The Dollar started the week off strong with positive price action during Tokyo trading hours. Those gains have been cleared out as a retracement has occurred after these moves. We are now seeing the Dollar bearish and all other major pairs are reacting to this.
Gold is trading upwards at $1752 after touching $1745 early morning. Bitcoin has proved the $16,000 level is very solid in terms of support. We can expect this price to hold in the near term.
In today’s DIFX Analytics, we’re going to look into the following assets:
The dollar Index pushes up early morning and then retraces
The Dollar is retracing after opening with bullish momentum. The index pushed up to $106.5 and has rebounded down.
RSI is currently at 46 and is falling with price action.
Bitcoin stays above $16,000
Bitcoin RSI on the 4-hour chart is gaining momentum since the FTT selloff and the $16,000 level has proven very supportive for the asset.
Fundamentally, there has been less noise of late surrounding cascading effects from the recent liquidity crisis. The 50-day EMA is slowly closing in on the 100-day EMA and a cross of these technicals will signal a bullish sentiment.
Gold is consolidating
Gold opened Monday trading at $1753 and is currently trading at $1752. The commodity is bearish with RSI reading around 50 on the 4-hour chart.
We have seen Gold consolidate slightly after touching $1785. Price action is hovering around the 50-day EMA on the 4-hour chart.
EUR/USD opens lower
EUR/USD fell to $1.034 during Tokyo morning trading hours but has rebounded 30 pips upwards to $1.037.
As the dollar falls, Euro will gain strength. We expect EURUSD to fall to $1.03 levels before returning to the bullish uptrend.
RSI is trending down on the 4-hour chart and we may see it touch 30 before reversing.
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