Daily Review for August 06, 2021
Bitcoin manages to break through the USD$40,000 resistance, fueling a new rally in the crypto market.
The U.S. Senate works on a more flexible regulatory scheme for the cryptocurrency market.
Gold continues to be under pressure due to the rally in equities. The NFP could confirm this trend or push the price of the metal higher.
German industrial production failed to beat market expectations. The EURUSD took the first hit.
The DAX 30 maintains the uptrend. The index pushes for European indexes to open higher.
Traders in Europe are waiting for the NFP.
Delta variant continues to pressure the market. Governments evaluate new restrictions.
| BITCOIN +2.85% |
| Bitcoin partially overcomes the USD$40,000 resistance. At the moment the price is up 2.85% and is trading at USD$40,450. Now traders are looking forward to the expiration of USD$625 million in Bitcoin options that will take place today. That’s USD$400 million in call options and USD$225 million in put options. On the other hand, the U.S. Senate is organizing a more flexible plan to regulate the crypto industry, which is favorable in the short term. |
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| Support 1: 39,911.7 Support 2: 39,684.1 Support 3: 39,462.8 Resistance 1: 40,360.6 Resistance 2: 40,581.9 Resistance 3: 40,809.5 Pivot Point: 40,133.0 |
| The price is above the 200-day moving average. The crypto overcame the USD$40.000 resistance. Bulls are looking to consolidate the price, taking it to the USD$42.000 area. Expected trading range between USD$39,462 and USD$40,809. Pivot point at USD$40,133. RSI leaving the overbought zone. |
| GOLD -0.30% |
| Gold price continues to decline. It is currently down 0.30% and is trading at USD$1,801 per Troy ounce. Bulls are trying to defend the actual level. However, the equities market closed yesterday in positive territory, which generates a loss of investor interest in the metal. Today, we will have the NFP report, where at least 870,000 new jobs are expected to be created. If the NFP report does not exceed expectations and if the unemployment rate is higher than expected (5.7%), gold prices could recover the bullish trend. Conversely, if the NFP is better and the unemployment rate lower, the gold price could break the current support and move below USD$1,800. |
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| Support 1: 1,801.41 Support 2: 1,800.28 Support 3: 1,799.41 Resistance 1: 1,803.41 Resistance 2: 1,804.28 Resistance 3: 1,805.41 Pivot Point: 1,802.28 |
| Bearish trend. Price is below the 200-day moving average. Expected trading range between USD$1,799 and USD$1,805. Pivot point at USD$1,802. Neutral RSI coming out of the oversold zone. Bears are looking for support at USD$1,791. |
| EURUSD -0.08% |
| German industrial production fell 1.3% in June 2021, falling short of market expectations. This is putting pressure on the EURUSD. The currency is currently down 0.08% and is trading at 1.1827. The increase in Delta cases is generating business losses for the German industry and the European Union. Although the summer continues without major restrictions, an increase in the number of cases and border closures is expected. Traders are now waiting for the NFP to assess the performance of the currency. |
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| Support 1: 1.1823 Support 2: 1.1820 Support 3: 1.1818 Resistance 1: 1.1827 Resistance 2: 1.1830 Resistance 3: 1.1832 Pivot Point: 1.1825 |
| The price is below the 200-day moving average. The Ichimoku cloud projects the trading range between 1.1834 and 1.1861. Pivot point at 1.1825. RSI neutral. Bearish channel. Possible trend reversal with the NFP. |
| DAX 30 +0.24% |
| The DAX 30 is currently up 0.24% and is trading at 15,768. Despite the poor industrial production data in Germany, the index has managed to maintain the uptrend. European stock index futures are in the green, which could be evidence of a bullish opening of the spot market. Traders in Europe are awaiting the NFP result, which could set the trend for today’s trading session. |
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| Support 1: 15.737,5 Support 2: 15.726,0 Support 3: 15.720,0 Resistance 1: 15.755,0 Resistance 2: 15.761,0 Resistance 3: 15.772,5 Pivot Point: 15.743,5 |
| The Ichimoku cloud projects the trading range between 15,608 and 15,712. Pivot point for trend change at 15,743. RSI in overbought zone, possible pullback. Bulls have managed to keep the price above 15,700. Bullish outlook. |
| Sources |
| Reuters Market watch Bloomberg Capitalix Market Research |
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