Analysis for October 1st, 2014
EUR USD, “Euro vs US Dollar”
Euro has been able to stay inside “oversold zone”; bears are supported by Super Trends, from which the price rebounded several times earlier. The target for the next several days is at the -2/8 level. If the market breaks this level, it will open “Pandora’s box” of the downtrend.
As we can see at the H1 chart, the market has been able to stay below the 3/8 level, which means that it may continue falling to reach the 0/8 one. Considering that the market has already rebounded from Super Trend, the pair may reach a new low during the next several hours.
XAG USD, “Silver vs US Dollar”
In case of Silver, yesterday my take profit worked. During a correction, I opened an additional sell order with the target at the -2/8 level. We should note, that if the price breaks it, the lines at the chart will be redrawn.
At the H1 chart, Silver is also moving inside “oversold zone”. If bears are able to rebound from Super Trend, the market may break the 2/8 level during the next several hours. In this case, I’ll move the stops on my sell orders to a local minimum.
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Editors’ Picks
AUD/USD remained bid above 0.6500
AUD/USD extended further its bullish performance, advancing for the fourth session in a row on Thursday, although a sustainable breakout of the key 200-day SMA at 0.6526 still remain elusive.
EUR/USD faces a minor resistance near at 1.0750
EUR/USD quickly left behind Wednesday’s small downtick and resumed its uptrend north of 1.0700 the figure, always on the back of the persistent sell-off in the US Dollar ahead of key PCE data on Friday.
Gold holds around $2,330 after dismal US data
Gold fell below $2,320 in the early American session as US yields shot higher after the data showed a significant increase in the US GDP price deflator in Q1. With safe-haven flows dominating the markets, however, XAU/USD reversed its direction and rose above $2,340.
Bitcoin price continues to get rejected from $65K resistance as SEC delays decision on spot BTC ETF options
Bitcoin (BTC) price has markets in disarray, provoking a broader market crash as it slumped to the $62,000 range on Thursday. Meanwhile, reverberations from spot BTC exchange-traded funds (ETFs) continue to influence the market.
US economy: slower growth with stronger inflation
The dollar strengthened, and stocks fell after statistical data from the US. The focus was on the preliminary estimate of GDP for the first quarter. Annualised quarterly growth came in at just 1.6%, down from the 2.5% and 3.4% previously forecast.