Join us as we follow the market’s most significant events and provide technical analysis of the most important financial assets, so you are more aware of the factors driving daily price changes and economic data.
Today’s Economic Calendar
We follow today’s events in GMT:
– At exactly six o’clock in the morning, the consumer price index in Britain on an annual basis for the month of May, and the core consumer price index, that is, excluding food and energy.
– 12:30 PM Canadian retail sales on a monthly basis for the month of April, core retail sales excluding automobiles.
– At 2 p.m. Federal Reserve Governor Jerome Powell testifies before the US Congress.
Top News in Global Markets:
Yesterday’s highlights:
– From the Federal Statistical Office in Switzerland, the trade balance for the month of May was released, and it was higher than expected, which means more exports than imports, which is good for the economy.
German PPI came in below expectations on a monthly basis for May.
– US indices declined, and the Dow Jones Industrial Average fell by 245 points.
And in the morning:
– The Japanese Nikkei index increased by 102 points, and the Hang Seng index in Hong Kong increased by 373 points.
– Bitcoin price increased by more than 824 points, to record $28,760.
Gold fell to $1947 an ounce.
– The US dollar index rises to 102.14 against a basket of major currencies.
We are waiting during the hours of the day:
– UK consumer price index on an annual basis for the month of May.
– Canadian retail sales index on a monthly basis for the month of April.
Federal Reserve Governor testimony before Congress on monetary policy.
Technical Analysis
Dollar Index – 1 Hour Timeframe
The US dollar index is still moving weakly around the resistance level of 102.20 points, after it tried to breach it yesterday, Tuesday, to complete the bullish corrective movement.
Technically, we expect that if the resistance level around 102.20 points is breached, we will target more Bullishness during today’s trading to the next resistance level around 102.60 points, which we expect the bullish correction to end around and the index to decline again.
Gold – 4 Hours Timeframe
The yellow metal continued its decline yesterday, Tuesday, to its lowest level during the week, as prices reached $1929.38 before Federal Reserve Chairman Powell testifies before Congress.
Technically, gold is trading below the Moving Average of 100 for the 4-hour period. We expect prices to continue falling until 1916.55 levels, provided it continues below the 1941 USD resistance.
US Dow Jones – 1 Hour Timeframe
The Dow Jones industrial index continued its decline yesterday, after breaking the level of 34,145 points, to trade around the support levels of 34,050 today on the short-term intervals.
Technically, the index is trading below the averages for a period of 20.50 days, so by breaking the current support level around 34050, we expect a further decline on the index and target support level around 33775 points.
US Crude Oil – 1 Hour Timeframe
US oil rose after rebounding from the $69.58 support yesterday, Tuesday, to reach $71.53.
Technically, oil is trading above the 100-hour moving average, after reaching 61.8% Fibonacci resistance around $71.53. We expect oil to continue rising to $72.00, provided it continues above the $71.00 support.
Bitcoin – Daily Timeframe
The digital currency Bitcoin rose yesterday to its highest level since last May, touching $29,000 levels, before bouncing slightly this morning to trade around $28,800.
Technically, the bullish trend of Bitcoin continues above the 100-day moving average, and we expect some corrections down around 28,000, before returning to rise again towards 29,500 USD.
EUR/USD – 1 Hour Timeframe
The ( Eur / USD) pair completed its corrective decline on the short-term intervals in weak trading since yesterday, to continue trading below the averages for a period of 20, 50 per day.
Technically, we expect the pair to continue the decline and the bearish corrective move, targeting the support levels around 1.08830.
GBP/USD – 1 Hour Timeframe
The pound sterling pair rose against the dollar after the positive inflation numbers from the United Kingdom this morning, touching the price of 1.2800, before returning again, awaiting Fed Chair Powell’s Testifies
today.
Technically, the pair is trading below the 100-hour moving average and around the 38% Fibonacci correction area. If it continues below the 1.2800 resistance, we expect the drop to continue towards 1.2700, and if it is broken, the drop will continue to 1.2680 levels.
GBP/JPY – 4 Hour Timeframe
The (GBP / JPY ) pair continued to rise since yesterday, Tuesday, after retreating in an attempt to retest the support levels around 180.55 yen,
Technically, we expect the pair to continue moving upwards during today’s trading, targeting the resistance levels around 183.30 yen.
