Connect with us

Analysis

Daily Analysis: NASDAQ on New High Again as Tech Giants Report Blowout Numbers

Published

on

Friday Market Recap

// -- Discuss and ask questions in our community on Workplace.
Asset Current Value Daily Change
S&P 500 2388 0.25%
DAX 12470 0.14%
WTI Crude Oil 49.36 0.96%
GOLD 1266.00 0.26%
Bitcoin 1317 -0.08%
EUR/USD 1.0918 0.42%

 

Google’s parent company Alphabet and Amazon both posted great first-quarter numbers yesterday and the NASDAQ surged to new highs again overnight. The leaders of the current bull market remain very strong, although, on a negative note, only 5 companies (Facebook, Apple, and Microsoft are the other three) account for almost one-third of the whole market’s gains this year. This “narrowing” of the rally is typical late cycle behavior, giving an early warning sign for long-term investors. On the economic front, the prelim US GDP number came in at 0.7%, well below the expected 1.3%, which is the lowest number in three years.

The Dollar got weaker compared to the major European currencies again, as the Pound continues its quiet rise towards the 1.30 level. The Euro was helped by the slightly higher than expected Eurozone inflation number, while the Yen remained under pressure, following the Bank of Japan’s monetary statement. Oil bounced back strongly yesterday afternoon, but remains below the $50 level, while gold is still stuck just above the $1262 support that we have been monitoring for a week now. Safe-haven assets are still weak, but gold is relatively strong despite the broadly positive sentiment.

// -- Become a yearly Platinum Member and save 69 USD and get access to our secret group on Workplace. Click here to change your current membership -- //

GBP/USD, 4-Hour Chart Analysis

Crytpocurrencies continue to be in the center of attention, as Bitcoin continues to trade near is new highs, while most of the majors are also pushing higher. Volatility and rotation are the names of the game today, as Ripple, Dash, Ethereum, and Monero are among the gainers, while the previously strong Ethereum Classic and NEM are in a short-term correction, and Litecoin is virtually unchanged for the day. Ethereum has held on to its break-out gains well, as it now trades near the $65 level.

Ethereum, 4-Hour Chart Analysis

Technical Picture

The DAX has been suspiciously weak following the “French Election Rally”, as it failed to follow the NASDAQ higher in the second half of the week. The benchmark is still well within the rising trend channel, despite the recent consolidation, holding above the previous top at 12,375. The 12,500 level could be in focus in the coming days, but the current weakness suggests a swing lower towards the lower boundary of the trend channel next week. The MACD is signaling a bearish cross in overbought territory, providing a warning for short-term bulls.

DAX, 4-Hour Chart Analysis

Key Economic Releases on Friday

Time, CET Country Release Actual Expected Previous
10:30 UK Prelim GDP 0.30% 0.40% 0.60%
8:00 GERMANY Retail Sales 0.10% 0.10% 1.80%
14:30 US Advance GDP 0.70% 1.30% 2.10%

 

Key Economic Releases on Monday

Time, CET Country Release Expected Previous
13:45 UK Treasury Sec Mnuchin Speech
14:30 GERMANY Personal Spending -0.10% 0.20%
16:00 US ISM Manufacturing PMI 56.6 57.2
Important: Never invest money you can't afford to lose. Always do your own research and due diligence before placing a trade. Read our Terms & Conditions here.



Feedback or Requests?

Click to comment

You must be logged in to post a comment Login

Leave a Reply

Analysis

Technical Analysis: Bitcoin Up Again as Altcoins Mixed in Volatile Trading

Published

on

Bitcoin is at a new all-time high today, although the momentum of today’s move is far below from what we saw recently, and the coin only managed to reach a marginal record high yet again. BTC is now worth $300 billion, and it is still trading right at the short-term trendline, inside a rising wedge pattern that shows a clear momentum divergence.

// -- Discuss and ask questions in our community on Workplace.

With the short-term trend still being intact further gains are still possible, but as all the majors are overbought from a long-term perspective, we still advise investors to wait for a better buying opportunity before adding to their holdings. Primary support is still found near $13,000, with further levels at $11,300, $10,000, $9000, and stronger levels at $8200 and $7700.

BTC/USD, 4-Hour Chart Analysis

// -- Become a yearly Platinum Member and save 69 USD and get access to our secret group on Workplace. Click here to change your current membership -- //

 XRP entered a volatile short-term correction after its two-day surge after giving a short-term sell signal yesterday, and the coin spiked back towards $0.60 before settling down just below yesterday’s highs. The long-term setup also turned overbought thanks to the almost 300% rally, and now investors should reduce their holdings, even as further gains are still possible. Major support is still found at the prior high near $0.4250 and in the $0.30-$0.32 range.

XRP/USDT, 4-Hour Chart Analysis

(more…)

Important: Never invest money you can't afford to lose. Always do your own research and due diligence before placing a trade. Read our Terms & Conditions here.



Feedback or Requests?

Continue Reading

Analysis

Cryptocurrency Analysis: Ripple Continues Rampage as Litecoin and Ethereum Enter Correction

Published

on

Ripple remained in the center of attention in the segment after breaking out to a new all-time high yesterday, and the coin almost doubled in value, climbing above the $0.80 level. The currency concluded a 6-month long consolidation pattern with the move after being the only major on a long-term buy signal in our trend model.

// -- Discuss and ask questions in our community on Workplace.

XRP gave a short-term sell signal today, while turning neutral regarding the long-term setup. Investors now shouldn’t add to their positions, although further gains are still possible, and reducing holdings somewhat is a good idea here. Major support is still found at the prior high near $0.4250 and in the $0.30-$0.32 range.

XRP/USDT, 4-Hour Chart Analysis

// -- Become a yearly Platinum Member and save 69 USD and get access to our secret group on Workplace. Click here to change your current membership -- //

While Bitcoin stagnated, and Bitcoin Cash jumped, Ethereum, Litecoin, Dash, and IOTA has been drifting slightly lower, although the recent gains are still mostly intact, and the basic setup in the segment is unchanged.

Litecoin fell below the $300 level after yesterday’s consolidation, and the coin faced strong selling pressure in the latter half of the session. The currency remains extremely stretched regarding the long-term momentum indicators, and although the short-term uptrend is still intact, a deeper correction is likely in the coming weeks, with key support levels found at $125 and $100, and weaker levels at $260 and $170.

LTC/USD, 4-Hour Chart Analysis

(more…)

Important: Never invest money you can't afford to lose. Always do your own research and due diligence before placing a trade. Read our Terms & Conditions here.



Feedback or Requests?

Continue Reading

Analysis

Daily Analysis: Dollar Falls, Gold Jumps after Yellen’s Final Move

Published

on

Wednesday Market Recap

Asset Current Value Daily Change
S&P 500 2668 -0.02%
DAX 13125 -0.45%
WTI Crude Oil 56.65 -0.68%
GOLD 1258.00 1.35%
Bitcoin 16,100 -6.32%
EUR/USD 1.1842 0.73%

The Federal Reserve hiked interest rates as expected today, and although the central bank’s monetary statement was slightly more hawkish than expected, the market’s reaction didn’t reflect the much-anticipated move. The worse than expected Core CPI reading that underlined the low-inflation narrative weighed on the recently strong Greenback, while stocks were unchanged after decision and bonds gained ground as yields retreated.

// -- Discuss and ask questions in our community on Workplace.

EUR/USD, 4-Hour Chart Analysis

The major indices are hovering near their all-time highs with the DOW leading the way higher, hitting a new record for the second day in a row. While volatility Is expected to remain low as we approach the end of the year, market internals and valuation levels are still concerning from a long-term perspective, and stocks outside the US are also negatively diverging. The action in crude oil could be slightly more interesting as the commodity is starting to act in a slightly bearish manner after a grinding multi-month rally.

// -- Become a yearly Platinum Member and save 69 USD and get access to our secret group on Workplace. Click here to change your current membership -- //

WTI Crude Oil, 4-Hour Chart Analysis

The Brexit process is still in the center of attention in Europe, although volatility took a nosedive on the old continent as well, and it’s unlikely that the Christmas period will be much different, given the predictable drop in volumes and trading activity. The date of the next election in the financially and politically troubled Italy has been set to March 4th next year, and the early date caused some turmoil in the countries assets, which dragged the Euro Stoxx 50 lower today, together with the DAX and the other major indices.

Cryptocurrencies

As the total market cap of the crypto-market crossed the incredible $500 billion mark, Ripple, NEO, and Ethereum made headlines with lofty gains in the face of the severely overbought readings elsewhere in the segment. While XRP and NEO are still not overbought from an investment perspective, Ethereum reached our final target for its break-out and triggered a long-term sell signal.

ETH/USD, 4-Hour Chart Analysis

The previously surging IOTA continued its correction, Litecoin consolidated in a relatively narrow range, while Dash, ETC, and Monero scored marginal new highs before turning lower together with BTC. The most valuable coin that has lost some of its momentum “mojo” in recent days fell back below last week’s highs, and that could mark a failed break-out and a start of the deeper correction that seems more and more likely.

BTC/USD, 4-Hour Chart Analysis

Key Economic Releases on Wednesday

Time, CET Country Release Actual Expected Previous
11:30 UK Average Earnings 2.5% 2.5% 2.3%
11:30 UK Claimant Count Change 5,900 3,300 6,500
11:30 UK Unemployment Rate 4.3% 4.2% 4.35
15:30 US Core CPI 0.1% 0.2% 0.2%
15:30 US Crude Oil Inventories -5.1 mill -3.6 mill -5.6 mill
21:00 US Fed Rate Decision 1.5% 1.5% 1.25%
21:00 US FOMC Statement

Featured image from Shutterstock

Important: Never invest money you can't afford to lose. Always do your own research and due diligence before placing a trade. Read our Terms & Conditions here.



Feedback or Requests?

Continue Reading

Trending