 Good morning and welcome to the weekly market update with me, David Madden. Today's date is Tuesday, the 9th of March, 2021, and the time has just gone at 9.34 GMT. And it's been a fairly positive start to the European trading session. The major indices are a little higher. The building on yesterday's gains were very impressive. Rallies were achieved. What was driving that? Well, yesterday, in the last couple of days, it was confirmed that the U.S. Senate supported the $1.9 trillion stimulus package to help move the U.S. economy along. So including in that would be stimulus checks worth $1,400. So that was really kind of jolted U.S. Well, global sentiment higher than we saw, particularly high sentiment in Europe yesterday. But we did see a bit of a negative impact because of the optimism surrounding the stimulus checks. We did see that the U.S. 10-year government bond yield, the 10-year yield, moved north of 1.6%. That caused a few ripples in the market because traders have been getting a bit nervous recently about that because higher bond yields often points to both higher growth but also higher inflation. And inflation worries can worry some equity markets, equity traders, because the view can be higher inflation might justify or warrant higher interest rates. Something the Fed and Reserve don't want to be even thinking about right now. But there was a bit of a move to the downside. A slight retreat in U.S. government bond yields. In the last few days and weeks, we've heard from various central bankers. You know, Jerome Paul, the head of the Fed and Reserve, Janet Yellen, the former head of the Fed and Reserve and the current U.S. Treasury Secretary. They've expressed, they've suggested that they're not overly concerned about inflation. And with that, that's kind of tempered fears and expectations in around what's going on with the 10-year yield and when at some point the Fed and Reserve look to tighten monetary policy. Also playing in the mix has been a fairly sharp sell-off in tech stocks. And as the futures are putting higher today, the tech stocks as a whole have been underperforming recently. Probably because tech stocks, people have been questioning their exceptionally high valuations. But also, given the recovery story, in relation to vaccines being rolled out and the prospect of economies reopening again, more traditional stocks, airlines, travel, transport, retail, hospitality, they're all doing that as well, let alone the kind of main industries, traditional industries, commodity stocks and banking stocks. So we have been seeing a rotation out of tech stocks and back into traditional players. With my video, I've run through the major events and corporate and economic events of the week, and then a look at the major markets. So we get articles that can be found on our website under cmcmarkets.com, under insights, under latest news and analysis. So today, we have put your figures out from ITV, both revenues and profits dipped, and the share price sold off on the back of that. AMC Entertainment, they've been in the news recently, and given a similar vein to the GameStop mania, but they're a cinema chain over in the US. The prospect of economies reopening again greatly benefits a company like theirs. On Wednesday, we have a meeting from Bank of Canada. We're not going to be expecting any major changes to monetary policy from Bank of Canada anytime soon. On both the dating app, they have four core numbers coming out on Wednesday. One of the bigger events on Wednesday is going to be USCPI. At the start of the video, I talked about how the fears of rising inflation is pushing far new years higher, which in some instances is putting pressure on stocks. So a jolt higher inflation on Wednesday could be a catalyst which puts pressure on stocks. Conversely, if inflation is fairly muted, it doesn't really change a whole lot. That might be the sign that there's nothing to get overly worried about inflation. Church of the Capital has four key numbers coming out on Thursday. We also have the ECB meeting similar vein with the Bank of Canada. No greatest change is expected on that front. If anything, the European Central Bank, I suspect, would like a weaker euro, but how they have to get that, it's going to be a different story. Morrison, the UK supermarket chain, has full year numbers coming out on Thursday. We also have full year figures out from Rolls Royce. We've also had a very tough time in the past 12 months because of the pandemic. Their aviation business has been under tremendous pressure because of what's going on with their travel. Then on Friday morning, we will have GDP numbers coming out of the UK. This is going to be closely watched in light of the fact that the UK economy grew by 1% in the fourth quarter of 2020. In the last quarter, how things are going to be shaping up with respect to growth and output given the post-Christmas slump that is off from there, given the lockdown situation and overall general lower activity mood that often prevails in January. At the same time, we also have manufacturing production numbers coming out from the UK too. Starting off with the 4200. A multi-month high was achieved back in early January. The market had a sell-off. It has been pushing higher ever since. It's been broad, it's been moving higher the last few sessions. We're back above, cut to be above this blue line here. We've faithfully moved the average in a 6,638. While we hold above that metric, it's likely that the wider upward trend is going to continue. Should that be the case, we could be looking at retesting the mid-February highs and then beyond that, we could be looking at targeting the multi-month highs. They're going to almost a year high. That was set back in January. Any moves to the downside could find support. In the yellow line here, the water is moving average. That comes to play at 6,432. If you go below that, keep an eye out for this area here. It loads in late November in around 6,248. Notice how that coincides with this red line, 200-day moving average. Seeing those two price points overlap, that's most likely to make that particular price point more significant. Obviously, there are no guarantees. Turning our attention to the tax, the tax has been very strong. The record highs racked up. You can see here very much in a strong position. The gains today have been particularly huge, but nonetheless, moving higher on the same. It remains in a strong upward trend. We're currently trading around 14,430. We're moving on higher from here. We could be looking at targeting 40,500, 600, so on and so forth. That's really up until the next big number to watch out for on the tax will be 15,000. Any moves to the downside could find support in this blue line here. The 50-day moving average in a 13,915. The entire zone between 14,000 and 13,915 is likely to have active support. Notice how on a few occasions there are about the 50-day moving average active support. The metric has been of importance in the past. It makes it more likely to be of importance in the future, but once again, there's no guarantees. Looking at what's going on over in the U.S., taking a look at the S&P 500. An all-time high was set in the middle of February. We have had a fairly decent correction or moved to the downside pullback in recent weeks. This is partly because of the move higher in the U.S. government bond deals have spooked traders to a certain extent, also playing into the mix, because the aggressive sell-off in tech stocks and the tech weight on the S&P 500 is relatively large. Therefore, we've had a decent enough pullback in the S&P 500. Despite the fact that we've seen a few choppy sessions recently, and despite the fact that we've actually moved a bit lower yesterday in the S&P 500, the market is still above its 50-day moving average, while it continues to hold above that metric in around 3,834, I believe. While it continues to hold above that metric, it's like the broader upward trend is going to continue. Should that be the case, we could then be targeting the late January highs, and then beyond that, we could then be looking up towards the all-time high that was set in the middle of February. Sorry, as I said January, I apologize. The late February highs, then looking towards the all-time high that was set in mid-February, and beyond that, we could be looking up towards the 4,000. Should we move lower from here if the market turns over on itself yet again? Keep an eye out for the recent lows, the lows in around last week at 3,723, and below underneath that, we could then be looking back towards the lows of early February in around 3,664. Take a look now, what's going on over on the currency markets turning up a euro-dollar. As we can see here, after achieving a multi-year high in January, we've had a pullback in the downside in euro-dollar, so we've had the lower low, the lower high, the lower low. Granted, when the market did push higher in late February, the highs of February did manage to take out the highs in January, but the highs of late January, but have moved the recipe lower yet again. In fact, even today, we've printed a new multi-month low back to low levels last seen in November, but we can see here that it's holding above, it didn't quite get as far as this red line, the turn-de-moving average. If you take a look at the price action, despite the fact that it has moved lower, it has aggressively turned around, so this could be beginning, this trading day obviously hasn't ended yet, but if we could be in for a potential bullish engulfing, what that would look like would look similar to this candle over here. Notice how the body of this candle here, this positive candle here, completely engulfs the red rectangle here, which is the body of the previous day's candle. I'm talking about the 4th and the 5th of February. If we see something similar to that, depending how we finish up today, if we finish up near the high of the session and the candle closes well above yesterday's high above the body, it could be a sign that we're in for a move to the upside, and that wouldn't be a surprise, given that we have been moving aggressively lower recently. Should that be the case, we could look the head back up towards 120, or this yellow line here was really moving average in a one-spot 2033. On the flip side, if it didn't manage to turn over on itself and we take off today's low, we could be hanging back down towards one-spot 18, a level last seen in late November. Speaking of the currency theme, looking over now, it's coming up the pound versus the US dollar. The pound hit its highest level, going on in about two and a half, nearly three years against the US dollar in late January. Since then, it's been a bit of a pullback, but notice how even though it did move to the downside, it didn't even get as far back as this blue line here, the fifth of the moving average. While we hold above that metric in a one-spot 3765, it's likely that the broader upward trend is going to continue. Should that be the case, we could look ahead and back up towards one-spot 40, and then beyond that, if you're looking at retesting the multi-year high in a one-spot 4241, any moves to the downside could find support from the fifth of the moving average, the blue line there, and then if you go beyond that, you'll find support from the one-hundred moving average, well, just north of one-spot 35. Looking at what's going on with the gold market. So we talked about how, talk about currencies there. If you are going to be trading gold, it's worth you while keeping in mind what's going on with the US dollar. Gold's trading US dollar, so a firm of dollar tends to hurt gold, which is something that we've probably seen here recently. Notice how we've talked about how we've had sell-offs of zero dollar and sell-offs in pound dollar. The stronger dollar is a common theme there, and what you know, we're seeing a move to the downside in gold. But, so if you do continue to kind of push on lower from here, if you go back below seventeen-hundred, you could be heading back towards the lows of late May, back towards sixteen-seventy, and then if you have a thirty-size of break below that, it could take us back down towards this yellow line here, the one-hundred moving average. We've actually had support back in November 2019, and the one-hundred moving average comes into play at sixteen-forty-eight. But what we are seeing here is we've had a clear, you know, near-turned negative trend, but we are seeing a relatively long wick on this candle. So this kind of potential has the potential to be a doji, so which should that be the case that often denotes indecision? Not to say that the market's going to turn around again, but it could mean that there is indecision potentially on the horizon. And if that is the case, that could lead to a bit of a reversal. And if you do turn lower, turn higher from here, it could be like me heading back and forth, eighteen-hundred. But we really need to get above the blue line here, the fifty-moving average in eighteen-twenty-seven. Notice I've acted a few occasions as a support. We need to kind of retake that in order to be more confident of the upward trend continuing. That should that be the case. We could then be looking at it towards nineteen-hundred and then up towards the highs of early January. And lastly, I take a look at what's going on with Brent crude oil. Brent crude oil, cash contract, yesterday traded north of $70 a barrel. It has retreated ever so slightly since. It's in a strong upward trend. I'll just assume out here, it's in a strong upward trend. If the broader bullish trend continues, we could then be looking at targeting seventy-five spot seventeen, a level last seen in April of twenty-nineteen. If we do move to the downside on Brent crude rather, we could look to head back down towards the lows of early March, in around sixty-three spot eleven. And if you go below that, we can head back down towards this blue line here, the fifty-day moving average in cash. We'll just sell the sixty dollars a barrel, fifty-nine spot forty-nine. So that in the horizontal between sixty bucks and fifty-nine spot forty-nine could act as support. That's all from this video. Thank you for listening. Have a good training week. Have a good training day. Have a good training week.