Daily review for December 22, 2021
Omicron continues to expand globally. Traders are aware of market volatility. At the moment the VIX is at +1.02%.
Wall Street stock indices are trading in negative territory, mainly due to the risk of border closures after Omicron.
Commodities are trading mixed at the moment, with main upward movements in Natural Gas +6.17% and downward movement in silver -0.14%. Traders are paying attention to the IEA inventories report, which is expected to decrease by 2.7 million barrels in the United States.
Bitcoin keeps the uptrend. Bulls are looking for USD$50,000 and the momentum that will allow the year-end rally.
| DOW JONES -0.05% |
| Omicron continues to spread globally. The WHO has requested to cancel as much as possible Christmas and New Year’s Eve celebrations due to the risk of spread. Governments do not rule out further confinements. At the moment, the Dow Jones is down 0.05% and is trading at 35,474 points. In view of the possible effect on the markets, volatility in the indices and commodities is expected to increase. Traders are also keeping an eye on the Nasdaq 100 and technology stocks, which have performed well at the peak of the pandemic. |
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| Support 1: 35,466.8 Support 2: 35,446.2 Support 3: 35,409.4 Resistance 1: 35,524.2 Resistance 2: 35,561.0 Resistance 3: 35,581.6 Pivot Point: 35,503.6 |
| Price is bouncing from support 1. Currently between the pivot point and resistance 1. Expected trading range between USD$1,788 and USD$1,805. RSI is neutral at the moment. |
| WTI +0.10% |
| Traders are watching the U.S. crude oil inventories report. For its part, IEA expects a decrease of 2.7 million barrels. The risk of border closures and decreased physical trade increases due to Omicron. Traders assess the industry’s balance sheet. At the moment WTI is up 0.10% and is trading at USD$71.23 per barrel. Energy demand continues to increase. Temperatures are decreasing due to the winter, and the price of Natural Gas is rebounding 6.06% at the moment, trading at USD$3.88 per BTU. |
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| Support 1: 71.17 Support 2: 71.09 Support 3: 70.97 Resistance 1: 71.37 Resistance 2: 71.49 Resistance 3: 71.57 Pivot Point: 71.29 |
| Price is at resistance 1. Expected trading range between USD$70.97 and USD$71.57. Pivot point for trend change at USD$71.29. RSI leaving the overbought zone. Possible sideways movement, while market volatility generates a new trend. |
| BITCOIN +1.22% |
| Cryptos are looking to generate a new rally by the end of the year. Bitcoin is currently up 1.22% and is trading at USD$49,170. Bulls are starting to look for USD$50,000. The Central Bank of Russia does not intend to restrict the purchase and storage of cryptocurrencies. On the other hand, Ethereum developers have included within the platform’s functionalities, the block explorer, network statistics and better distributors to streamline transactions. |
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| Support 1: 49,133.1 Support 2: 48,996.1 Support 3: 48,905.2 Resistance 1: 49,361.0 Resistance 2: 49,451.9 Resistance 3: 49,588.9 Pivot Point: 49,224.0 |
| The price is at a double top at USD$49,150. Expected trading range between USD$48,905 and USD$49,588. Pivot point for trend change at USD$49,224. The price continues above the 200-day moving average, which is a bullish sign. RSI neutral so it could give continuity to the trend. |
| Sources |
| Reuters Market watch Bloomberg Capitalix Market Research |
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