Daily Review for February 8, 2022
Commodity prices in the energy segment continue to rise, mainly Natural Gas. The rise in prices is occurring due to the increase in geopolitical tensions between Russia and Ukraine.
Stock indices on Wall Street and in Europe are in positive territory. Traders are watching Pfizer’s financial results.
KPMG, as one of the Big 4 global auditors, included Bitcoin and Ethereum in its balance sheet. Cryptos continue to rise. Bulls look for USD$48,000 in Bitcoin.
WTI drops a few points, however, analysts’ outlook is for it to reach USD$100 per barrel.
| NATURAL GAS +1.75% |
| Geopolitical tensions between Ukraine and Russia are increasing significantly. Russia, for its part, has 100,000 troops active on the Ukrainian border. Natural Gas is currently up 1.75% and is trading at USD$4.30 per BTU. According to Goldman Sachs, commodity shortages could occur, due to the significant reduction in international physical trade, in the event of an armed conflict. On the other hand, Ukraine’s LNG imports continue to increase, mainly from the United States. Meanwhile, the US government announced that in the event of a Russian invasion, the Norsdstream 2 project would come to an end. |
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| Support 1: 4.262 Support 2: 4.233 Support 3: 4.194 Resistance 1: 4.330 Resistance 2: 4.369 Resistance 3: 4.398 Pivot Point: 4.301 |
| The price is below the 200-day moving average. Expected trading range between USD$4.19 and USD$4.39. Pivot point for trend change at USD$4.30. RSI neutral. The price is at the pivot point, where the uptrend could be confirmed. |
| S&P500 +0.20% |
| Season of corporate results continues. Today it is Pfizer’s turn, where traders are paying attention to analysts’ estimates. Earnings per share of 0.8742 is expected, with operating sales of USD$24.16 Billion and a Market Capitalization of USD$298.66 Billion. Pfizer is part of the S&P500, so traders are looking to take positions in the index. At the moment, the S&P500 is up 0.20% and is trading at 4,494 points. Wall Street indices are currently in positive territory, as are the European indices. |
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| Support 1: 4,478.0 Support 2: 4,472.8 Support 3: 4,465.3 Resistance 1: 4,490.7 Resistance 2: 4,498.2 Resistance 3: 4,503.4 Pivot Point: 4,485.5 |
| The index is above the 200-day moving average. The price is at the pivot point, so it could confirm or present a change of trend. Expected trading range to mark risk control tools at 4,465 and 4,503. Pivot point at 4,485. RSI neutral. |
| BITCOIN +3.58% |
| The increase in Bitcoin holders for its interest as a digital currency continues to rise. Bitcoin is currently up 3.58% and is trading at USD$44,137. The Bulls continue their quest for USD$48,000. On the other hand, Tesla holds USD$2 Billion in Bitcoin on its balance sheet. On the other hand, KPMG, one of the four leading global auditors, has included in its balance sheet reserves in Bitcoin and Ethereum. The above movements, and the rally of the last few days evidence that institutions and Hedge Funds have entered the market. |
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| Support 1: 44,734.6 Support 2: 44,547.3 Support 3: 44,435.6 Resistance 1: 45,033.6 Resistance 2: 45,145.3 Resistance 3: 45,332.6 Pivot Point: 44,846.3 |
| Bitcoin is above the 200-day moving average. The price is at resistance 1. Expected trading range between USD$44,435 and USD$45,332. Pivot point at USD$44,846. Neutral RSI leaving the overbought zone. If the buying volume continues, the Bulls’ target remains at USD$48,079. |
| WTI -0.69% |
| U.S. refinery stocks are beginning to decline as oil and natural gas exports to Europe increase. Commodity traders see further upside in energy commodity prices, driven by geopolitical tensions. At the moment, the WTI price is correcting 0.69% and is trading at USD$90.59 per barrel. Brent barrel is trading at USD$91.87. On the other hand, Saudi Arabia is increasing the level of crude oil production, in order to export to Europe. |
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| Support 1: 90.46 Support 2: 90.10 Support 3: 89.61 Resistance 1: 91.31 Resistance 2: 91.80 Resistance 3: 92.16 Pivot Point: 90.95 |
| The price is above the 200-day moving average. WTI is at support 1. Possible further decline to support 3 at USD$89 per barrel. Expected trading range between USD$89.61 and USD$92.16. Pivot point at USD$90.95. RSI neutral. |
| Sources |
| Reuters Market watch Bloomberg Capitalix Market Research |
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