NASDAQ 100 SOARS AFTER STRONG AMAZON, PINTEREST, SNAP EARNINGS

American technology equities did well in the futures market after the strong quarterly results by Amazon. Futures tied to the Nasdaq 100 index rose by more than 140 points while the Dow Jones retreated. In a report on Thursday, Amazon said that its revenue rose to more than $137 billion from $125 billion in the previous year. While its costs rose, its profit almost doubled to $14.3 billion. As a result, its stock jumped by more than 10% in premarket trading. Meanwhile, Snap’s shares jumped by over 50% while Pinterest rallied by 20% after the social media companies published strong results.

The price of crude oil continued rallying today as investors anticipated that demand will keep rising. Brent, the global benchmark, rose to a multi-year high of $92.87 while West Texas Intermediate (WTI) rose to above $90. Analysts expect that demand will continue rising as supply remains low. In its monthly meeting this week, OPEC said that it will boost daily production by just 400k. There is also a possibility that supply will decline if the US applies sanctions on Russia.

The US dollar declined against top currencies after the latest jobs numbers. According to the Bureau of Labor Statistics (BLS), the US created 467k jobs in January after it added 510k in the previous month. The government payrolls rose by 23k while the private sector added 444k jobs. The report was better than the ADP estimates that showed that the economy lost 310k jobs. Meanwhile, the country’s unemployment rate rose to 4.0% while wages jumped to 5.2%. Elsewhere, in Canada, the country lost 200k jobs while the unemployment rate rose to 6.5% as the Omicron variant spread.

XBRUSD

The XBRUSD pair rallied as investors priced in higher oil demand. It is trading at 92.17, which was the highest level in almost 8 years. The pair moved above the 25-day and 50-day moving averages. It also jumped above the key resistance level at 89.57, where it struggled moving above several times this year. The MACD also moved above the neutral level while the Average True Range (ATR) kept rising. Therefore, the price will likely keep rising, with the next target being at 95.

EURCHF

The EURCHF pair jumped to a multi-year high of 1.0595 as investors reflected on the hawkish statement by Christine Lagarde. On the four-hour chart, the pair moved along the upper side of the Bollinger Bands. It also rose above the short and medium-term moving averages while the Average True Range rose to the highest level in months. Therefore, the pair will likely end the week at these elevated levels.

EURUSD

The EURUSD rallied for the second straight day as investors reacted to the ECB decision and US jobs data. It rose to a high of 1.1482, which was the highest level since January. On the four-hour chart, the pair moved above the 25-day moving average and the Ichimoku cloud while the RSI moved above the overbought level. The pair will likely have a pullback in the coming week.