Daily Review for March 08, 2022
WTI and Brent continue to rise. WTI reached USD$130 per barrel. Traders continue to close deals in the spot market, so the price corrected towards USD$122. Analysts expect the price to rebound towards USD$150 per barrel as the war continues.
Bitcoin rebounds and seeks to regain the bullish channel towards USD$45,000. Microstrategy and Steve Wozniak increase their exposure to the asset.
Traders are paying attention to the development of the war in Ukraine. Also to the GDP data in the Euro Zone for Q4 2021, which is expected at 4.6%.
Russia announced that it may suspend the supply of natural gas to Europe, through Nordstream 1.
| WTI +1.64% |
| Despite the profit taking above the level of USD$130 per barrel, WTI price continues its upward trend. At the moment the price is up 1.64% and is trading at USD$121.35 per barrel. Analysts estimate a possible rebound towards USD$150 per barrel, if the USA and its allies sanction oil embargo to Russian. According to the Russian energy minister, an oil embargo could push oil prices to USD$300 per barrel. Meanwhile, Russia announced that it may cut off natural gas supplies to Europe via Nordstream 1. For the moment, physical traders continue to close deals in the spot market, but maintain volume for the months ahead, forecasting a further rebound in the oil prices. |
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| Support 1: 121.07 Support 2: 120.08 Support 3: 118.99 Resistance 1: 123.15 Resistance 2: 124.24 Resistance 3: 125.23 Pivot Point: 122.16 |
| Price is at resistance 1, looking to rebound again towards USD$127.55. Expected trading range between USD$118.99 and USD$125.23. Pivot point for trend change at USD$122.16. RSI neutral, so the uptrend could continue. |
| BITCOIN +1.60% |
| Coinbase blocked the assets of Russian customers. In the meantime, the Russian Central Bank is moving forward with the Bitcoin regulatory framework. At the moment the Bitcoin price is bouncing back, rising 1.60% and trading at USD$38,736. Microstrategy’s CEO explained why Bitcoin can be a safe haven asset, due to its scarcity effect because of its protocol. The company continues to increase its volume of Bitcoins, as does Steve Wozniak. The Bulls maintain the short-term target at USD$45,000. |
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| Support 1: 38,248.0 Support 2: 37,929.0 Support 3: 37,678.0 Resistance 1: 38,818.0 Resistance 2: 39,069.0 Resistance 3: 39,388.0 Pivot Point: 38,499.0 |
| The price bounced from support 1 to the level of USD$39,219. However, it remains below the 200-day moving average, which is a bearish signal. On the other hand, the Ichimoku cloud projects sideways movement. Expected trading range between USD$37,678 and USD$39,388. Pivot point at USD$38,499. RSI neutral. |
| EUROSTOXX 50 +1.53% |
| Traders are keeping an eye on the development of the war in Ukraine. In the meantime, they are watching the Euro Zone GDP, which is expected to come in at 4.6% for Q4 2021. If geo-political tensions ease a bit, and the GDP figure exceeds market expectations, we could see a continuation of the stock market rebound. At the moment, the Eurostoxx 50 is up 1.53% and is trading at 3,573. For their part, the European indices are rising, with important movements in the IBEX35 +3.08%, CAC 40 +2.32% and in the MIB 40 +3.01%. |
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| Support 1: 3,466 Support 2: 3,372 Support 3: 3,300 Resistance 1: 3,632 Resistance 2: 3,704 Resistance 3: 3,798 Pivot Point: 3,538 |
| The index changed trend after reaching the pivot point at 3,480. At the moment the price is at resistance 1, point at which the Bulls are looking for continuation to the 3,798 level. Expected trading range between 3,300 and 3,798. Pivot point at 3,538. RSI neutral, so the uptrend could continue. |
| NATURAL GAS -2.67% |
| Russia announced that it may suspend the supply of natural gas to Europe through Nordstream 1. Natural Gas is currently up 2.67% and is trading at USD$4.70 per BTU. As for the other commodities in the energy segment, they continue to rise, so Natural Gas could soon change its trend. On the other hand, traders continue to hold positions in metals, hedging their portfolios with gold and silver. In industrial metals such as Nickel, there was a rally of 68.58%. |
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| Support 1: 4.677 Support 2: 4.651 Support 3: 4.630 Resistance 1: 4.724 Resistance 2: 4.745 Resistance 3: 4.771 Pivot Point: 4.698 |
| The price is at support 1, where it could reach a double bottom, so a rebound towards the pivot point would be expected. If so, the commodity could change its trend. Expected trading range between USD$4.63 and USD$4.77. Pivot point for trend change at USD$4.69. RSI in oversold zone, which would confirm the above. |
| Sources |
| Reuters Market watch Bloomberg Capitalix Market Research |
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