Pan Orient averaged 1,114 barrels of oil per day (boe/d), slightly higher than its Q2/20 average of 1,060 boe/d.

During the quarter, the oil and gas company’s total funds flow doubled, to $2.4 million from $1.2 million in Q2/20, driven by a higher realized oil price.

During Q3/20, the L53-DD9 appraisal well in Thailand was successfully drilled, hitting 29 meters of net oil pay in the four main producing sands, AA, BB, CC and DD. Testing of this well is scheduled to start in about 10 days, Newman noted. Two other wells were drilled during the quarter but failed to encounter oil.

As for Pan Orient’s balance sheet at Sept. 30, 2020, it showed $26.4 million in working capital and non-current deposits and no debt. The energy company also holds $3.5 million of working capital and long-term deposits for its 50.01% equity interest in the Thailand Joint Venture. This additional amount takes Pan Orient’s total net working capital to $29.9 million.

Looking forward, Pan Orient intends to “focus on low-risk development operations in Thailand” for the rest of the year, indicated Newman, and restart appraisal drilling there in 2/21.

Mackie has a Buy rating and a CA$1.35 per share target price on Pan Orient “based on the company’s strong financial position and expected production growth in Thailand,” Newman noted. Pan Orient’s current share price is about CA$0.60.

 

Disclosure:
1) Doresa Banning compiled this article for Streetwise Reports LLC and provides services to Streetwise Reports as an independent contractor. She or members of her household own securities of the following companies mentioned in the article: None. She or members of her household are paid by the following companies mentioned in this article: None.
2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: Pan Orient Energy. Click here for important disclosures about sponsor fees.
3) Comments and opinions expressed are those of the specific experts and not of Streetwise Reports or its officers. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security.
4) The article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports’ terms of use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.
5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the decision to publish an article until three business days after the publication of the article. The foregoing prohibition does not apply to articles that in substance only restate previously published company releases. As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of Pan Orient Energy, a company mentioned in this article.

 

Disclosures from Mackie Research, Pan Orient Energy Corp., Update, November 13, 2020

RELEVANT DISCLOSURES APPLICABLE TO COMPANIES UNDER COVERAGE
1. The analyst holds shares in Pan Orient Energy Corp.

ANALYST CERTIFICATION
Each analyst of Mackie Research Capital Corporation whose name appears in this report hereby certifies that (i) the recommendations and opinions expressed in this research report accurately reflect the analyst’s personal views and (ii) no part of the research analyst’s compensation was or will be directly or indirectly related to the specific conclusions or recommendations expressed in this research report.

Mackie Research Capital Corporation, its directors, officers and other employees may, from time to time, have positions in the securities mentioned herein.

The Quest for ‘Lost Cities’ Is Yielding Mineral Riches

Source: Streetwise Reports   11/19/2020

Aurania Resources’ large land package in Ecuador has never been explored with modern methods.

Aurania

Historians know that there were seven Spanish colonial era gold mines in present-day Ecuador, but only five of them have been located. Dr. Keith Barron, chairman and CEO of Aurania Resources Ltd. (ARU:TSX.V; AUIAF:OTCQB), dreams of finding those two “Lost Cities.” So far, he hasn’t succeeded, but he has found a lot of mineralization along the way.

Aurania staked a large swath of land in Ecuador, a concession block 90 kilometers long and 10 to 20 kilometers wide, more than 207,000 hectares in total.

“We selected the areas that we thought were likely to contain the Lost Cities,” Dr. Keith Barron told Streetwise Reports, “but we haven’t found them yet. But we found a tremendous amount of other stuff. We’ve got 31 copper porphyry targets, 20 gold-silver epithermal-type targets, and a silver-lead-zinc mantos target—Tiria-Shimpia—that extends for 15 kilometers. Plus we’ve got a really remarkable copper and silver sediment on surface that extends for 23 kilometers. So we’ve got a real treasure box of riches.”

Aurania has been working for four years to delineate the property via mapping, sampling, soil sampling, and geochemical and geophysical surveys and has now begun to drill. Scout drilling on the Tsenken N2 copper-silver target commenced in September. The company airlifted a man-portable drill rig that has the ability to drill to 800 meters.

“The objective of ‘scout drilling’ a limited number of holes per target is to achieve discovery in a minimal amount of time, knowing that an eventual full investigation of all the targets will take substantial time and resources,” Dr. Barron explained.

In early November, Aurania reported that the Tsenken N2 drilling revealed “mineral alteration zoning typical of an iron oxide copper-gold (IOCG) system.” Dr. Barron said, “Our aim in the Tsenken North area is to define the large-scale mineral zoning so that we can home in on the core of the system where any copper-gold would be concentrated.” The company plans to undertake a Mobile Magnetotellurics (MMT) survey shortly.

Since the interview, Aurania has stated that native copper or chalcopyrite (copper sulfide) has been found in four of the first five drill holes at Tsenken N2 and N3.

At another area, Aurania announced in late September that soil sampling at Tiria-Shimpia has extended the areas of silver enrichment in soil there. “Soil sampling at the Tiria-Shimpia target has defined a large mineralized system that covers an area 75 square kilometers in extent—and is still open along trend—on the margin of a large, intensely magnetic feature that is interpreted to be a porphyry cluster,” the company reported.

Rock chip samples from boulders at Tiria-Shimpia sported grades as high as 710 grams per tonne (g/t) silver and 48% zinc, while outcrop samples returned grades as high as 356 g/t silver, 12.7% zinc and 11% lead.

These areas are just the tip of the iceberg on Aurania’s massive property. “We have many, many more targets that we have outlined to drill over the next six months or so,” Dr. Barron said. Part of the decision of where to drill will be guided by Covid precautions and protocols.

International interest in mining in Ecuador is heating up. “We’re on the continuation of the belt that goes from Fruta del Norte to the north, and 15 kilometers to the south of our southern boundary, Solaris Resources has just drilled a porphyry called Warintza and came up with a 1,010 meter intersection of high-grade copper. And so they now have a market cap of half a billion dollars. It came out of nowhere,” Dr. Barron noted.

Mining Map

Further south at the other end of the belt near the border with Peru, “SolGold just reported a 600-meter intersection of high-grade copper at a project called Porvenir; that’s looking really, really interesting,” Dr. Barron said. “And Fruta del Norte, which is the deposit that my former company found, unfortunately, I don’t own anymore, last quarter produced 94,000 ounces of gold for Lundin Gold, and it is already considering an expansion even though the mine only has been open since last November. So for the first time, we’re starting to get institutions looking at this area.”

BHP Billiton, Anglo-American and Newcrest are all active in Ecuador. “All the big boys are lining up and Ecuador is kind of the flavor of the month right now,” Dr. Barron said.

“Because this land package is so darn big, with four different types of targets and many different metals, our strategy is to JV with different companies over different metals, JV one area to a copper producer, another to a silver producer. That would be a good scenario for our shareholders. We’re the only ones with a big contiguous land package like this in the whole country,” Dr. Barron said.

Aurania has also filed to stake 400,000 hectares in northern Peru. “We followed the copper bearing sequence to the Peru border and have selected the same age and types of rocks across the border in Peru,” Dr. Barron explained. “One junior already there has found copper and we decided to fill in the blanks between where they are and the border. After we did that, Barrick Gold ring-staked two of our packages.”

Peru map

At the end of October, Aurania closed a CA$11.5 million public offering and currently has about CA$13 million in the treasury. The company has approximately 44 million shares outstanding, and approximately 50 million fully diluted. Insiders hold approximately 45% of all outstanding shares, of which the majority is held by Dr. Barron, who put up much of the early capital into the company. Dr. Barron doesn’t draw a salary and considers himself perfectly aligned with other shareholders.

Noble Capital Markets covers Aurania Resources and on November 5, analyst Mark Reichman wrote, “Aurania’s exploration program has affirmed the rich mineral potential of the Lost Cities project and yielded drilling targets for a variety of metals. The recent financing provides financial flexibility to pursue high priority targets which offer significant potential for discovery. We think the company’s drilling program will be closely monitored and could provide catalysts for the stock assuming favorable outcomes.” Noble has an Outperform rating and CA$4.00 target price on Aurania. The stock is currently trading at around CA$3.50.

Disclosure:
1) Patrice Fusillo compiled this article for Streetwise Reports LLC and provides services to Streetwise Reports as an employee. She or members of her household own securities of the following companies mentioned in the article: None. She or members of her household are paid by the following companies mentioned in this article: None.
2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: Aurania Resources. Click here for important disclosures about sponsor fees.
3) Comments and opinions expressed are those of the specific experts and not of Streetwise Reports or its officers. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security.
4) The article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports’ terms of use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.
5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the decision to publish an article until three business days after the publication of the article. The foregoing prohibition does not apply to articles that in substance only restate previously published company releases.

Additional disclosures:

Disclosures for Noble Capital Markets, Aurania Resources, November 5, 2020
Company Specific Disclosures
The following disclosures relate to relationships between Noble and the company (the “Company”) covered by the Noble Research Division and referred to in this research report.
The Company in this report is a participant in the Company Sponsored Research Program (“CSRP”); Noble receives compensation from the Company for such participation. No part of the CSRP compensation was, is, or will be directly or indirectly related to any specific recommendations or views expressed by the analyst in this research report.
Noble has arranged non-deal roadshow(s) with investors in the last 12 months.
Noble intends to seek compensation for investment banking services and non-investment banking services (securities and non-securities related) within the next 3 months.
Noble is not a market maker in the Company.

ANALYST CREDENTIALS, PROFESSIONAL DESIGNATIONS, AND EXPERIENCE
Senior Equity Analyst focusing on Basic Materials & Mining. 20 years of experience in equity research. BA in Business Administration from Westminster College. MBA with a Finance concentration from the University of Missouri. MA in International Affairs from Washington University in St. Louis. Named WSJ ‘Best on the Street’ Analyst and Forbes/StarMine’s “Best Brokerage Analyst.” FINRA licenses 7, 24, 63, 87.

Precision BioSciences & Eli Lilly Partner to Develop In Vivo Therapies for Genetic Disorders

Source: Streetwise Reports   11/20/2020

Precision BioSciences shares traded 13% higher after the company reported it is partnering with Eli Lilly & Co. to develop in vivo therapies for genetic disorders with an initial focus on Duchenne’s muscular dystrophy and two other undisclosed gene targets.

Genome editing technology company Precision BioSciences Inc. (DTIL:NASDAQ) and pharmaceutical giant Eli Lilly and Co. (LLY:NYSE) today announced “a research collaboration and exclusive license agreement to utilize Precision’s proprietary ARCUS® genome editing platform for the research and development of potential in vivo therapies for genetic disorders, with an initial focus on Duchenne muscular dystrophy (DMD) and two other undisclosed gene targets.”

The firms noted that “genome editing technologies enable precise editing of the DNA of a living organism, opening up the possibility of correcting genetic problems at their source.” Precision BioSciences stated that “its proprietary ARCUS platform is derived from a natural genome-editing enzyme called I-CreI, a homing endonuclease that can be optimized to control for potency and specificity.”

The companies advised that under the agreement Eli Lilly will make a $35 million equity investment in Precision’s common stock and will pay Precision an upfront cash payment in the amount of $100 million. The firms noted that the agreement additionally provides Precision BioSciences with the opportunity to receive up to an additional $420 million if certain development and commercial milestones are met and from future product royalty payments.

The collaboration agreement stipulates that Precision will lead pre-clinical research and IND-enabling activities and Lilly will be in charge of clinical development activities and commercialization. Under the arrangement, Lilly has right to choose up to three additional gene targets.

Precision BioSciences’ Chief Scientific Officer and co-founder Derek Jantz commented, “We look forward to working with Lilly to leverage our deep understanding of in vivo gene editing and experience with ARCUS to develop new therapies, including a potentially transformative treatment for Duchenne muscular dystrophy…Collaborating with Lilly, a global healthcare leader with strong clinical and commercial experience in difficult-to-treat diseases, will help us accelerate our work aimed to solve genetic diseases with unique editing challenges.”

Ruth Gimeno, Ph.D., V.P. of Diabetes and Metabolic Research at Eli Lilly, remarked, “Gene-edited therapies are emerging as a promising approach to help patients afflicted with genetic conditions…We look forward to working closely with Precision’s scientific team and leveraging their platform to develop and deliver breakthrough medicines for untreated genetic disorders.”

Eli Lilly’s V.P of New Therapeutic Modalities Andrew Adams, Ph.D., added, “This collaboration with Precision BioSciences represents another milestone in the realization of our vision to create medicines with transformational potential, using new therapeutic modalities such as gene editing to tackle targets and indications which were previously undruggable.”

The firms stated that the transaction remains subject to ordinary closing conditions and regulatory approval under the Hart-Scott-Rodino Antitrust Improvements Act.

The company explained that the ARCUS proprietary genome editing technology that it created and developed in-house utilizes “sequence-specific DNA-cutting enzymes, or nucleases, that are designed to either insert (knock-in), remove (knock-out), or repair DNA of living cells and organisms.” The firm stated that it currently holds more than 65 patents that have been issued for its platform and products.

Eli Lilly is a global healthcare and pharmaceutical manufacturing company based in Indianapolis, Ind. The firm’s products include human pharmaceutical products and also animal pet and livestock feed and health products. Eli Lilly has a vast portfolio of medicines used in areas of cardiovascular, endocrinology, immunology, neuroscience and oncology. The company operates in the U.S. and 14 other countries and has a market cap of over $137 billion.

Precision BioSciences is a clinical stage biotechnology company headquartered in Durham, N.C. The firm uses its own proprietary ARCUS genome editing platform to develop “multiple “off-the-shelf” CAR T immunotherapy clinical candidates and several in vivo gene correction therapy candidates to cure genetic and infectious diseases where no adequate treatments exist.”

Precision BioSciences started the day with a market capitalization of around $508.0 million with approximately 52.48 million shares outstanding and a short interest of about 5.1%. DTIL shares opened 14% higher today at $11.05 (+$1.37, +14.15%) over yesterday’s $9.68 closing price. The stock has traded today between $10.24 and $11.45 per share and is currently trading at $10.95 (+$1.27, +13.12%).

Disclosure:
1) Stephen Hytha compiled this article for Streetwise Reports LLC and provides services to Streetwise Reports as an independent contractor. He or members of his household own securities of the following companies mentioned in the article: None. He or members of his household are paid by the following companies mentioned in this article: None.
2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: None. Click here for important disclosures about sponsor fees.
3) Comments and opinions expressed are those of the specific experts and not of Streetwise Reports or its officers. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security.
4) The article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports’ terms of use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.
5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the decision to publish an article until three business days after the publication of the article. The foregoing prohibition does not apply to articles that in substance only restate previously published company releases.
6) This article does not constitute medical advice. Officers, employees and contributors to Streetwise Reports are not licensed medical professionals. Readers should always contact their healthcare professionals for medical advice.

NQ Has Stalled Above a 1.382 Fibonacci Expansion Range Three Times

By TheTechnicalTraders

The NASDAQ E-Mini Futures (NQ) has rallied and stalled above 12,055, a 138.2% Fibonacci expansion of the December 2018 low range to the February 2019 (Pre-COVID-19) highs three times over the past 4 months.  We believe this resistance level, near 12,055, on the NQ is acting as a major price ceiling and may continue to prompt continued downside resistance as price attempts to break through this level.

NQ Fibonacci 1.382% Expansion May Turn Into A Major Top

The weekly NASDAQ E-Mini Futures chart, below, highlights the original price range and the current Fibonacci price expansion from the March 2020 COVID-19 lows.  We believe the sideways consolidation setting up on this NQ chart near the 1.382% Fibonacci expansion range suggests moderate price resistance exists near 12,055.  We also believe the three failed attempts to rally above this level represents a strong possibility of a major price peak setting up in the NQ unless recent high price levels are breached by a strong breakout/rally.

Whenever price failed to rally above resistance, as we are seeing on this chart, this support level becomes an even strong resistance level overall.  You will also likely notice the CYAN support channel near recent lows.  This level suggests a support channel is rising to create a FLAG formation – resulting in an APEX (breakout/breakdown) potential near the end of 2020.

My research team believes the end of year Christmas rally may be much weaker than expected after the big upside price rally post-COVID-19. We believe the uncertainty related to the political and global policies as well as the restrained consumer activity will likely prompt another round of broad market rotation and volatility over the next 4+ months. We believe trends will finally settle down near January/February 2021 – which will allow traders to really begin to take advantage of a broad market trend setting up.

This holiday season probably won’t be anything similar to the Christmas Rally modes we’ve seen in the recent past. We believe the resistance in the NQ near 12,055 will act as a price ceiling and prompt a downside price rotation with high volatility before the end of 2020.  This suggests traders should continue to prepare for big market rotations and higher volatility over the next 2 to 3+ months.

We can help you find and identify great trading opportunities so visit www.TheTechnicalTraders.com to learn about my exciting ”Best Asset Now” strategy and indicators. Sign up for my daily pre-market video reports that walk you through the charts of all the major asset classes every morning.

Have a great week!

Chris Vermeulen
Chief Market Strategist
www.TheTechnicalTraders.com

NOTICE AND DISCLAIMER: Our free research does not constitute a trade recommendation or solicitation for readers to take any action regarding this research.  We are not registered financial advisors and provide our research for educational and informational purposes only. Read our FULL DISCLAIMER here.

 

The Week Ahead: Where’s The Money?

By Orbex

EURCAD Retreats as Budget Hits Roadblock

The euro came under pressure after the EU’s budget ran into a stalemate. Its approval which includes the 750 billion euro Recovery Fund has turned political after Hungary and Poland rejected its tie to the rule of law.

The clause would make access to cash conditional on countries following EU standards. This will ensure a fair and transparent distribution of the vast amount of money. This debacle is likely to delay the handouts to countries desperately in need and put the expected recovery on hold.

The pair continues on its retracement under 1.5660. 1.5320 is the immediate support level for the latest rebound.

GBPJPY Stays Put as Talks Go On

It is without surprise that the latest Brexit negotiation has come to a standstill. The two sides have dug in and refuse to compromise over fishing rights and enforcement of trade rules.

Nevertheless, the pound only saw minor weakness as markets have already priced in the delay. What is keeping the exchange rate steady is optimism that a basic deal could be reached at the last minute. This is a diplomatic game that investors have been accustomed to over the past four years.

As the year-end approaches, the pound could be trading in a narrowing range between 133.00 and 142.00 before a catalyst propels the price action in a new direction.

USDCHF Bounces Over Protracted Stimulus

The ebb and flow of US stimulus have stirred up short-term volatility across markets. US Treasury Secretary Steven Mnuchin has called for some emergency lending programs to expire on 31 December. This was likened to pulling the plug on the recovery. It caused risk-sensitive markets to stall in favor of the greenback.

However, it is reasonable to expect a new fiscal package as the health situation deteriorates. While markets await the government’s response, the dollar could see some limited upside.

The pair is yet to overcome the supply area of 0.9200. Failing that, the dollar could slip under the psychological level of 0.9.

AUDCHF Tests Triple Top as Sentiment Takes a Seat Back

Risky assets like the Australian dollar underwent a cooldown as US coastal cities introduced more drastic measures to curb the Covid infection rate. The pandemic situation has shown no sign of easing across the US. Furthermore, the vaccine news-induced momentum is starting to fade.

Therefore, it seems like global sentiment is treading water, and traders have started to take profit in anticipation of the next catalyst.

The Aussie has met strong selling pressure near the June and September highs of 0.6700, making it a triple top. On the downside, 0.6520 around the MA cross is the immediate level to look for support.

By Orbex

Weekly Fundamental Bulletin: US Revised GDP & Eurozone Flash Estimates

By Orbex

Last week’s highlights

Japan GDP rises 21.4% in Q3

There was some good news from Japan with the latest economic data showing a rebound in economic activity.

Official data for the third quarter showed that the nation’s GDP rose by 21.4% during the three months ending September. This exceeded the expectations of an increase of 18.9%.

In the previous quarter, Japan’s GDP fell by 28.8%. On a quarterly basis, Japan’s GDP expanded by 5.0% which also beat forecasts of a 4.4% increase.

Capital expenditure was weaker, however, down by 3.4% during the period. It continues to fall after a 4.5% decline previously.

UK inflation rises to a three-month high

The latest inflation data from the UK showed that consumer prices rose to a three-month high in October. The gains were driven by an increase in higher clothing and food prices.

Headline inflation rose by 0.7% on the year, climbing more than the 0.5% increase from the previous month.

Excluding food and energy prices, the core inflation rate rose by 1.5%. Economists forecast the core inflation rate would remain unchanged at 1.3%.

Despite the increase in consumer prices, inflation in the UK still remains well below the BoE’s 2% inflation target rate.

Australia unemployment rate rises to 7%

The latest labor market data from Australia saw the national unemployment rate rising to 7.0% in October.

The official data from the Australian Bureau of Statistics came out below expectations. The general forecasts were for an increase in the unemployment rate to 7.2% for the period.

In September, Australia’s unemployment rate rose to 6.9%. The economy added 178,800 jobs during the month and managed to beat expectations of a 30,000 job loss.

The gains came mostly from full-time jobs which added 97,000, while part-time jobs rose to 81,800.

Existing home sales spike in October

Data from the National Association of Realtors showed that existing home sales spiked to a 14-year high in October.

Existing home sales rose 4.3% on a month over month basis. This comes after a 9.9% increase in the previous month. The data also beat economist forecasts of a 1.4% decline for the period.

The data for October pushed existing home sales to the highest levels since February 2006. On a year over year basis, existing home rose by 26.6%.

The data was surprising as it comes amid a period of high unemployment in the US.

US Industrial production rebounds in October

Industrial production data in October showed a huge increase.

Official data showed that industrial production rose by 1.1% in October. This follows a revised 0.4% decline in September.

The data also beat the general forecasts showing a 1.0% increase for the period. The rebound was driven by an increase in manufacturing output which rose by 1.0% on the month.

Manufacturing output in the previous month rose by just 0.1%. Driving the industrial production data higher was also the increase in utilities which increased by 3.9%, partly reversing the 5.2% decline from the previous month.

Upcoming Economic Events

New Zealand retail sales to rise in Q3

The third-quarter retail spending report from New Zealand is due this week.

In the second quarter, retail sales in New Zealand fell by 14.6%. This was broadly due to the impact of the Covid-19 lockdown measures.

Since then, economists forecast that retail spending picked up the pace, to the extent that a rebound is on the cards. As a result, for the third quarter, New Zealand’s retail sales are forecast to rise by 20%.

This would completely reverse the declines from the previous quarter. The data would also be positive for the NZD after the RBNZ ruled out rate cuts for the next few months.

US third-quarter GDP to remain steady

The third quarter revised estimates on the GDP are on tap this Wednesday.

The general expectations are for the GDP to remain unchanged. Meaning that the US economy rose at a pace of 33.1% in the three months ending September 2020.

The data is unlikely to move the markets as the latest Q4 data shows signs of a slowdown, especially on consumer spending.

The GDP data is also followed by the durable goods orders report. Forecasts point to a 0.3% increase in core durable goods, while the headline number is forecast to rise 1.0% on the month.

Fed meeting minutes unlikely to surprise the markets

The US Federal Reserve will be releasing the minutes from the monetary policy meeting held on November 5th, 2020.

The central bank did not make any tweaks to monetary policy or its bond purchase program.

However, investors will be keen to scrutinize the minutes as speculation mounts of another round of easing in December. This comes on the back of dovish comments from NY Fed president, Williams, Clarida, and Kaplan, among others.

While the minutes may not reveal much, they could potentially validate the dovish views from the FOMC members.

Eurozone services and manufacturing activity to slow

IHS Markit will be releasing the flash estimates on the services and manufacturing sectors for the Eurozone.

The overall consensus is that activity in the private sector slowed during the month of October. This coincides with the introduction of new lockdown measures across some of the major cities in Europe.

Still, the pace of declines is much lower compared to the initial slowdown in March/April this year.

A more negative report could, however, start to put focus on the ECB, which is planning to announce further stimulus measures in December.

By Orbex

AUDUSD Cycle Correction Completion

By Orbex

audusd elliott

The current AUDUSD structure indicates a cycle corrective wave b of a triple zigzag. The specified zigzag consists of sub-waves Ⓦ-Ⓧ-Ⓨ-Ⓧ-Ⓩ.

The final wave Ⓩ takes the form of an intermediate degree (A)-(B)-(C) zigzag. Intermediate impulse (A) and correction (B) are fully complete, whereas impulse (C) is still under development.

The completion of the triangle wave 4 is expected near 0.727. This level is on the support line drawn through the vertices of the minute sub-waves ⓐ and ⓒ.

Finally, prices are expected to rise in the minor wave 5 to the 0.744 area.

audusd

An alternative scenario looks at corrective wave (B) being a longer structure. Minor wave W is completed, and the intervening wave X is still under construction.

The current structure of intervening wave X hints at a minute flat that is nearing its end at 0.737. The target is on the resistance line drawn through the top of the impulse (A) parallel to the lower support line.

Finally, we could see the currency pair depreciating in wave Y to the level of 0.697. This is highlighted on the support line drawn through the lows W and ⓑ.

By Orbex

Fibonacci Retracements Analysis 23.11.2020 (GOLD, USDCHF)

Article By RoboForex.com

XAUUSD, “Gold vs US Dollar”

As we can see in the H4 chart, after finishing the correctional uptrend at 50.0% fibo, XAUUSD has formed the descending impulse to test the low at 1848.67. One should also note that after completing the descending impulse, the price is correcting within the sideways channel, thus implying further decline after a breakout of the low. The next downside targets may be 38.2% and 50.0% fibo at 1836.50 and 1736.40 respectively.

GOLD_H4
Risk Warning: the result of previous trading operations do not guarantee the same results in the future

The H1 chart shows a more detailed structure of the current correction after the descending impulse, which has reached 38.2% fibo. However, the current descending wave is trying to re-test the local low at 1850.43. Possibly, the asset may yet from another rising wave towards 50.0% and 61.8% fibo at 1907.93 and 1921.49 respectively but a breakout of the low remains a more probable scenario.

GOLD_H1
Risk Warning: the result of previous trading operations do not guarantee the same results in the future

USDCHF, “US Dollar vs Swiss Franc”

As we can see in the H4 chart, USDCHF is starting a new mid-term growth after updating the low and a convergence on MACD. The closest upside targets may be 23.6% and 38.2% fibo at 0.9278 and 0.9460 respectively. However, to continue the uptrend the pair must break the local fractal high at 0.9296. On the other hand, if the asset breaks the low at 0.8982, it may enter the post-correctional extension area between 138.2% and 161.8% fibo at 0.8886 and 0.8816 respectively.

USDCHF_H4
Risk Warning: the result of previous trading operations do not guarantee the same results in the future

In the H1 chart, the pair is correcting downwards after a divergence on MACD, and has already reached 50.0% fibo at 0.9087 to test it. Later, the market may continue falling towards 61.8% and 76.0% fibo at 0.9062 and 0.9032 respectively. A breakout of the local high at 0.9192 will be signal the completion of this correction.

USDCHF_H1

Article By RoboForex.com

Attention!
Forecasts presented in this section only reflect the author’s private opinion and should not be considered as guidance for trading. RoboForex LP bears no responsibility for trading results based on trading recommendations described in these analytical reviews.

Forex Technical Analysis & Forecast 23.11.2020

Article By RoboForex.com

EURUSD, “Euro vs US Dollar”

EURUSD is still consolidating above 1.1850. If later the price breaks this range to the upside at 1.1880, the market may resume growing towards 1.1900 or even reach the target at 1.1950; if to the downside at 1.1850 – start a new correction towards 1.1815 and then form one more ascending structure with the above-mentioned target.

EURUSD
Risk Warning: the result of previous trading operations do not guarantee the same results in the future

GBPUSD, “Great Britain Pound vs US Dollar”

GBPUSD is still moving upwards; right now, it is trying to break 1.3330 to the upside. Possibly, the pair may succeed and then continue growing towards 1.3345 or even reach 1.3360. After that, the instrument may start a new correction with the target at 1.3240.

GBPUSD
Risk Warning: the result of previous trading operations do not guarantee the same results in the future

USDRUB, “US Dollar vs Russian Ruble”

USDRUB is falling towards 75.00 and may later correct to reach 75.60. After that, the instrument may fall towards 74.50 and then start a new correction with the target at 77.70.

USDRUB
Risk Warning: the result of previous trading operations do not guarantee the same results in the future

USDJPY, “US Dollar vs Japanese Yen”

USDJPY is still consolidating above 103.70. Today, the pair may fall towards 103.30 and then form one more ascending structure to return to 103.70. Later, the market may resume trading downwards with the target at 102.50.

USDJPY
Risk Warning: the result of previous trading operations do not guarantee the same results in the future

USDCHF, “US Dollar vs Swiss Franc”

USDCHF is consolidating above 0.9099. Possibly, the pair may break this level to the downside and resume falling towards 0.9077. After that, the instrument may form one more ascending structure to return to 0.9099 and then resume falling with the target at 0.9060.

USDCHF
Risk Warning: the result of previous trading operations do not guarantee the same results in the future

AUDUSD, “Australian Dollar vs US Dollar”

AUDUSD is consolidating around 0.7292. Possibly, the pair may expand the range up to 0.7330 and then start a new descending structure to return to 0.7292. If later the price breaks this level to the downside, the market may start another correction with the target at 0.7244.

AUDUSD
Risk Warning: the result of previous trading operations do not guarantee the same results in the future

BRENT

After forming another consolidation range around 44.30 and breaking it to the upside, Brent is expected to continue growing towards 45.55. Later, the market may correct to return to 44.30 and then form one more ascending structure with the target at 48.50.

BRENT
Risk Warning: the result of previous trading operations do not guarantee the same results in the future

XAUUSD, “Gold vs US Dollar”

After completing the ascending structure at 1874.30, Gold is consolidating below this level. Possibly, the metal may fall to break 1863.50 and then continue moving downwards with the target at 1849.74.

GOLD
Risk Warning: the result of previous trading operations do not guarantee the same results in the future

BTCUSD, “Bitcoin vs US Dollar”

BTCUSD has finished the ascending wave at 18880.00. Today, the asset may correct with the first target at 17600.00 and then start another growth towards 18250.00, thus forming a new consolidation range between these two levels. If later the price breaks this range to the downside, the market may continue the correction with the short-term target at 16600.00.

BITCOIN
Risk Warning: the result of previous trading operations do not guarantee the same results in the future

S&P 500

The S&P index is still falling to reach 3531.1 and may later grow towards 3586.8, thus forming a new consolidation range. If the price breaks this range to the downside, the market may continue the correction with the target at 3450.0; if to the upside – start another growth to reach 3650.0.

S&P 500

Article By RoboForex.com

Attention!
Forecasts presented in this section only reflect the author’s private opinion and should not be considered as guidance for trading. RoboForex LP bears no responsibility for trading results based on trading recommendations described in these analytical reviews.