Bitcoin And Ethereum Daily Price Forecast – Major Crypto Coins Scale Critical Price Handles Once Again

Cryptocurrency market is seeing yet another attempt by bulls to scale critical price levels today. While major cryptocurrencies saw consolidative and corrective price rally during Pacific-Asian market hours, the market saw bulls push for another positive price run during early European market hours. This move saw bulls erase all loss from early decline and move back above critical price levels which have acted as critical resistance levels to the upside since last weekend. Bitcoin moved above $5000 handle while Ethereum moved above $160 handle post which both cryptocurrencies saw rangebound price action slightly higher than above-mentioned price levels through rest of European market hours.

Corrective Rally & Profit Booking Erases Billions From The Market

If both BTC/USD and ETH/USD see price action move steady above the critical price handles mentioned above, the scenario will be viewed as both the crypto coins having found stable foothold over $4000 & $150 handle and are preparing to scale next long term target of $6000 & $180 respectively. As cryptocurrencies go crazy and see a sharp upward surge breaching multiple key resistance along the way, overall market capitalization of cryptocurrency market is also growing vastly. During the sharp upsurge to new 2019 highs earlier this week, overall market capital rose to US $185 billion, it has since receded and is currently near $175 billion as profit booking activities and corrective price action post sharp gains earlier this week has wiped out more than $10 billion from the market.

But compared to recent past, and the rate of growth in Bitcoin and other legacy cryptocurrencies, a full-fledged recovery rally with stability above $5000 handle and $160 handle in Bitcoin and Ethereum could see the lost value get restored in the market in less than a month. Investors have likely prepared for the chance of sharp growth of market capital and increased trading activity/volume during weekend given history from the recent past. It is essential that market sees both Bitcoin and Ethereum maintain the pace of ongoing rally for quite some time in immediate and near future trading session with rally gaining stability over the gains made for the scenario to recover back losses from the latter half of 2018 and see further gains. The weekend ahead is likely to be highly active with significant level of trading volume regardless of which direction the price of both pairs see as a failure for bulls to continue riding the wave will result in market losing all gains made so far this week, leaving the price action in Bitcoin and Ethereum back at $3800/$3900 and $130/$140 handles respectively.

Please feel free to let us know what you think in the comments below

USD/CAD Price Forecast – US Dollar Gains Ahead of US NFP Update

The USDCAD pair yesterday saw rangebound price action with bearish bias yesterday on positive price action in the crude oil market. The pair even fell below mid 1.33 handle during American market hours as the trading session came to close for the day owing to a spike in crude oil price action. Further, better than expected Canadian IVEY PMI helped the pair maintain rangebound price action near intra-day lows across American market hours. However, the lack of further headlines pertaining to Sino-U.S. trade talks aside from the usual started weighing down investor sentiment. This resulted in Loonie losing its edge and control of the rally against the US dollar resulting in steady upward price action across the day.

Weak Crude Oil Price Underpins USD Bulls

However, news of US President Donald Trump’s comment came in as saving grace. Trump commented that the two nation’s presidential summit will occur within the next four week and trade deal will be signed between two nations. While the pair saw steady upward price action, renewed risk appetite supported by optimism surrounding trade talks capped US Greenback’s positive price rally. But positive fundamental support for US dollar from upbeat US Treasury Yields helped the pair maintain rangebound price action in the global market. Crude oil – the commodity which is linked to Canadian Dollar saw subdued price action post scaling new 2019 highs in the previous session. Mixed cues from the global market were the reason for the decline in crude oil price action.

Dovish cues from Crude oil capped Canadian Dollar’s momentum despite the prevalent risk on investor sentiment supporting positive price action of the US Dollar in the global market. Investors now await macro data updates for short term profit opportunities and directional cues. Canadian Calendar will see the release of first tier Employment change and second tier unemployment rate updates while the US calendar will see the release of first tier Unemployment rate and Non-Farm Payroll data updates and second tier Average hourly earnings index data updates. When looking from a technical perspective, the pair lacks directional bias having found resistance to the upside. Based on the macro data outcome, positive Canadian and US macro data will lead to continued rangebound price action. A negative Canadian macro data will favor moving towards 1.34 handle while negative US macro data will result in the pair moving towards previous session lows as the trading session comes to close for the week.

Please feel free to let us know what you think in the comments below. 

Precious Metals Bleed Red On Mixed Cues From Geopolitical Events

Precious metals market is seeing the top two popular safe haven metals trade on opposite ends. Owing to its lower cost and relatively stable price action in the market, and the fact that Silver fell sharply during the previous session making it even cheaper than before, investors across the globe today chose Silver as most preferred safe haven asset. This helped the price of Silver climb back above $15 handle in the spot market today and as of writing this article, spot Silver XAGUSD is trading at $15.12 per ounce down by 0.17% on the day. While silver’s decline is relatively limited post rebound and has recovered most of its loss from the previous session, gold is still suffering bear’s influence in the global market.

Crude Oil Declines Post Hitting New 2019 Highs

While gold found some support yesterday owing to the decline in European equities, overall risk on investor sentiment and resulting profit booking activities took the price to 10-week lows during American market hours. However, mixed signals in the market owing to lack of progress in both Brexit and Sino-U.S. trade talks helped the yellow metal rebound from overnight lows. However, conflicting headlines continues to underpin both bulls and bears in the Asian and European market today. This has resulted in both equity and forex markets seeing rangebound price action in the global market. Further, US dollar in which the precious metals are denominated is also trading positive in the global market.

This has resulted in the price action of gold being trapped within $1285-$1290 handle for the majority of today’s market hours. As of writing this article, spot gold XAUUSD is trading at $1287.74 per ounce down by 0.35% on the day while spot silver XAGUSD is trading at $1291.60 per ounce down by 0.20% on the day. Crude oil saw positive price action in Pacific-Asian market hours with price of Brent Futures breaching $70 per barrel for the first time this year. However, the gains were short-lived as mixed cues in the international market saw bear gained greater hand. Lack of headlines hinting at progress in Brexit and Sino-U.S. trade talks took a toll on the outlook for future demand in crude oil resulting in subdued price action. Spot Crude oil WTIUSD is trading at $61.87 per barrel down by 0.27% on the day.

DAX Index Daily Price Forecast-

European equity markets saw mixed price action on major European stock exchanges yesterday. Factors such as easing optimism surrounding Sino-U.S. trade talks, lack of update hinting at further developments on both Brexit and Sino-U.S. trade talks and disappointing Euro area macro data adding strong bearish influence to the market affecting investors risk appetite in European markets. This resulted in major benchmark indices and key equities across Europe closing on a dovish note. However, the market still saw mixed activity as overall investor sentiment in the global market has yet to turn dovish completely.

Geopolitical Woes Hamper Bull’s Progress

Lingering hopes for the possibility of delay in Brexit and hopes for an announcement of Presidential summit date to sign a trade deal between China and U.S.A during the ongoing trade talks in Washington continue to underpin market bulls to some extent in the global market. German equity market saw mixed price action in Frankfurt stock exchange yesterday. While the DAX index closed positive with 0.28% increase in the value, the other two most-watched German indices MDAX and TECDAX were down by 0.35% & 0.22% on the day. Out of the total 778 stocks trading in the exchange, 353 stocks closed in green while 351 stocks closed in red while 74 stocks closed unchanged at end of the trading session.

As per data on the performance of sectoral indices, stocks from Food and Beverage, Consumer and cyclical & telecom sectors saw high gains while stocks from Retail, Utilities and Financial sector shares saw a high level of loss. Asian market saw positive price action in most major stock exchanges and benchmark indices but the Hong Kong market saw relatively mixed price action. The mixed price action is the result of multiple headlines in the market which underpins risk appetite. However, concerns of lack of progress in major events underpin market bears resulting in dovish cues that facilitate mixed momentum. DAX futures trading in the international market ahead of European market opening were up by 0.24% on the day. This suggests that DAX index is likely to open positive but see rangebound price action across the day on mixed investor sentiment in the market.

Please feel free to let us know what you think in the comments below. 

GBP/USD Price Forecast – Sterling Recovers Ahead of US NFP Update

The GBPUSD pair saw a sharp downward price action yesterday. While the passing of copper amendment in UK parliament earlier this week influenced some level of positive price action, the rally was for naught. The pair failed to breach 1.32 handle once again earlier this week and this resulted in sharp declines. Investors await headlines hinting at solid progress on Brexit front. With April 12 deadline approaching closer each passing day, the influence from positive headlines fails to linger for a longer period of time unlike before. Since EU has already granted a deadline extension once and there have been no attempts from UK PM May to request another deadline extension, traders are beginning to wonder if the UK will really see a hard Brexit.

Range Bound Action To Continue Owing To Lack Of Solid Progress in Brexit

A lack of update on progress post collaboration between PM May and opposition party leader Jeremy Corbyn has resulted in all positive influence gained from the update completely evaporating in the market. Meanwhile, optimism surrounding Sino-U.S. trade talk related headlines which had been providing support for market bulls from the international market has also eased away owing to lack of headlines hinting at details on solid progress. While there are comments from US officials on trade talks seeing positive progress, traders have gotten used to this vague comment and this update is no longer able to saw market bulls. With US Dollar growing stronger in the market, the pair has maintained range-bound price action slightly above previous session lows in Asian market hours.

Hopes and expectations that the UK will find a way to alleviate concerns on hard Brexit outcome today helped British Pound recover further, during late Asian, early European market hours. As of writing this article, GBPUSD pair is trading flat at 1.3083 up by 0.04% on the day. While Brexit headlines remain the main driving force and controlling factor behind Sterling bulls, traders are looking at macro data updates for short term profit opportunities and trading cues as the trading session comes to close for the week. UK calendar will see the release of Halifax house price index data while the US calendar will see the release of NFP update, Average hourly earning index data and unemployment rate update. In immediate and near future trading sessions the pair will continue to trade range bound trapped between 1.3200 and 1.3000 handle unless there is solid progress on Brexit front. Expected support and resistance for the pair are at 1.3060, 1.3028, 1.3000 and 1.3125, 1.3165, 1.3200 handles respectively.

Please feel free to let us know what you think in the comments below.

 

EUR/USD Price Forecast – Euro Recovers From Previous Session Lows Ahead of US NFP Update

The EURUSD pair yesterday saw rangebound price action that closed on a dovish note. The decline in European equities, easing optimism surrounding Sino-U.S. trade talks which caused risk appetite to decline and dovish macro data from the EU are the major reason for Euro’s decline in the broad market. However, hopes for positive progress on Brexit front continued to provide some level of positive support underpinning market bulls preventing sharp declines resulting in dovish price action but a low amount of loss in the European equity market. However, the Euro saw steady declines and went as low as $1.1205 post which the common currency began its rebound activity.

Geo-Political Issues Remain Major Driving Force

Risk appetite remained high in Asian market hours as investors who took to profit booking activities and cautious stance began to place speculative bets albeit in a small volume. This helped EURO slowly head towards mid-1.12 handle in Asian market hours. While the release of ECB meeting minutes didn’t add anything new to price action, it re-affirmed MPC members dovish comments from last month’s interest rate decision press conference. This has effectively created a strong resistance at mid 1.12 handle preventing sharp gains to the upside. As of writing this article, EURUSD pair is trading at 1.1227 up by 0.07% on the day.

Moving forward, investors await headlines on Sino-U.S. trade talks and Brexit progress for clarity of future proceedings which will dictate directional bias of the pair in medium to long term. However, in immediate future investors wait for macro data updates which will provide short term price movement cues and profit opportunities. On the release front today, the European calendar sees the release of second tier data updates while the US calendar sees the release of first tier data updates. European calendar will see the release of German industrial production data while the US calendar will see the release of Non-farm Payroll data, Unemployment rate, and Average hourly earning index data update. In immediate future, the pair remains trapped within a range of 1.1200 to 1.1250 handle which needs to be breached on either side for a breakout that would facilitate next leg of the rally to materialize and today’s NFP update from the US could likely trigger such a move.

Please feel free to let us know what you think in the comments below

Commodities Daily Forecast – April 5, 2019

Gold

The gold prices pulled back during Thursday’s session reaching down towards the $1280 level as the USD picked up a bit of steam. The 200 Day EMA underneath continues to offer massive support to the market and pullbacks like such will continue to be a nice buying opportunity. With job figures releasing today, the market will remain volatile and trade around the important level. …Read More

Silver

The silver prices rolled over a bit during yesterday’s session, reaching down towards the $15 level. In the long term, the market continues to look extremely positive and such pullbacks will offer nice value to the market. Due to job figures, which is expected later today, the silver prices will remain volatile with $15 level as a strong support. …Read More

WTI Crude Oil

The crude oil prices continue to struggle to break above the $62.50 level as the market is looking for a bit of push. The US job figures are releasing later today could be a catalyst, if favourable numbers are reported. The $60 level now should essentially be the floor of this market and is likely to attract buyers around. …Read More

Natural Gas

The natural gas market drifted lower during yesterday’s session, reaching down towards the $2.60 level. The natural gas market continues to be extremely bearish and rallies will continue to offer nice selling opportunity in the market. The $2.60 level underneath is strong support in the market which extends down to the $2.50 level, and a break below could send the prices towards $2.25 level. …Read More

Forex Daily Outlook – April 5, 2019

EUR/USD

The Euro rolled over during Thursday’s session from the much resistive and psychologically important 1.1250 level. At the moment, the pair is struggling to gain momentum to break above the range and is witnessing selling pressure on the top. The 1.12 level underneath is massive support and if it breaks below, then it will be extremely negative and reach down to 1.10 level. …Read More

GBP/USD

The British Pound pulled back slightly during yesterday’s session, as the pair continues to witness a lot of noise. The pair continues to be in a consolidation phase and has been using the 1.30 level underneath as strong support, while the 1.33 level above as strong resistance. Going forward, the pair is expected to be extremely volatile due to negative Brexit headlines and would attract a bit of selling on the top. …Read More

AUD/USD

The pair gained a bit of strength during yesterday’s session, reaching above the 0.71 level. But, in the long term chart, the pair continues to look weak and is likely to attract sellers on every rally. With job figures coming out later today, the pair is expected to remain choppy with 0.7050 level underneath offering strong support and 0.7250 level above acting as strong resistance. …Read More

USD/JPY

The 111.50 level continues to attract a lot of attention in the market as it rallied a bit during Thursday’s session. The pair in today’s session is likely to be a bit volatile as due to the US job numbers which expected later in the day. Favourable job data will help the pair to break above 112 level, and in case, it fails to meet the estimated, it could probably reach down towards the 110 level. …Read More

Bitcoin And Ethereum Daily Price Forecast – Major Crypto Coins Back In Consolidative Price Action

Cryptocurrency market this week has so far displayed signs which suggest that bulls have a solid grip on price action. The market saw consolidative price action in the early half of the week after weekends sharp boost of all major crypto coins above long term key resistance handles. However, bulls don’t seem to have given up on scaling new heights yet as Bitcoin and major crypto coins scaled new 2019 highs once again during Wednesday. But, a clear lack of fundamental support for bulls resulted in Bitcoin and legacy crypto coins failing to hold fort over yearly highs scaled so far this month.

Bulls Continue To Retain Hold Over Long Term Price Action

However, bulls have managed to make sure that the price of both Bitcoin and legacy cryptocurrencies remain well above critical resistance levels that limited gains for the majority of last month. That is to say in simple terms, Bitcoin remains above $4500 handle while Ethereum remains above $150 handle. Both the cryptocurrencies are seeing consolidative price action across Asian and European market hours. Price action in both BTCUSD pair and ETHUSD pair are currently well near price range from early week. However, a breach below last week’s high near $4600/$4500 handle for Bitcoin and below $150 handle for Ethereum would spell the end for ongoing positive price rally which will end in bears gaining control of overall price action.

Traders have now begun to speculate in cryptocurrency market is back into an action that will mirror the rally from December 2017 when Bitcoin and other major legacy cryptos hit new all-time highs. However, it remains to be seen yet if the market will really reach such heights as there are multiple key long term hurdles along the way which have to be scaled for reaching above mentioned price levels. The market is likely to see Bitcoin and major legacy crypto coins continue consolidative price action in immediate and near future trading sessions. A breakout below above-mentioned critical support would lead to a sharp corrective rally that could push the downside action all the way to key long term support levels while a breakout above weekend highs could result in price action aiming for new 2019 highs.

Please feel free to let us know what you think in the comments below

USD/CAD Daily Price Forecast – US Dollar Gains on Easing Risk Appetite in the Market

The USDCAD pair on Wednesday saw positive price action as Crude oil weakened over US Crude oil inventory stockpile data. A build up in US weekly stockpile put an end to Loonie’s positive price momentum. Meanwhile, the US dollar which had already begun to gain momentum since late Tuesday rose up to the opportunity and made solid upward price action. However, the upside move faced resistance owing to disappointing US ADP Non-farm payroll data. Later during the early Pacific-Asian market hours, the pair traded range bound in the global market. The market saw optimism surrounding Sino-U.S. trade talks ease over lack of further headlines with key updates on ongoing trade talks.

IVEY PMI Eyed For Directional Bias

This caused risk appetite to ease in the market, adding dovish pressure to an already weak Loonie. However, a rebound in crude oil price helped prevent the US dollar from building up a strong rally to the upside. Still, disappointing EU macro data and declining European equities greatly affected risk appetite in European market hours which gave solid positive support to US dollar bulls from a fundamental perspective. This helped the US dollar resume its upward price action from the previous session albeit on a slower scale. Despite the prevalent positive environment in the crude oil market such as an increased disruption to global supply from the middle east and an OPEC enforced production and supply cut agreements, Crude oil price is facing significant pressure to make further gains.

US EIA weekly crude oil stockpile data showed an increase in inventory of over 7.2 million barrels. The has put a sharp hurdle on the path for crude oil price action which has resulted in the price of WTI Crude oil being trapped below $63 handle. Canadian Dollar being a commodity-linked currency suffered a loss of bullish influence over this hurdle. Brent crude oil is also trading slightly below $70 per barrel, and when respective price handles are breached, Crude oil is likely to regain positive price action. But ahead of crude oil price scaling said price handles, investors are focusing on macro data updates for short term directional bias. US calendar is set to see the release of Initial jobless claims data and speech by Mester and Williams while Canadian Calendar will see the release of IVEY PMI data. A disappointing Canadian data will help USD see further gains while positive outcome will result in USD gains being capped near intra-day highs where the pair will continue rangebound price action in American market hours.

Please feel free to let us know what you think in the comments below. 

Precious Metals Subdued Owing to Healthy Risk On Trading Activity

Precious metals trade in red today across both Asian and European markets owing to healthy risk appetite in the market. Since trading session began for the week, equity and forex market are seeing positive price action across the globe. Optimism surrounding Sino-U.S. trade talks as investors hope for signs that both the countries will finally sign a trade deal and progress in Brexit in the UK which saw both leaders of ruling and opposition party collaborate to find a way out of no-deal Brexit are major contributors to positive price action in the market. Further, macro data also seems to be in support of positive price in major risk assets. Meanwhile, disappointing US macro data continued to hinder USD bulls preventing any sharp declines in the precious metals market.

Crude Oil Gains on Scope For Increased Demand

While risk appetite remains high in the market today, USD remains weaker resulting in rangebound price action with a bearish bias. Dovish price action in the European market also provided some support to the precious metals market. However, prevalent risk on investor sentiment continues to limit fund flow to precious metals market and further progress in geopolitical issues will boost risk on trading activity in the market. This suggests that the outlook for the precious metals market in immediate and near future trading session remains dovish. As of writing this article, spot gold XAUUSD is trading at $1287.08 per ounce down by 0.21% on the day while US gold futures GCcv1 is trading at $1292.50 per ounce down by 0.21% on the day. Meanwhile, spot silver XAGUSD is trading at $14.95 per ounce down by 1.20% on the day.

Crude oil gained positive momentum in the global market since the early trading hours today. The gains were initially fuelled by an increase in the volume of speculative bets. However, the price action later found steady fundamental support from expectations of increased demand as investor hope for a trade deal between US & China to see a positive outcome this month. A trade deal between two nations would result in increased import in China and overall global demand. There is also a factor of tightened supply from the middle east supporting Crude oil bulls. These factors have helped the price of Brent crude oil head towards $70 handle while WTI Crude oil trades well above $60 handle in the futures market. As of writing this article, Spot US Crude oil WTIUSD is currently trading at $62.55 per barrel up by 0.27% on the day.

DAX Index Daily Price Forecast – DAX To Consolidate Hold Recent Gains

European markets saw positive price action in all major stock exchanges supported by healthy risk appetite in the global market. Optimism surrounding Sino-U.S. trade talks influenced by headlines which stated that Chinese Vice Premier Liu He is traveling to U.S. to resume high-level trade talks. Further, better than expected Euro area macro data and Brexit progress also supported positive investor sentiment in European markets resulting in all major risk assets trading and closing on a positive note. UK PM May and opposition party leader Jeremy Corbyn agreed to collaborate to find a way out of no-deal Brexit outcome while UK house of commons approved coopers amendment facilitating PM May with the power to request longer Brexit extension.

Sino-U.S. Trade Optimism Underpins Market Bulls0.35% on the day

Supported by multiple factors that underpinned market bulls German market saw positive price action across yesterday and closed on a positive note. All 6 benchmark indices from Frankfurt exchange closed in green at end of the day up by more than 1.50% while the three most-watched indices DAX, MDAX & TECDAX saw 1.70%, 1.62% and 1.93% increase in value. DAX index hit a new one month high during yesterday’s positive price action. Out of the total 778 stocks trading in the exchange, 498 stocks closed in green while 86 stocks closed unchanged at the end of the day. As per data on the performance of sectoral indices from the Frankfurt stock exchange, 17 out of 18 sectoral indices closed in green with stocks from Technology and Chemicals sector seeing a high level of gains up more than 3% in value each at end of trading session.

Asian market saw all major benchmark indices and equities saw positive price action across all major stock exchanges supported by Sino-U.S. trade optimism. Hopes for a positive outcome in trade talks between China & the U.S. continues to influence Optimistic investor sentiment in the market. Further, positive cues from US Wall Street is also underpinned positive investor sentiment in the market. However, German DAX futures trading in the international market was down by 0.35% on the day ahead of the Frankfurt market opening. This suggests that the German market is likely to see some level of profit booking activity and corrective price rally but the downside is likely to remain limited owing to cues from the international market. DAX index is expected to consolidate its hold over recent gains resulting in rangebound price action slightly lower from monthly highs across the day.

Please feel free to let us know what you think in the comments below.

GBP/USD Price Forecast – Sterling Steady Above Mid-1.31 Handle On Brexit Optimism

The GBPUSD pair yesterday saw positive price action as headlines indicated solid progress on Brexit front. Headlines stated that UK PM Theresa May has entered into a collaboration with Opposition party leader Jeremy Corbyn to find a solution to avoiding hard Brexit. Further, the UK parliament has passed the Cooper amendment in UK house of commons which now awaits approval in the house of lords. This amendment facilitates PM May to request for further extension and has raised hopes for the possibility of soft Brexit outcome. Despite the EU’s repeated refusal for renegotiation on Brexit deal, a hard exit is disadvantageous to both parties which continues to support investors expectations for EU turning flexible in the last minute.

Lack Of Macro Data Updates Leaves Headlines in Control Of Momentum

While the pair did see some intra-day downward slide on disappointing macro data outcome yesterday, Brexit updates inspired rally erased intra-day loss and close on a positive note. A weak USD influenced by dovish macro data also contributed to some level of positive bias in the pair’s price action. For now, there is neither directional bias nor a favorable trend visible in the GBPUSD pair. The price action of the pair is simply a reflection of investor sentiment influenced by Brexit headline as deadline approaches. Investors have held back from placing any major bets and have taken to placing short term trades on expectations for short term profit opportunities from ongoing volatility in the market.

As of writing this article, GBPUSD pair is trading at 1.3148 down by 0.08% on the day. Optimism surrounding Sino-U.S. trade talks are also supporting risk appetite in the market facilitating positive price action while keeping USD bulls away. Amid lack of high impact macro data updates on both sides of the calendar, Brexit headlines and broad-based investor sentiment surrounding both currencies continue to dictate price action. Given high hopes of Brexit deadline extension and massive support behind risk asset market bulls, traders hope the price of GBPUSD pair will likely move above 1.32 handle by end of today’s trading session. As per current progress of Brexit, the most possible outcome would be for PM May opting a longer Brexit deadline extension that could see UK face an election and second Brexit referendum which if comes to pass could see Sterling make a sharp jump in the upside.

Please feel free to let us know what you think in the comments below

EUR/USD Price Forecast – EURO Rangebound Near Previous Session Highs

The EURUSD pair yesterday closed on a positive note as EURO bulls saw positive support from multiple fronts. Healthy risk appetite in the global market, better than expected Euro area macro data and disappointing US macro data, Brexit developments in the UK are factors that contributed to EURO’s gains yesterday. Sino-U.S. trade talk optimism over headlines which stated that Chinese Vice Premier Liu He is traveling to the US to resume high-level trade talks which occurred last week between delegates of both nations also helped influence strong positive price action across yesterday’s trading session.

ECB Meeting Minutes Likely To Cap EURO’s Upside Move

Following yesterday’s jump to weekly tops, German 10-year government bond yields continue to see positive price action providing fundamental support to EURO bulls. While EU has refused to renegotiate with the UK on Brexit, PM May & opposition party leader Jeremy Corbyn have finally collaborated to make progress on Brexit front as deadline April 12 approaches fast. Given the fact that both sides will face a high level of economic loss in case of hard Brexit, traders are of expectations that Brexit will see further extension and this is also providing some level of fundamental support to EURO in the broad market.

As of writing this article, the EURUSD pair is trading at  1.1242 up by 0.07% on the day. Investors now await EU and US macro data updates for short term profit opportunities ahead of tomorrow’s US NFP data which could greatly alter the directional movement of the pair. Weak USD is also helping the pair retain positive price action but profit booking activity erased some level of gains made in previous session post which the pair has taken to rangebound price action in late Asian market hours. On the release front, EU calendar will see the second tier German factory orders data and release of last month ECB MPC Meeting minutes which could hinder further gains today owing to expectations of highly dovish content in the update. US calendar will see the release of Initial Jobless claims and speech by FOMC members Mester & Williams. Expected support and resistance for the pair are at 1.1220, 1.1200, 1.1185 and 1.1250, 1.1285, 1.1305 handles respectively.

Please feel free to let us know what you think in the comments below.

Bitcoin And Ethereum Daily Price Forecast – Bulls Regain Momentum Post Consolidation

Cryptocurrency market which saw its first leg of major upside move last Friday continued positive price action over the weekend and entered consolidative price action on Monday. Over the course of the weekend, the price of Bitcoin and major legacy crypto coins had managed to breach critical price levels. Having made multiple attempts to bring the price back to yearly lows and seeing repeated attempts were investors failed to react to dovish news, bears finally exhausted themselves. This proved to be a major boon for crypto bulls as post consolidative move turned out to be yet another bullish breakout.

Key Long Term Targets Tests And Price Steady Above Critical Resistance Levels

This breakout saw Bitcoin scale $5000 handle while Ethereum scaled $160 handle all the way from their positions near $4175 and $142 handles respectively. While the price action above key long term targets lasted only for a short while, both cryptocurrencies managed to retain much of the intra-day gains despite declining from intra-day highs over bulls lack of strength to establish a stable rally above long term targets. For now, Bitcoin seems to have achieved stability above $4700 handle while Ethereum seems to have stabilized above $150 handle above which both crypto coins are seeing range-bound price action across European market hours.

The sudden upward spike after quite a while has got a lot of heads turning to look in the direction of cryptocurrencies. And for those who decided to patiently stick by and await recovery price action during crypto market’s sharp decline towards end of 2018, the wait has now yielded considerable fruits for patience as booking profits now will lead to huge gains. The fact that major crypto coins managed to hold steady above critical price levels despite declining from long term targets is proof that bulls are yet to be exhausted and both bitcoin and ethereum could see further gains before entering consolidative price action once again.

Please feel free to let us know what you think in the comments below.

USD/CAD Daily Price Forecast – CAD Holds Steady As Crude Oil Hits New 2019 Highs

The USD/CAD pair saw sharp downside price action across yesterday’s trading session. Positive crude oil price in the global market and optimism surrounding Sino-U.S. trade talks, lingering influence from Canadian GDP were some of the factors that support Loonie bulls while prevalent risk on trading activity in the global forex market weakened USD leading to yesterday’s dovish price action. The pair then saw a sharp decline during Pacific-Asian market hours post-speech by BOC governor Stephen Poloz which caused the pair towards 1.33 handle. The pair opened for the day well near previous session lows and maintained stead dovish price action as Loonie bulls managed to retain the upper hand.

US API Stockpile Data Eyed For Directional Bias

Aside from healthy risk on investor sentiment in the broad market, Loonie was also supported by positive price action from Crude oil market. Crude oil price today continued to scale new 2019 highs as news hit the market of a major port in Venezuela closing down its operation and a new round of US sanctions on Iranian crude oil. The impact of these news updates was a change in demand to supply ratio which favored supply dynamics that could boost crude oil price. A lower supply amid healthy demand when OPEC supply cut enforcement has already reduced the output is a positive factor for crude oil bulls pushing the price well above $61 per barrel in the spot market.

Canadian Loonie gains whenever crude oil gains in the global market and this is the major reason for Loonie bulls retaining control over price momentum so far. Investors now await US macro data updates for short term profit opportunities and directional cues. On the release front, Canadian macro calendar remains silent for the day while US macro calendar will see the release of Core durable goods order and API weekly crude oil inventory data. A build in weekly inventory stockpile could hurt Crude oil’s momentum weakening Loonie in the broad market later today which could help USD erase early loss while draw in inventory stockpile will help crude oil price go higher dragging the pair to new weekly lows.

Please feel free to let us know what you think in the comments below.

Commodities Daily Forecast – April 2, 2019

Gold

The gold prices fell hard during Monday’s session, breaking below the $1290 level and is currently testing the important 200 Day EMA slope. The $1280 level underneath is a floor of this market and if it breaks below this level, then it could possibly reach down towards the $1250 level. With weakness in EUR/USD, the proxy for the gold market, gold prices will also continue to struggle to reach higher levels. …Read More

Silver

The silver prices retraced back to the $15 level in yesterday’s session as it continues to offer crucial support. There is a lot of choppiness in the market and selloff in EUR/USD pair, which acts as a proxy for precious metal counters will keep the silver market under pressure. Until the market breaks above the $15.50 level which is currently sitting at the 50 Day EMA, sellers will continue to hammer the prices lower. …Read More

WTI Crude Oil

The crude oil market has turned bullish as it has clearly broken above its major resistance at the $60 level. The crude prices will continue to move higher given the bullish trend reaching towards the $65 level. The market will continue to be noisy and pullbacks will continue to offer a nice buying opportunity in the market with $59 level offering strong support. …Read More

Natural Gas

The natural gas market rallied higher during yesterday’s session after witnessing strong selling in the previous session. Overall the market continues to be extremely weak with $2.70 level above offering strong resistance. The natural gas market is expected to trade in a very narrow range and any signs of exhaustion will bring back the selling pressure. …Read More

Forex Daily Outlook – April 2, 2019

EUR/USD

The pair retraced back to the 1.12 level in Monday’s session, as the market continues to struggle with a lot of problems in the European Union. The German manufacturing activity came down to the lowest in seven years, attracting a lot of selling pressure in the market. Signs of an economic slowdown in both economies are becoming strong which will keep the market volatile. A break below 1.12 level, would eventually send the market down towards the 1.10 level. …Read More

GBP/USD

The British Pound went back and forth during yesterday’s session as the market continues to consolidate. The 1.30 level underneath is offering massive support to the market and also it coincides with the 61.8% Fibonacci retracement level from where it has witnessed a couple of bounces. The market will continue to be extremely noisy and in the upside, there is a lot of resistance at the 1.3350 level. …Read More

AUD/USD

The AUD gapped higher at the open on Monday, breaking above the 50 Day EMA slope, but due to the presence of significant resistance above, it pulled back and wiped out all the gains. The 0.7050 level is the strong support for the pair, that extends down to the 0.70 level and will continue to attract a lot of attention. Going by the trends, the idea of short term pullbacks will continue to offer value. …Read More

USD/JPY

The USD rallied higher during yesterday’s session, trying to reach towards the 111.50 level but is witnessing a bit of selling pressure above. The market will continue to struggle at higher levels and is likely to continue trading in a back and forth momentum. The 110 level underneath is the floor of this market and if the pair breaks above the 111.50 level, then it can easily reach towards the 112 level. …Read More

Healthy Risk Appetite Limits Activity In Precious Metals Market

Precious metals continue to see bearish price action in the global market today for the second consecutive trading session. The bearish pressure on the precious metals market is the result of improving risk appetite in the global market. Optimism surrounding Sino-U.S. trade talks, macro data from China & U.S.A. which saw better than expected Manufacturing PMI updates were the main factors supporting market bulls. An upbeat manufacturing PMI is a sign that manufacturing activity remains healthy in both economies despite the ongoing trade war between both nations.

Crude Oil Scales New 2019 Highs

This is a clear sign that economic activity may not be slowing down or face as huge an impact from trade war as expected earlier. This helped ease investors concerns of the global economic slowdown to a great extent in both US & Asian markets. As risk appetite improved, investors continued to book profits and redirect funds from precious metals market into risk assets in stock and forex markets. This is causing price action in the precious metals market to see consecutive sessions of dovish momentum. As of writing this article, spot gold XAUUSD is trading at $1286.81 per ounce up by 0.07% on the day while US gold futures GCcv1 is trading at $1291.40 per ounce up by 0.21% on the day.

Meanwhile, spot silver XAGUSD is trading at $15.03 per ounce down by 0.49% on the day. Crude oil price continued to trade positive for the second consecutive trading session this week. Today’s positive price action was influenced by headlines from the U.S.A which stated that the US is planning to impose another round of sanctions on Iranian crude oil. Reports that a key Venezuelan export terminal halted operations also added support to crude oil bulls as reduced export from these two nations could further improve demand to supply ratio in favor of Crude oil bulls. As of writing this article, spot US crude oil WTIUSD is trading at $61.59 per barrel up by 0.03% on the day having scaled new 2019 highs at $61.83 per barrel earlier today.

DAX Index Daily Price Forecast – DAX to Trade Flat on Mixed Cues

European market yesterday saw equities and major indices trade and close on positive note across key European stock exchanges. Positive cues from the international market, risk on investor sentiment supported by optimism surrounding Sino-U.S. trade talks helped underpin market bulls across the day. While Brexit woes initially pressure European equities, headlines which stated DUP would abstain from voting on Customs union 2.0 helped improve hopes surrounding Brexit progress which also added to positive investor sentiment in European markets. However, disappointing EU macro data outcome influenced some level of bearish pressure in the market capping intra-day gains. German market saw positive price action across the day despite dovish macro data updates.

ECB Praet’s Speech Eyed For Directional Cues

Bulls dominated equities and futures in the Frankfurt stock exchange as evident from the performance of benchmark indices. All six benchmark indices from the exchange closed on positive note. The three most-watched indices DAX, MDAX and TECDAX were up by 1.34%, 1.39% & 1.65% on the day. Out of the total 778 stocks trading in the exchange, 513 stocks closed in green while 58 stocks closed unchanged at the end of the day. As per data on performance on sectoral indices from the exchange, 16 out of 18 indices closed in green with stocks from technology, automobile, banks, construction, and basic resources sectors saw high gains with over 2% increase in value each. Despite a relatively calm macro calendar schedule in the Asian market hours and lack of high impact headlines, Asian market saw equities and major benchmark indices across key Asian stock exchanges trade in Green today.

The positive price action was the result of bullish cues from US Wall Street and upbeat PMI data in China & U.S.A released yesterday. Positive macro data updates have helped ease concerns of a global economic slowdown influencing positive price action in the Asian market. However, DAX futures trading in the international market was down by 0.34% on the day ahead of the European market hours. The dovish price action was the result of concerns of an economic slowdown in Europe as evident from US-DE spread difference which widened in EURO negative manner once again. The German market is expected to see subdued price action today regardless of momentum when trading begins in European market hours as influence from mixed cues balancing out each other. Investor sentiment is seeing risk on tone over cues from international market but caution ahead of ECB Praet’s speech and influence from dovish macro data are seeing an equal impact in the market. With neither bulls nor bears managing to gain upper hand DAX index and German equities will see rangebound price action.

Please feel free to let us know what you think in the comments below.