Today's Important Indicators
Forex markets held firm against US – China trade war in the Wednesday session seeing majors closing somewhat unchanged. Euro, Pound and the US Index were steady while commodities overcame initial weakness. UK Services PMI, Canadian Trade and US Unemployment Claims patiently waited.
Today's Forecast for Important Trading Indicators
BTCUSD – Bitcoin falls as demand for cryptocurrencies subsides following regulatory compliance.
Bitcoin price moved lower yesterday following fears of exchanges shutdown amid Japanese regulatory compliance and bitcoin-related ponzi scheme news reported on the media. Price found floor at the $6500 support, forming a double bottom and from here it is likely that it will extent higher as the MACD turns positive while the signal lines experience a cross over.
BTCUSD 1-HOUR CHART
MARKET MOVERS
EURUSD – Euro rejected at ascending trendline on initial north spike, ends mixed. Euro-Dollar spiked above $1.23 intraday following new escalations in the widespread US – China trade war but failed to sustain gains as Dollar fought back. Price remained below the ascending trendline after a failed attempt to break back above, making the pair somewhat bearish despite trading around golden ratio. A break below 1.2255 could confirm the bearish bias.
EURUSD -HOUR CHART
GBPUSD – Cable keeps moving higher on moderate steps yet indecision candles pose threat. The British Pound ended the session with an indecision candle for a 4th consecutive session yesterday despite a poor Construction PMI release. Price remained above the ascending trendline drawn on the chart, which adds some southern bias, as an early attempt to break below failed. Services PMI eyed while the pair sits above the 38.2% Fibonacci retracement.
GBPUSD 4-HOUR CHART
USDJPY – Dollar declines 55 pips amid China retaliation, recovers all losses as risk returns. Dollar-Yen fell to a daily low of 105.95 in the Wednesday session after safe-haven demand rose on concerns over trade wars. The pair recovered all losses and turned somewhat positive by forming a bullish hammer canlde ending right by the strong resistance at 106.78 after Trump’s tweet that US is not in trade war with China. Investors shift focus on the Jobless Claims report ahead of widely expected NFP.
USDJPY 4-HOUR CHART
USOIL – Oil under pressure following trade war escalation, reverses on huge Crude draw. WTI lost $1.50 intraday early on Wednesday as trade war concerns between US and China continued to escalate, putting Oil as well as Equities under pressure. The black gold reverses all and recovered all losses following a shift in investor sentiment and a surprisingly big inventory draw in Crude Oil stocks. Price ended forming a very bullish “hammer” that closed the session right at where it started.
OIL 4-HOUR CHART
XAUUSD – Gold surges to $1348/oz affected by Trump’s tariffs, edges lower as fears ease. Gold appreciated yesterday as demand for the safe-haven returned back to the market following trade war escalations after China retaliated US tariffs. The precious metal posted $16/oz gains intraday but ended right where it started at the 50% Fibonacci retracement at $1332/oz. With willingness for negotiations markets are likely to focus on the NFP for the rest of the week.
XAUUSD 4-HOUR CHART
US Indexes – DJ rose by 0.96 %, S&P 500 soared by 1.16%.
European Indexes - UK 100 surged by 1.34%, DE 30 saw a huge 1.80% increase.
Asian Indexes - ASX 200 appreciated by 0.41%, Nikkei 225 jumped 1.53% higher, Hang Seng plunged by 2.19%.
US Equities – Tesla climbed a massive 7.26% higher, Twitter followed with a 2.58% increase.
Stavros Tousios is an experienced forex market specialist who provides insightful market analysis to traders of popular currency pairs, stocks, commodities and indices. With a focus on technical analysis, he closely analyses present and historical market data in order to provide our clients with any relevant information which may help in making their strategic trading decisions.