Daily Review for July 12, 2022
The legal dispute between Elon Musk and Twitter knocked down the stock markets on Wall Street, after the entrepreneur decided not to move forward with the purchase of the company.
Crypto traders have secured gains in the USD$22,000 range. They are now waiting for inflation data in the United States, which will generate high volatility in Bitcoin.
France has completely restricted its natural gas imports from Russia. Gazprom suspended supply through Nord Stream due to maintenance.
The gold price continues to correct, this time by 0.55% and is trading at USD$1,732 per Troy ounce. However, it could have a chance to rebound this week, depending on inflation in the US.
| NASDAQ 100 -1.47% |
| The legal dispute between Elon Musk and Twitter knocked down the stock markets on Wall Street, after the entrepreneur decided not to move forward with the purchase of the company. The Nasdaq 100 is currently down 1.47% and is trading at 11,926 points. Twitter shares are down 9.66% and are trading at USD$33.28. In the absence of macroeconomic events, investors have taken positions based on this lawsuit. Cryptos are also falling as they have a high correlation with the index of technology companies. |
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| Support 1: 11,914.9 Support 2: 11,871.8 Support 3: 11,841.1 Resistance 1: 11,988.7 Resistance 2: 12,019.4 Resistance 3: 12,062.5 Pivot Point: 11,945.6 |
| The price is above the 200-day moving average, between resistance 2 and support 1. Expected trading range between USD$11,841 and USD$12,062. Pivot point for trend change at USD$11,945. RSI neutral, so the price could continue correcting towards support 1, for traders to evaluate a change of trend. |
| BITCOIN -1.28% |
| Crypto traders have locked in profits in the USD$22,000 range. They are now waiting for the US inflation data, which will generate high volatility in Bitcoin. Analysts hold mixed positions. Bears indicate that since the price is below the 200-day moving average, the price could fall below the USD$19,000 support. Bulls see short-term resistance at USD$32,000 and USD$37,000, which would be driven by a bullish equity market. The USD is bullish, which is helping Bitcoin’s recovery a bit. The most important event is the US inflation report. The data will be released on July 13. It is expected to be 8.8% y/y. |
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| Support 1: 20477.3 Support 2: 20334.3 Support 3: 20251.5 Resistance 1: 20703.0 Resistance 2: 20785.7 Resistance 3: 20928.7 Pivot Point: 20560.0 |
| The price is right at the 200-day moving average, between support 1 and resistance 1. Expected trading range between USD$20,251 and USD$20,928. Pivot point for trend change at USD$20,560. RSI neutral so the price could continue sideways above the current level, waiting for more market volatility after the inflation result. |
| NATURAL GAS +6.53% |
| France has completely restricted its natural gas imports from Russia. For its part, Gazprom suspended supply through Nord Stream due to maintenance. This caused Germany to be partially without gas supply. At the moment natural gas is up 6.53% and is trading at USD$6.42 per BTU. Meanwhile, the European Union continues its efforts to secure supplies of the commodity in Africa and the Middle East. USA continues to export significant volumes of LNG to Europe. |
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| Support 1: 6,391 Support 2: 6.334 Support 3: 6.279 Resistance 1: 6.503 Resistance 2: 6.558 Resistance 3: 6,615 Pivot Point: 6,446 |
| The price is above the 200-day moving average, between support 1 and resistance 1. Expected trading range between USD$6.27 and USD$6.61. Pivot point for trend change at USD$6.44. RSI neutral, so the price could continue to rise, driven by volume demand after the summer in Europe and in the northern hemisphere. Bulls target remains at USD$7 per BTU. |
| GOLD -0.55% |
| The gold price continues to correct, this time by 0.55% and is trading at USD$1,732 per Troy ounce. However, it could have a chance to rebound this week, depending on inflation in the US. Analysts expect an annual CPI of 8.8%. The fall in the gold price is explained by the strength of the USD and the partial rebound in equities. However, the continuity of central banks’ interest rate hikes is increasing investors’ interest in the metal. |
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| Support 1: 1,732.09 Support 2: 1,729.87 Support 3: 1,728.59 Resistance 1: 1,735.59 Resistance 2: 1,736.87 Resistance 3: 1,739.09 Pivot Point: 1,733.37 |
| The price is below the 200-day moving average, between resistance 1 and support 2. Expected trading range between USD$1,728 and USD$1,739. Pivot point for trend change at USD$1,733. RSI neutral, so the price could continue to correct above support 2 and remain sideways before the US inflation report. |
| Sources |
| Reuters Market watch Bloomberg Capitalix Market Research |
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