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Today’s Economic Calendar
GMT we follow today:
We follow today in GMT:
– At exactly eight o’clock in the morning, the Zew Institute index of economic expectations for the month of July in Switzerland.
– At 2 pm the new home sales index in the US for June.
Half an hour later, the weekly report of US crude oil inventories will be issued.
– At 6 p.m. the Fed rate decision.
Top News in Global Markets:
Yesterday’s main events:
– In the US, the Consumer Confidence Index came in above expectations for the month of July.
– From the Federal Reserve Bank of Richmond the manufacturing index was similar to expectations for July.
And in the morning:
– From the Australian Bureau of Statistics, the consumer price index was less than expected, for the second quarter of the year, while the same indicator on an annual basis for the month of June was similar to expectations.
– The US dollar index settled at 101.07 against a basket of major currencies.
Today’s hours are expected:
– US crude inventories, which is the weekly report issued by the US Energy Information Administration.
The interest rate decision of the Federal Reserve Bank.
Technical Analysis
Dollar Index – 4 Hours Timeframe
The US dollar index is trading in a weak performance since the first hours of trading today,hold on trading around 101.33 points, coinciding with the decline in purchasing power on momentum indicators.
Technically, the index is now touching the 20-day moving average, which is compatible with the support levels around 101.33 points, so the index is likely to trade slowly below the support levels around 101.33, targeting support levels around 100.65, especially in case of increasing selling pressures with the issuance of the monetary policy decision today.
Gold – 1 Hour Timeframe
The yellow metal is trading sideways this morning between 1966 and 1962 as investors await the Fed’s decision followed by Jerome Powell’s press conference.
Technically, gold is trading below the 38% Fibonacci retracement area, which we expect, if breached, the rise will continue towards 1972.25 USD.
US Dow Jones – 1 Hour Timeframe
The Dow Jones industrial index has declined since yesterday’s closing trading, after rebounding from the resistance levels around 35555 that we mentioned yesterday.
Technically, the index is now trading below the 20-day moving average in a weak bearish performance, so the index is likely to bounce around the 50-day moving average upwards, to target the resistance levels around 35555 again during today’s trading.
US Crude Oil – 1H Timeframe
US oil retreated from its highest level since April 19 at $79.95 to trade today near 79.00, awaiting the US Federal Reserve’s decision today, Wednesday.
Technically, oil is still gaining bullish momentum despite the continuous decline since yesterday. Prices are trading inside the bullish channel, and we expect oil to resume the upward trend towards the main resistance level of $80.25 per barrel
Bitcoin – 1D Timeframe
Buyers are trying to continue to the highest level of $29,000. The International Monetary Fund announced that Bitcoin and cryptocurrencies are not official currencies, which led to the decline of the currency and its market value.
Technically, the digital currency is trading around the 38% Fibonacci area and near the 100-day moving average. We expect the drop to continue towards $28,400, which is our target since the beginning of the week.
EUR/USD – 4 Hours Timeframe
The (Euro / Dollar) pair continued its decline yesterday, settling in trading below the support levels around 1.1090 that we mentioned, rising slightly with the first hours of today’s trading.
Technically, the pair is likely to rebound to the upside during today’s trading from around the support levels of 1.1000, and targeting the resistance levels around 1.10900 again, as the markets await the statement of the Federal Open Market Committee today.
GBP/USD – 1 H Timeframe
The GBP / USD pair rebounded from the level of 1.2875 in the early hours of this morning, to trade near 1.2900 dollars before the meeting of the Federal Open Market Committee.
Technically, the pair is trading above the 200-hour moving average, after the buyers succeeded in breaching the 50% Fibonacci correction area. We expect the correction to continue upwards until the 38% Fibonacci level at $1.2930.
GBP/JPY – 4 Hours Timeframe
The (GBP/JPY) pair continued to fluctuate around 181.55 levels, trading above the day within the prevailing sideways move over medium-term intervals, with the continuation of the positive intersection of the moving averages.
According to the technical outlook, the pair is likely to continue its rise during today’s trading, targeting the resistance levels around 182.30, and in case of a breach, we will target 183.25 yen..
