EUR/USD is trading around 1.1100, in familiar ranges. Italian President Mattarella will explore if a new government can be formed after PM Conte resigned. The FOMC Minutes are eyed later in the day.
GBP/USD is trading below 1.2150, losing some ground. UK PM Johnson will meet German Chancellor Merkel in Berlin after the latter called for finding practical solutions on the Irish backstop.
US President Donald Trump has said that he is still not ready to make a trade deal with China, cooling some optimism. Trump also said that a recession is unlikely and repeated his calls for the Federal Reserve to cut interest rates.
Gold edged lower through the early European session on Wednesday and is currently placed at the lower end of its weekly trading range, just below the key $1500 psychological mark.
Bitcoin continues to prove many analysts’ predictions right. Especially those predicting that a drop to $9,000 is necessary before the next rally that might close in on $20,000.
Ripple’s senior vice president of Xpring, Ethan Beard, said that they’re working on widespread adoption of XRP. Xpring has already invested at least $500 M in more than 20 companies.
The bearish wave is not slowing down for the second day in a row. Ethereum’s failure to break above $205 hurdles seems to have killed bull’s confidence in the recovery.
Bears have had a stranglehold on the market for the last two days, with Ethereum Classic being the only exception among the top 20. Let’s take a closer look at how the top three did and then reveal the biggest winners and losers of the day, among the top 20 coins.
Updated euro-zone GDP, the US consumer, and trade are eyed
"When two are fighting, the third wins" – goes the saying. The euro has benefited from the intensifying US-Sino trade spat. China has devalued its yuan and triggered a rush to safety that weighed on the USD. Will this continue? Back in the euro-zone, updated GDP data, a German business survey, and Italy's political issues will compete for attention with the US consumer.
GBP/USD has recovered after German Chancellor Angela Merkel opened the door to a solution on the controversial Irish backstop topic that the UK government opposes. Can sterling continue higher?
The Technical Confluences Indicator is showing that GBP/USD enjoys some support at 1.2141, which is the convergence of the Simple Moving Average 200-15m, the SMA 50-1h, the Fibonacci 38.2% one-day, the Fibonacci 23.6% one-week, and the SMA 100-15m.
Stronger support awaits at 1.2215, where we note the confluence of the Fibonacci 38.2% one-week, the SMA 5-1d, and the previous monthly low.
Looking up, only weak resistance awaits at 1.2180, where the Bollinger Band one-day Middle, the BB 15min-Upper, and the previous 4h-high converge.
The next target is 1.2211, where the BB 1h-Upper, the PP 1w-R1, and the PP 1d-R1 meet.