USD/CAD Tests Support At 1.2525

Canadian Dollar Is Gaining Some Ground Against U.S. Dollar

USD/CAD  is currently trying to settle below 1.2525 while U.S. dollar is moving higher against a broad basket of currencies.

The U.S. Dollar Index managed to get above the resistance at 95.20 and is moving towards the next resistance at 95.40. A move above 95.40 will open the way to the test of the 50 EMA at 95.55 which will be bullish for USD/CAD.

Today, Canada reported that Manufacturing Sales increased by 2.6% month-over-month in November compared to analyst cosnensus which called for growth of 3.1%.

Foreign exchange market traders also focused on the dynamics of commodity markets. WTI oil made an attempt to get to the test of the psychologically important $85 level but lost momentum and pulled back below the $84 level.

In case WTI oil manages to settle back above $84, it will have a good chance to test the $85 level which will be bullish for commodity-related currencies, including Canadian dollar.

Technical Analysis

usd cad january 17 2022

USD to CAD is currently trying to settle below the support level at 1.2525. In case this attempt is successful, USD to CAD will get to another test of the next support level which is located at 1.2500. This support level has been recently tested and proved its strength.

A move below the support at 1.2500 will push USD to CAD towards the support level at 1.2475. If USD to CAD gets below this level, it will move towards the next support at 1.2460. A successful test of the support at 1.2460 will open the way to the test of the next support level which is located at 1.2425.

On the upside, USD to CAD needs to settle above 1.2525 to have a chance to gain upside momentum in the near term. The next resistance level for USD to CAD is located at 1.2550. If USD to CAD manages to settle above 1.2550, it will gain additional upside momentum and head towards the next resistance at 1.2590.

For a look at all of today’s economic events, check out our economic calendar.

Silver Is Mostly Flat At The Start Of The Week

Silver Remains Stuck Near The $23 Level

Silver is currently trying to settle back above $23.00 while U.S. dollar is gaining some ground against a broad basket of currencies.

The U.S. Dollar Index is testing the resistance level at 95.20. In case this test is successful, the U.S. Dollar Index will move towards the resistance at 95.40 which will be bearish for silver and gold price today. Stronger dollar is bearish for precious metals as it makes them more expensive for buyers who have other currencies.

Meanwhile, gold made an attempt to settle below the support at $1815 but failed to develop sufficient downside momentum and remained in the $1815 – $1830 range. In case gold declines below $1815, it will gain additional downside momentum and move towards the next support level which is located near the 50 EMA at $1800.

Gold/silver ratio is currently trying to settle above the 20 EMA at 79.25. A move above the 20 EMA will push gold/silver ratio towards the resistance at 79.50 which will be bearish for silver.

It should be noted that U.S. stock markets are closed today, so ETFs like iShares Silver Trust and SPDR Gold Trust are not trading.

Technical Analysis

silver january 17 2022

Silver is testing the resistance level at the 50 EMA at $23.00. In case silver manages to settle above the 50 EMA, it will move towards the next resistance level which is located at $23.20.

RSI is in the moderate territory, and there is plenty of room to gain additional upside momentum in case the right catalysts emerge. If silver settles above $23.20, it will move towards the next resistance level at $23.50.

On the support side, the nearest support level for silver is located at the 20 EMA near $22.85. If silver moves below the 20 EMA, it will get to the test of the support at $22.75. A move below this level will push silver towards the support level which is located at $22.60.

For a look at all of today’s economic events, check out our economic calendar.

Loopring (LRC) Moves to New Lows As Traders Lose Patience Waiting for Catalysts

Loopring gained strong downside momentum and moved towards the $1.20 level as traders continued to sell LRC despite recent rumors about a potential deal with GameStop.

GameStop-Loopring Rumors Have Not Yet Materialized

LRC enjoyed a remarkable rally back in early November amid rumors of a potential partnership with GameStop. GameStop has reportedly launched a division which will develop an NFT marketplace, but no information about Loopring’s potential role has emerged.

It looks that traders are losing patience and are not ready to wait for catalysts. LRC, which touched highs near $4.15 in November, has firmly settled below $1.50 and is moving towards the $1.00 level.

The recent increase in Treasury yields and the general pullback in crypto markets served as additional bearish catalysts for LRC as traders moved funds out of riskier assets.

Loopring bulls should watch Bitcoin dynamics closely, as a successful test of the current support level at $42,600 could push Bitcoin towards the psychologically important $40,000 level, which may lead to a strong sell-off in crypto markets.

LRC Moves Towards the Support Level at $1.17

loopring january 17 2022

LRC managed to settle below the support at $1.37 and is moving towards the next support level at $1.17. RSI has just entered into the oversold territory, but there is some room to gain additional downside momentum in case the right catalysts emerge.

If LRC declines below the support at $1.17, it will head towards the next support level at $1.07. A move below this level will push LRC towards the support at $0.95.

On the upside, the previous support at $1.37 will serve as the first material resistance level for LRC. If LRC manages to settle back above this level, it will head towards the resistance at $1.44. A successful test of the resistance at $1.44 will open the way to the test of the next resistance at $1.50.

loopring h1 january 17 2022

Taking a look at H1 chart, we can see that RSI is very close to the extremely overbought territory, so LRC may need to go through a period of consolidation before it could gain additional downside momentum.

Dogecoin Slips Towards $0.17 As Traders Sell the Rally

Dogecoin failed to develop sustainable upside momentum after Tesla news and pulled back towards the $0.17 level, which is a major disappointment for the bulls.

Meme Coins Are Moving Lower

Shiba Inu has also failed to develop sustainable upside momentum after a rumor about a potential Robinhood listing.

It should be noted that other leading cryptocurrencies are also under pressure. Bitcoin is currently testing an important support level at $42,600 while Ethereum has recently managed to get back below the $3,300 level.

The recent moves indicate that the general crypto market mood remains bearish. In a bullish environment, Tesla’s decision to accept Dogecoin as payment for merchandise or a rumor about potential Shiba Inu listing on Robinhood would have provided material support to meme cryptocurrencies.

However, the rallies in Dogecoin and Shiba Inu were quickly sold, which indicated that traders were waiting for such rallies to get out of their positions. Previously, such rallies would have been used to build positions in a bet that the positive momentum would remain intact.

This is a worrisome development for Dogecoin bulls, and it looks that more support from the general crypto market is needed to push Dogecoin higher.

Dogecoin Tests Support at the 20 EMA

dogecoin daily january 17 2022

Dogecoin managed to settle below the support level at $0.1750 and is testing the next support level which is located at the 20 EMA near $0.17.

In case Dogecoin manages to settle below the 20 EMA, it will gain downside momentum and move towards the next support level at $0.1650. A move below the support at $0.1650 will push Dogecoin towards the support at $0.16. If Dogecoin gets below the support level at $0.16, it will head towards the support at $0.1550.

On the upside, the previous support at $0.1750 will serve as the first resistance level for Dogecoin. In case Dogecoin manages to get back above this level, it will head towards the resistance at the 50 EMA at $0.1810. A move above the 50 EMA will signal that Dogecoin is ready to develop additional upside momentum.

dogecoin h1 january 17 2022

Taking a look at H1 chart, we can see that Dogecoin has been stuck near the 20 EMA for some time. If Dogecoin manages to settle below the 20 EMA, it will have a great chance to develop material downside momentum in the near term.

EUR/USD Tries To Rebound At The Start Of The Week

Euro Gains Ground Against U.S. Dollar

EUR/USD is currently trading near the support level at 1.1420 while U.S. dollar is losing some ground against a broad basket of currencies.

The U.S. Dollar Index has recently made an attempt to settle above the resistance at 95.20 but failed to develop sufficient upside momentum and pulled back. The nearest support level for the U.S. Dollar Index is located at 95. In case the U.S. Dollar Index gets to the test of this level, EUR/USD will get more support.

There are no important economic reports scheduled to be released in the U.S. and EU today, so it remains to be seen whether foreign exchange market traders will be ready for big moves.

It should be noted that the yield of 2-year Treasuries is already close to the psychologically important 1.00% level, but the recent rise in yields failed to provide support to the American currency.

Traders look ready to push yields higher which could be bullish for the U.S. dollar, but is unclear whether the American currency will react to such a move given the recent trading action.

Technical Analysis

eur usd january 17 2022

EUR/USD is currently trying to settle back above 1.1420. In case this attempt is successful, EUR/USD will gain upside momentum and move towards the next resistance level at 1.1460. RSI is in the moderate territory, so there is plenty of room to gain momentum in case the right catalysts emerge.

In case EUR/USD settles above 1.1460, it will head towards the resistance at 1.1490. A move above this level will push EUR/USD towards the resistance at 1.1525.

On the support side, a move below 1.1400 will push EUR/USD towards the support level at 1.1390. If EUR/USD declines below this level, it will head towards the support at the 50 EMA at 1.1370. A successful test of the support at the 50 EMA will open the way to the test of the next support at 1.1350.

For a look at all of today’s economic events, check out our economic calendar.

GBP/USD Tests Support At 1.3665

British Pound Is Mostly Flat Against U.S. Dollar

GBP/USD continues its attempts to settle below the support level at 1.3675 while U.S. dollar is mostly flat against a broad basket of currencies.

The U.S. Dollar Index is testing the resistance level at 95.20. In case the U.S. Dollar Index manages to settle above this level, it will move towards the next resistance at 95.40 which will be bearish for GBP/USD.

There are no important economic reports scheduled to be released in the U.S. and UK today so foreign exchange market traders will focus on general market sentiment.

China has recently released its fourth-quarter GDP Growth Rate report which indicated that GDP increased by 4.0% year-over-year compared to analyst consensus which called for growth of 3.6%.

China’s Retail Sales grew by 1.7% year-over-year in December compared to analyst consensus of 3.7%, while Industrial Production increased by 4.3% year-over-year compared to analyst consensus which called for gorwth of 3.6%.

At this point, economic reports from China had minimal impact on the currency market.

Technical Analysis

gbp usd january 17 2022

GBP/USD settled below the support at 1.3700 and made several attempts to settle below the next support level which is located at 1.3665.

In case GBP/USD declines below the support at 1.3665, it will head towards the next support level at 1.3635. A successful test of this level will push GBP/USD towards the support at 1.3600. If GBP/USD gets below 1.3600, it will head towards the next support level which is located at 1.3575.

On the upside, the previous support level at 1.3700 will serve as the first resistance level for GBP/USD. In case GBP/USD manages to settle above this level, it will move towards the next resistance which is located at 1.3735.

A move above the resistance at 1.3735 will open the way to the test of the next resistance at 1.3765. In case GBP/USD gets above 1.3765, it will move towards the resistance level at 1.3800.

For a look at all of today’s economic events, check out our economic calendar.

USD/CAD Tests Resistance At 1.2550

U.S. Dollar Rebounds Against Canadian Dollar

USD/CAD is currently trying to settle back above the resistance at 1.2550 while U.S. dollar rebounds against a broad basket of currencies.

The U.S. Dollar Index has recently managed to settle above the 95 level and is moving towards the resistance at 95.20. In case the U.S. Dollar Index manages to settle above this level, it will head towards the next resistance at 95.40 which will be bullish for USD/CAD.

Today, foreign exchange market traders focused on the economic data from U.S. Retail Sales declined by 1.9% month-over-month in December while analysts expected that they would remain unchanged. On a year-over-year basis, Retail Sales increased by 16.9%.

U.S. Industrial Production declined by 0.1% month-over-month in December compared to analyst consensus which called for growth of 0.3%. Manufacturing Production decreased by 0.3% month-over-month compared to analyst consensus which called for growth of 0.5%.

Traders also had a chance to take a look at the preliminary Michigan Consumer Sentiment report for January. The report indicated that Consumer Sentiment declined from 70.6 in December to 68.8 in December compared to analyst consensus of 70, and it looks that the fast spread of Omicron has already put pressure on consumers’ mood.

Technical Analysis

usd cad january 14 2022

USD to CAD is currently testing the resistance level at 1.2550. In case this test is successful, USD to CAD will move towards the next resistance at 1.2590.

A move above the resistance level at 1.2590 will open the way to the test of the resistance at 1.2625. If USD to CAD manages to settle above this level, it will head towards the next resistance which is located at 1.2650.

On the support side, a move below 1.2550 will push USD to CAD back towards the support level at 1.2530. If USD to CAD declines below 1.2530, it will head towards the support at 1.2500. A successful test of the support at 1.2500 will push USD to CAD towards the support at 1.2475.

For a look at all of today’s economic events, check out our economic calendar.

Why JPMorgan Chase Stock Is Down By 5% Today

JPMorgan Chase Stock Falls After Quarterly Report

Shares of JPMorgan Chase found themselves under material pressure after the company released its quarterly results. Citigroup, which also reported earnings today, declined after the report, while Wells Fargo rallied.

JPMorgan Chase reported revenue of $29.3 billion and GAAP earnings of $3.33 per share, missing analyst estimates on revenue and beating them on earnings.

The company’s CEO commented: “The economy continues to do quite well despite headwinds related to the Omicron variant, inflation and supply chain bottlenecks […] we remain optimistic on U.S. economic growth as business sentiment is upbeat and consumers are benefiting from job and wage growth”.

The market is less optimistic today as it decided to focus on the headline revenue miss.

What’s Next For JPMorgan Chase Stock?

Shares of JPMorgan Chase and other bank stocks have been recently moving higher as Treasury yields increased. As yields rise from such low levels, banks should have more opportunities to show good performance, so investors and traders rushed to buy bank stocks.

However, it remains to be seen whether this enthusiasm will remain intact after the release of JPMorgan’s quarterly report. While analyst estimates for 2022 have been moving higher in recent months, the bank’s earnings are still projected to fall from 2021 levels.

Currently, JPMorgan Chase is expected to report earnings of $12.04 per share, so the stock is trading at roughly 13 forward P/E. This is not too cheap compared to peers.

JPMorgan Chase stock reached all-time high levels back in October 2021, and is currently trading about 8% below these levels. This is a material pullback, although it is not clear whether the pullback itself will attract speculative traders.

However, it the economy remains in a decent shape while Treasury yields continue to move higher, JPMorgan Chase stock may enjoy stronger support in the upcoming weeks.

For a look at all of today’s economic events, check out our economic calendar.

Silver Stays Range-Bound Ahead Of The Weekend

Silver ETF Lacks Momentum

Silver has recently made another attempt to settle above the resistance at $23.20 but failed to develop sufficient upside momentum and pulled back while U.S. dollar gained some ground against a broad basket of currencies. Meanwhile, iShares Silver Trust is trading near the 50 EMA at $21.30.

The U.S. Dollar Index failed to settle below the support level at 94.75 and moved back to the resistance level at 95. In case the U.S. Dollar Index manages to settle above this level, it will head towards the next resistance at 95.20 which will be bearish for silver and gold price today. Stronger dollar is bearish for precious metals as it makes them more expensive for buyers who have other currencies.

Gold remains stuck in the range between the support at $1815 and the resistance at $1830 while SPDR Gold Trust is trading in the $170 – $170.50 range. If gold manages to settle above $1830, it will gain additional upside momentum and move towards the next resistance at $1845 which will be bullish for silver.

Gold/silver ratio has recently made an attempt to settle above the 20 EMA at 79.25 but lost momentum and pulled back towards the 79 level. If gold/silver ratio settles below this level, it will move towards the 50 EMA at 78.35 which will be bullish for silver.

Technical Analysis

silver january 14 2022

Silver has recently moved closer to the support level at $23.00. In case silver manages to settle below this support level, it will get to the test of the next support at $22.90.

A successful test of the support at $22.90 will open the way to the test of the support at the 20 EMA at $22.80. If silver declines below this level, it will head towards the support at $22.60.

On the upside, the nearest resistance for silver is located at $23.20. In case silver settles above this level, it will head towards the next resistance at $23.50. A move above $23.50 will push silver towards the resistance which is located at $23.70.

For a look at all of today’s economic events, check out our economic calendar.

Helium (HNT) Eyes a Return to the $30 Level

Helium is moving lower as leading cryptocurrencies decline after the recent attempt to gain upside momentum.

Helium Declines Amid Pressure on Riskier Assets

Helium is a decentralized network for IoT devices. HNT has recently made an attempt to settle above the $40 level but failed to develop sufficient momentum and pulled back close to the $30 level.

Its recent fate is similar to other Web3 coins like FileCoin or Theta which are trading near multi-week lows. It looks that the key reason for this weakness is the increasing connection between traditional financial markets and crypto markets.

When riskier assets find themselves under pressure, cryptocurrencies are often leading the way lower. The opposite is also true – increasing demand for riskier assets provides material support to crypto markets.

HNT Is Testing the Support Level at $31.50

hnt january 14 2022

HNT faced strong resistance near the 20 EMA and the 50 EMA above the $35 level and pulled back towards the support level at $31.50. This support level has already been tested several times and proved its strength.

It should be noted that RSI is in the moderate territory, so there is enough room to gain additional downside momentum in case the right catalysts emerge.

In case HNT settles below the support at $31.50, it will move towards the next support level at $30. A move below this level will signal that HNT is ready to continue the pullback from highs that were reached at the beginning of 2022. In this case, HNT will head towards the next support at $28.00. A successful test of this level will push HNT towards the support at $26.80.

On the upside, the nearest resistance level for HNT is located at the $33 level. A move above this level will push HNT towards the resistance at $34.00. In case HNT manages to settle above $34.00, it will head towards the resistance at the 20 EMA at $35.30.

hnt h1 january 14 2022

Taking a look at the H1 chart, we can see that RSI has moved out of the oversold territory, so HNT will have a good chance to gain additional downside momentum in the near term in case it manages to settle below the important support level at $31.50.

Monero (XMR) Tries To Find Long-Term Support Near the $200 Level

Monero gained upside momentum and managed to get back above the $200 level amid broader crypto market pullback.

Monero Trades Well Below 2017 Highs After the Strong Pullback in 2021

Monero is one of the first privacy-focused cryptocurrencies. Back in 2017, when cryptocurrencies have made a major move into the mainstream news flow, Monero reached highs near $475. In 2021, Monero made an attempt to settle above 2017 highs and even tried to settle above the $500 level, but found itself under pressure and pulled back.

xmr weekly january 14 2022

The weekly chart indicates that XMR found significant support between $180 and $225. The support level at $180 has been tested several times in 2021 and 2022 and proved its strength.

This is the key support level for Monero, and a move below this level may trigger a significant sell-off. In this light, Monero traders should closely monitor the dynamics of the world’s leading cryptocurrency, Bitcoin, which has recently failed to continue its rebound and moved below the $43,000 level.

If Bitcoin gets to another test of the psychologically important support level at $40,000, other cryptocurrencies will also find themselves under pressure. In this scenario, Monero may have a significant chance to decline below the $180 level.

Traders should keep in mind that Monero has been around for years, so it does not have the allure of a new project and is more likely to follow leading coins, especially if its developers fail to come up with specific positive catalysts.

Monero Has the Potential To Gain Additional Upside Momentum in the Near Term

xmr daily january 14 2022

Taking a look at the daily chart for Monero, we can see that RSI remains in the moderate territory, so there is enough room to gain additional upside momentum in case the rebound of the crypto market continues.

Monero needs to get above the resistance near $225 to get a boost and head towards the next resistance level near $250. A move above this level will push Monero towards the resistance at $275.

As I mentioned above, the $180 level is a key support level for Monero. A move below this level will be a very disappointing development for the bulls.

EUR/USD Tests Resistance At 1.1460

Euro Gains Ground Against U.S. Dollar

EUR/USD is currently trying to settle above the resistance at 1.1460 while U.S. dollar remains under pressure against a broad basket of currencies.

The U.S. Dollar Index is testing the support level at 94.75. In case this test is successful, the U.S. Dollar Index will move towards the next support at 94.50 which will be bullish for EUR/USD. It should be noted that RSI for the U.S. Dollar Index remains in the moderate territory, so there is enough room to gain additional downside momentum in case the right catalysts emerge.

Today, foreign exchange market traders will focus on the economic data from U.S. Analysts expect that Retail Sales were unchanged on a month-over-month basis in December after growing by 0.3% in November. On a year-over-year basis, Retail Sales are expected to increase by 17%.

Traders will also take a look at Industrial Production and Manufacturing Production reports. Analysts expect that Industrial Production increased by 0.3% month-over-month in December. On a year-over-year basis, Industrial Production is projected to grow by 5.4%. Manufacturing Production is expected to increase by 4.7% year-over-year.

Technical Analysis

eur usd january 14 2022

EUR/USD is currently testing the resistance at 1.1460. In case EUR/USD manages to settle above this level, it will move towards the next resistance level which is located at 1.1490. RSI remains in the moderate territory, and there is enough room to gain upside momentum in case the right catalysts emerge.

A move above the resistance at 1.1490 will open the way to the test of the next resistance at 1.1525. In case EUR/USD gets above this level, it will head towards the next resistance at 1.1550.

On the support side, a move below 1.1460 will push EUR/USD back towards the support level at 1.1420. In case EUR/USD manages to settle below this level, it will head towards the next support level which is located at 1.1390.

For a look at all of today’s economic events, check out our economic calendar.

GBP/USD Tests Resistance At 1.3735

British Pound Continues To Gain Ground Against U.S. Dollar

GBP/USD is currently trying to settle above the resistance at 1.3735 while U.S. dollar is moving lower against a broad basket of currencies.

The U.S. Dollar Index continues its attempts to settle below the support level at 94.75. In case the U.S. Dollar Index manages to settle below this level, it will move towards the next support level at 94.50 which will be bullish for GBP/USD.

Today, foreign exchange market traders will have a chance to take a look at the economic data from UK.

Analysts expect that UK GDP increased by 0.4% month-over-month in November after growing by 0.1% in October. On a year-over-year basis, GDP is projected to increase by 7.5%.

Traders will also focus on Industrial Production and Manufacturing Production reports for November. Industrial Production is expected to grow by 0.2% month-over-month. On a year-over-year basis, Industrial Production is projected to increase by 0.5%. Manufacturing Production is projected to increase by 0.2% on a month-over-month basis.

Traders should also monitor the developments in U.S. government bond markets as Treasury yields have started to move higher after the recent pullback. While the U.S. dollar remains under pressure against a broad basket of currencies, higher rates may ultimately provide enough support to the American currency.

Technical Analysis

gbp usd january 14 2022

GBP/USD is testing the resistance level at 1.3735. In case this test is successful, GBP/USD will move towards the next resistance level which is located at 1.3765. RSI is close to the extremely overbought territory, so the risk of a pullback is increasing.

In case GBP/USD manages to settle above the resistance at 1.3765, it will move towards the next resistance at 1.3800. A successful test of this level will open the way to the test of the resistance at 1.3830.

On the support side, the nearest support level for GBP/USD is located at 1.3700. If GBP/USD declines below this level, it will move towards the next support at 1.3665. A move below 1.3665 will push GBP/USD towards the support at 1.3635.

For a look at all of today’s economic events, check out our economic calendar.

USD/CAD Keeps Moving Lower As Sell-Off Continues

U.S. Dollar Remains Under Pressure

USD/CAD is currently trying to get below 1.2475 while U.S. dollar is gaining ground against a broad basket of currencies.

The U.S. Dollar Index is testing the support level at 94.75. If this test is successful, the U.S. Dollar Index will move towards the next support at 94.50 which will be bearish for USD/CAD.

Today, foreign exchange market traders focused on economic data from U.S. Initial Jobless Claims report indicated that 230,000 Americans filed for unemployment benefits in a week compared to analyst consensus of 200,000. Continuing Jobless Claims declined from 1.75 million to 1.56 million.

Interestingly, Producer Prices increased by just 0.2% month-over-month in December while analysts expected that they would grow by 0.4%. On a year-over-year basis, Producer Prices grew by 9.7% compared to analyst consensus which called for growth of 9.8%.

WTI oil is mostly flat today, and its dynamics had little impact on USD/CAD. However, in case WTI oil manages to settle above the $83 level, it will gain additional upside momentum and move towards the psychologically important $85 level which will be bullish for commodity-related currencies, including Canadian dollar.

Technical Analysis

usd cad january 13 2022

USD to CAD has recently made an attempt to settle below the support level at 1.2475. In case USD to CAD manages to settle below this level, it will move towards the next support at 1.2450.

A successful test of the support at 1.2450 will open the way to the test of the support level which is located at 1.2425. If USD to CAD declines below this level, it will move towards the support level at 1.2400.

On the upside, the previous support level at 1.2500 will serve as the first resistance level for USD to CAD. If USD to CAD moves above this level, it will head towards the resistance at 1.2530.

A move above 1.2530 will push USD to CAD towards the next resistance level at 1.2550. In case USD to CAD manages to settle above this level, it will head towards the resistance at 1.2590.

For a look at all of today’s economic events, check out our economic calendar.

Why Delta Air Lines Stock Is Up By 3% Today

Delta Air Lines Stock Moves Higher After Strong Earnings Report

Shares of Delta Air Lines gained upside momentum after the company released its quarterly results.

Delta Air Lines reported adjusted operating revenue of $8.4 billion and adjusted earnings of $0.22 per share, beating analyst estimates on both earnings and revenue.

The company’s CEO Ed Bastian revealed Delta Air Lines’ view on the impact of the new wave of coronavirus: “Omicron is expected to temporarily delay the demand recovery 60 days, but as we look past the peak, we are confident in a strong spring and summer travel season with significant pent-up demand for consumer and business travel”.

Delta Air Lines expects that its Q1 2022 total revenue would be 72% – 76% of its Q1 2019 revenue due to the negative impact of Omicron. However, it looks that traders are ready to bet that Omicron is a temporary problem and that pent-up demand will lead to a very strong second half of 2022.

What’s Next For Delta Air Lines Stock?

Delta Air Lines stock managed to gain ground at the start of this year despite worries over the spread of Omicron. The market believes that the new variant of coronavirus will not deal significant damage to the economy, so traders are mostly focused on Fed policy.

However, it should be noted that analyst estimates for Delta Air Lines’ 2022 earnings have been trending lower in recent weeks. Currently, the company is expected to report a profit of $2.9 per share in 2022, so the stock is trading at less than 15 forward P/E. Such valuation levels do not look too expensive as Delta Air Lines will likely have a great opportunity to improve its financial performance in 2023.

Most likely, the near-term direction of the stock will depend on market’s view on Omicron. In case the market remains confident that Omicron is not a big problem despite the significant number of new cases, Delta Air Lines stock will have a good chance to develop additional upside momentum.

For a look at all of today’s economic events, check out our economic calendar.

Silver Stays Above $23 As Dollar Moves To New Lows

Silver ETF Stays Strong As Gold/Silver Ratio Falls

Silver is currently trying to settle above the resistance at $23.20 while U.S. dollar is losing ground against a broad basket of currencies. Meanwhile, iShares Silver Trust is testing the resistance at $21.50.

The U.S. Dollar Index settled below the support level at 95 and is currently trying to setlte below the next support at 94.75. In case the U.S. Dollar Index declines below this level, it will head towards the next support at 94.50 which will be bullish for silver and gold price today.

Gold made an attempt to get to the test of the resistance at $1830 but failed to develop sufficient upside momentum and pulled back towards $1815 while SPDR Gold Trust declined towards the $170 level. If gold settles below $1815, it will head back towards the $1800 level which will be bearish for silver.

Gold/silver ratio settled below the 79 level and is moving towards the 50 EMA at 78.30. A successful test of the 50 EMA will open the way to the 78 level which will be bullish for silver.

Technical Analysis

silver january 13 2022

Silver is currently testing the resistance level at $23.20. RSI is still in the moderate territory, and there is enough room to gain additional upside momentum in case the right catalysts emerge.

In case silver settles above $23.20, it will move towards the next resistance level at $23.50. A successful test of this level will open the way to the test of the resistance at $23.70. If silver manages to settle above this level, it will head towards the next resistance level which is located near $24.00.

On the support side, the nearest support level for silver is located at the 50 EMA at $23.00. If silver declines below this level, it will get to the test of the support at $22.90. A move below the support at $22.90 will open the way to the test of the support at the 20 EMA at $22.80.

For a look at all of today’s economic events, check out our economic calendar.

Robinhood Listing Rumor May Support Shiba Inu Even As Broker’s CFO Is Cautious On Crypto

Shiba Inu has recently gained upside momentum and rebounded from lows after news on Bitso listing, which we have discussed before, but it also had a potentially bigger catalyst – a Robinhood listing rumor.

Robinhood CFO Signals That The Company is Not Ready To Increase Its Presence In The Crypto Segment

The previous big listing for Shiba Inu took place in late November, when Kraken announced its support for the meme coin. The market’s reaction was very optimistic:

shiba inu kraken listing january 13 2022

However, Kraken listing failed to provide enough support to Shiba Inu. The number of Shiba Inu holders continued to grow and surpassed the 1.1 million mark, but this fact also failed to provide material support to the meme coin.

Crypto markets were moving lower since early November, and so did Shiba Inu, declining from the highs near the $0.000090 level to the recent lows near $0.000025.

The recent crypto market rebound boosted Shiba Inu, and the coin got additional support from the Bitso listing and especially from the Robinhood rumor.

Robinhood CFO stated that the company was not ready to “put any meaningful amount of our corporate cash into cryptocurrencies”, but it remains to be seen whether Robinhood is planning to offer more crypto options to its customers.

Why Robinhood Is More Important Than Kraken For Shiba Inu

Interestingly, Robinhood gets a significant part of its revenue from the crypto segment. In Q2 2021, crypto-related revenue was $233 million. In Q3 2021, crypto-related revenue declined to $51 million as trading activity in Dogecoin fell from its highs (the company did not specifically blame Dogecoin in its reports).

In this light, Robinhood may be interested in expanding its crypto coverage to boost revenue, and Shiba Inu looks like a decent candidate since Robinhood already provides access to Dogecoin.

However, Robinhood will likely be very cautious after the meme stock mania tested its limits back at the beginning of 2021, so it remains to be seen whether the company is really thinking about adding Shiba Inu.

For Shiba Inu, such listing would have been a material positive catalyst. While Kraken is important, it’s just another big crypto exchange, while Robinhood provides access to a pool of a different category of potential investors, who are not focused solely on cryptocurrencies. In this light, traders will have to watch this story closely.

Dogecoin Rebounds As Meme Coins Show Signs of Life

Dogecoin has recently made an attempt to settle above $0.1750 as the rebound in meme coins continued.

Dogecoin and Shiba Inu Enjoy Strong Rebound From Recent Lows

Shiba Inu managed to find support near $0.000027 and moved towards the $0.000033 level after Bitso listing, although it looks that general crypto market rebound served as the main catalyst for the move.

The same catalyst pushed Dogecoin above the $0.17 level, and the key question is whether this is a dead cat bounce or a beginning of a new upside trend.

According to CoinMarketCap, Dogecoin and Shiba Inu are ranked 12 and 13 in the list of biggest cryptocurrencies by market capitalization. Dogecoin has a market cap of $22.5 billion, while Shiba Inu has a market cap of $17.5 billion, so the combined market cap of two biggest meme coins is $40 billion.

The competition from Shiba Inu has clearly hurt Dogecoin. If we assume that all money that went into Shiba Inu would have been put into Dogecoin, Dogecoin’s market cap would have exceeded the market cap of XRP and put the coin directly behind Solana and Cardano.

Judging by market cap, it’s too early to say that meme coins are going out of fashion, despite the major pullback from highs. However, traders will need to watch this metric closely. In case Dogecoin and Shiba Inu lose market share to other coins, they will likely face additional selling pressure.

Dogecoin Tests Resistance at $0.1750

dogecoin daily january 13 2022

Dogecoin is currently trying to stay above $0.1710. In case this attempt is successful, Dogecoin will have a good chance to get to another test of the resistance at $0.1750. A move above the resistance at $0.1750 will push Dogecoin towards the next resistance which is located at the 50 EMA at $0.1810.

On the support side, the nearest support level for Dogecoin is located at the 20 EMA at $0.1650. If Dogecoin declines below this level, it will move towards the support at $0.16. A successful test of this level will push Dogecoin towards the next support at $0.1550.

dogecoin h1 january 13 2022

Taking a look at H1 chart, we can see that RSI has just moved back into the moderate territory. At this point, Dogecoin may need to go through a period of consolidation before it has a chance to gain additional upside momentum.

EUR/USD Is Moving Towards The Resistance At 1.1460

Euro Is Mostly Flat Against U.S. Dollar

EUR/USD managed to get above the resistance at 1.1420 and tries to gain additional upside momentum while U.S. dollar is flat against a broad basket of currencies.

The U.S. Dollar Index is stuck near the 95 level. In case the U.S. Dollar Index manages to settle below this level, it will move towards the support at 94.75 which will be bullish for EUR/USD.

Today, foreign exchange market traders will focus on commentary from ECB members De Guindos, Hakkarainen and Elderson. The key question is whether they will focus on inflation as a major threat to the European economy.

The U.S. dollar found itself under significant pressure after U.S. inflation reports met analyst estimates. As a result, euro managed to get out of the recent consolidation and moved higher against U.S. dollar.

In this environment, the market may be very sensitive to any change in tone of comments from ECB members. However, it should be noted that ECB is notoriously cautious, so it remains to be seen whether we will hear anything new from ECB members today.

Technical Analysis

eur usd january 13 2022

EUR/USD has recently managed to settle above the resistance at 1.1420 and is trying to get to the test of the next resistance level which is located at 1.1460. In case EUR/USD gets above this level, it will head towards the next resistance at 1.1490.

RSI remains in the moderate territory, so there is plenty of room to gain additional momentum in case the right catalysts emerge. If EUR/USD gets above 1.1490, it will move towards the next resistance level at 1.1525.

On the support side, the previous resistance at 1.1420 will serve as the first support level for EUR/USD. If EUR/USD declines below this level, it will move towards the next support at 1.1390. A successful test of the support at 1.1390 will push EUR/USD towards the 50 EMA which is located near 1.1360.

For a look at all of today’s economic events, check out our economic calendar.

GBP/USD Tests Resistance At 1.3700

British Pound Attempts To Gain More Ground Against U.S. Dollar

GBP/USD is currently trying to settle above the resistance at 1.3700 while U.S. dollar is mostly flat against a broad basket of currencies.

The U.S. Dollar Index continues its attempts to settle below the support level at 95. In case the U.S. Dollar Index declines below this level, it will move towards the support at 94.75 which will be bullish for GBP/USD.

Today, foreign exchange market traders will focus on the economic data from U.S. Analysts expect that Initial Jobless Claims report will indicate that 200,000 Americans filed for unemployment benefits in a week. Continuing Jobless Claims are projected to decline from 1.75 million to 1.73 million.

Traders will also take a look at Producer Prices report which is projected to show that Producer Prices increased by 0.4% month-over-month in December. On a year-over-year basis, Producer Prices are projected to grow by 8%. It remains to be seen whether Producer Prices data will have a material impact on currency dynamics or traders will stay focused on yesterday’s inflation data.

Technical Analysis

gbp usd january 13 2022

GBP/USD settled above the resistance level at 1.3665 and is trying to continue its upside move. Currently, it is testing the resistance at 1.3700. In case this test is successful, GBP/USD will move towards the next resistance level at 1.3735.

It should be noted that RSI is in the overbought territory, so the risks of a pullback are increasing. In case GBP/USD manages to get above 1.3735, it will head towards the resistance at 1.3765.

A successful test of the resistance at 1.3765 will push GBP/USD towards the resistance at 1.3800. If GBP/USD gets above this level, it will head towards the next resistance at 1.3830.

On the support side, the previous resistance at 1.3665 will serve as the first support level for GBP/USD. In case GBP/USD declines below 1.3665, it will head towards the next support level which is located at 1.3635. A successful test of this level will push GBP/USD towards the next support at 1.3600.

For a look at all of today’s economic events, check out our economic calendar.