This is what awaits you in this article
Market overview of the last week
Market attention last week was in anticipation of the Fed meeting, which took place on Wednesday. Although the manufacturing and services data from China came as a surprise as it showed a deep decline in April. Thagt didn’t stop Crude Oil from ending the second week with gains above $110. Although other commodities ended the third week lower, Crude Oil’s rise is the result of larger geopolitical games.
The US dollar has been in an upward trend for months but fell more than 100 pips after the Fed decided to raise interest rates by 50 basis points and Chair Jerome Powell announced several such hikes in the coming meetings. But the market wasn’t happy with that, expecting a 75 basis point rate hike at the next session, sending the USD lower. But right now there is nothing better to buy as all central banks are raising rates quickly, hence the USD resumed the uptrend towards the end of the week and closed near the highs.
The data agenda today
Today the calendar is light starting with the minutes of the Bank of Japan meeting which is likely to give further boost to USDJPY after closing above 130 last week. China’s trade balance is expected to grow, although it has fallen to one after the Chinese economy’s slowdown over the past month correction could come.
The Sentic indicator of investor confidence is expected to continue to deteriorate this month, falling deeper into negative territory in the third month. That’s the key data for today that isn’t likely to move the markets, so we’ll see how it fares in relation to the USD.
USD/JPY has long been in a massive bullish trend that has picked up an incredible pace in the last month after the start of the conflict in Ukraine, when JPYU should have turned bullish and this pair should have turned bearish. As a result, we opened many buy signals during this period, most of which closed in profit. The last one we opened when this stock retreated to the 50 SMA (yellow) where we decided to go long.
USD/JPY – buy signal
USD/JPY 240 minute chart
GBP/USD – buy signal
GBP/USD has also been in a long bearish trend that has recently accelerated as the GBP turns bullish while the GBP turns bearish despite the Bank of England’s fourth rate hike last week. So we sold this pair when it was declining higher and we decided to do so last Friday but accidentally hit the wrong button and instead opened a buy signal which closed at a loss and the decline continued.
EUR/GBP 15 minute chart
Should we BTC buy when it nears support?
BTC/USD hit a new record high of $69,000 last November, but sellers have been in control since then. The last attempt to turn bullish ended at the 200-day SMA (purple) and the price returned back below 40,000. Now the price is trending below $35,000 where the first support stands while the next is around $30,000 where we aim to buy again.
Will Bitcoin Support Hold?
Attempt to purchase Fantom FTM from support
FTM/USD was quite bullish until mid-January when it retested previous highs from October of last year. But the Wonderland controversy weighed on that DeFicoins earlier this year, prompting Fantom to join the rest of the crypto market, which has been in a bearish trend since November.
Then the departure of key figures like Andrew Cronje further weighed on Fantom, which fell below $1 and below the $0.90 support zone. But the last support area above $0.60 seems to have held and now Fantom is bouncing higher. We’re thinking about this cryptocurrency to buy but would like to see a retest of the support zone.
Support above $0.60 held for FTM/USD
Source: Crypto News Deutsch