Weekend Report Preview

LikesMoney Independent Analyst

The Dollar

The dollar closed below the 200 day MA the previous week, then printed its lowest point on Monday, day 26, to place it in its timing band for a daily cycle low.

The dollar printed a bullish reversal on Monday then formed a swing low and closed back above the 200 day MA on Tuesday to indicate that day 26 was the daily cycle low. The dollar delivered bullish follow through by closing above the 10 day MA on Friday. Currently, the dollar is in a daily downtrend and will remain so unless it closes back above the upper daily cycle band.

The dollar has printed its lowest point this week, following the week 10 peak. This was week 17, which is early for an intermediate cycle low. The trade war and global currency manipulation has caused the dollar’s cycles to become irregular so a 17 week ICL is certainly possible. The dollar printed a bullish weekly candle off support from the 50 week MA. So if a weekly swing low forms, that would indicate that week 17 was the intermediate cycle low. A break above 97.68 will form a weekly swing low. The dollar currently is in a weekly uptrend. The dollar will continue in its weekly uptrend unless it closes below the lower weekly cycle band.

Stocks

Stocks have been coiling above the upper daily cycle band for the past 2 weeks until Friday.

Stocks closed above the consolation box on Friday. The new high on Friday, day 16, begins to shift the odds towards a right translated daily cycle formation. That aligns with stocks being in a daily uptrend. Stocks will remain in their daily uptrend unless the close below the lower daily cycle band. We are starting to see breakouts across the different sectors.

The QQQ"s, Transports, Semiconductors, and the Financials all had breakouts this week. The breakouts indicate a new intermediate cycle has begun.

Stocks broke out of its weekly triangle consolidation and closed above the upper stem this week. The close above the upper stem of the triangle consolidation has us labeling week 17 as the intermediate cycle low, making this week 3 of the new intermediate cycle. Currently, stocks are in a weekly uptrend. They will remain in its weekly uptrend unless it closes below the lower weekly cycle band.

Author

LikesMoney

Independent Analyst

Assets (such as stocks, gold, and the dollar) have identifiable cycles.

EUR/USD hits two-day highs near 1.1820

EUR/USD picks up pace and reaches two-day tops around 1.1820 at the end of the week. The pair’s move higher comes on the back of renewed weakness in the US Dollar amid growing talk that the Fed could deliver an interest rate cut as early as March. On the docket, the flash US Consumer Sentiment improves to 57.3 in February.

GBP/USD reclaims 1.3600 and above

GBP/USD reverses two straight days of losses, surpassing the key 1.3600 yardstick on Friday. Cable’s rebound comes as the Greenback slips away from two-week highs in response to some profit-taking mood and speculation of Fed rate cuts. In addition, hawkish comments from the BoE’s Pill are also collaborating with the quid’s improvement.

Gold climbs further, focus is back to 45,000

Gold regains upside traction and surpasses the $4,900 mark per troy ounce at the end of the week, shifting its attention to the critical $5,000 region. The move reflects a shift in risk sentiment, driving flows back towards traditional safe haven assets and supporting the yellow metal.

Crypto Today: Bitcoin, Ethereum, XRP rebound amid risk-off, $2.6 billion liquidation wave

Bitcoin edges up above $65,000 at the time of writing on Friday, as dust from the recent macro-triggered sell-off settles. The leading altcoin, Ethereum, hovers above $1,900, but resistance at $2,000 caps the upside. Meanwhile, Ripple has recorded the largest intraday jump among the three assets, up over 10% to $1.35.

Three scenarios for Japanese Yen ahead of snap election

The latest polls point to a dominant win for the ruling bloc at the upcoming Japanese snap election. The larger Sanae Takaichi’s mandate, the more investors fear faster implementation of tax cuts and spending plans.

XRP rally extends as modest ETF inflows support recovery

Ripple is accelerating its recovery, trading above $1.36 at the time of writing on Friday, as investors adjust their positions following a turbulent week in the broader crypto market. The remittance token is up over 21% from its intraday low of $1.12.