Conflicting Italian budget, no Brexit deal, and plummeting equities all conspired to strengthen the USD Monday. Italy subject to sanctions if it doesn't present a better 2019 budget to the EU Commission.
The AUD/USD pair lost a couple of critical supports, now resistances amid Wall Street's rout, led by the tech sector, and plummeting commodities. Gold about to challenge 1,200.00.
European markets are set to get the week off to a positive start despite Brexit and Italy risks seemingly rising as both enter into a crucial period.
Italy has said they will not change their deficit spending plans setting up a potential test of the Commission’s never used enforcement mechanism.
Top 3 Price Forecast - Bitcoin, Ethereum, Ripple: Zero visibility in a market with little desire to take action
The week starts at the Crypto market with an opposite scenario to the one we had last week. This week very short-term indicators are pointing up. The medium-term situation continues to show a structure that proposes laterality for the next few days.
Litecoin price through the mid point of Monday's session was trading broadly flat, after starting the day initially under selling pressure. LTC/USD managing to find buyers within the mid-$50 region, a known buying area.
Ripple's XRP was seen up with gains of around 0.60% heading through the mid-point of Monday's session. XRP/USD bulls broke out to the upside from a bullish flag pattern formation.
Bitcoin Cash price embarked on a gain trimming exercise over the weekend with declines hitting 8%. The fourth largest cryptocurrency had added massive gains following the breaking of the news that the incoming hard for will a new token birthed.
The EUR/USD attempted a recovery but found itself on the back foot once again
The EUR/USD hit a new high of 1.1500 but was unable to hold onto it. The failure resulted in a gradual drop to the bottom of the range. The US Mid-Term elections yielded a divided government: Democrats won the House and Republicans retained the Senate, a result that had been forecast by the polls.
EUR/USD fell sharply on a mix of bad news from Italy, Brexit concerns, and the ongoing strength of the US Dollar. While it bounced off the lows, there is some hesitance. What's next?
The Technical Confluences Indicator shows that the pair needs to overcome the 1.1272 level where we see the convergence of the Pivot Point one-month Support 1, the Bollinger Band 15m-Upper, the Simple Moving Average 5-15m and the previous high.
If EUR/USD makes a move higher, the next significant cluster is 1.1319 where we see the confluence of the Pivot Point one-day S1, the SMA 100-15m, and the previous day's low.
If it does not recover and the current bounce is only a "dead cat bounce", the next and last visible support line is at 1.1202 which is the meeting point of the Pivot Point one-month S1 and the PP one-week S2.
NEXT LIVE SHOWS
|Date||Event Title||Sponsor||More Info|
|Premium||Trading Levels David Pegler||Event Details|
|Premium||Trading Forex with Models of Participation Giuseppe Basile, CSTA/IFTA||Event Details|
|Premium||Stuck? How to Overcome Your Trading Challenge Walter Peters||Event Details|
|Premium||US Pre-Market Open Ed Ponsi, CMT, CTA||Event Details|