Daily Review for May 20, 2022
Global stock markets are in positive territory, looking to close the week with a rebound.
Traders continue to pay close attention to the European Central Bank’s statements. The fear of investors is that central banks will raise interest rates and not generate further reduction in inflation.
Bitcoin remains sideways between USD$29,000 and USD$30,000.
Analysts said that despite the world entering a recession, crude oil prices may continue to rise.
| NASDAQ 100 +0.82% |
| Global stock markets are in positive territory, looking to close the week with a rebound. However, investors continue to keep an eye on inflation, central bank strategy and fears of an economic recession. Cryptos are bouncing, which also favors the companies that make up the Nasdaq 100, as many of them have investments in cryptocurrencies. At the moment the index is up 0.82% and is trading at 11,982 points. |
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| Support 1: 11,955.2 Support 2: 11,926.4 Support 3: 11,890.3 Resistance 1: 12,020.1 Resistance 2: 12,056.2 Resistance 3: 12.085,0 Pivot Point: 11,991.3 |
| Price is below the 200-day moving average, between resistance 1 and support 1. Expected trading range between 11,890 and 12,085. Pivot point for trend change at 11,991. RSI neutral, so the price rebound could continue to 12,541. |
| DAX 40 +1.15% |
| Traders continue to monitor the European Central Bank’s statements. The fear of investors is that central banks will raise interest rates and not generate a further reduction in inflation, which could immediately push the global economy into stagflation. For the time being, a more aggressive monetary policy is expected. At the moment the DAX 40 is up 1.15% and is trading at 14,000 points. |
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| Support 1: 13,942.4 Support 2: 13,920.7 Support 3: 13,896.4 Resistance 1: 13,988.4 Resistance 2: 14,012.7 Resistance 3: 14,034.4 Pivot Point: 13,966.7 |
| Price is above the 200-day moving average, between support 1 and resistance 2. Expected trading range between 13,896 and 14,034. Pivot point for trend change at 13,966. RSI neutral, so the index could continue to bounce towards resistance 2. |
| BITCOIN +3.08% |
| Bitcoin remains sideways between USD$29,000 and USD$30,000, with analysts seeing two possible scenarios. One is that the bears gain ground and Bitcoin drops towards USD$25,000 support and then falls to USD$10,000 support. The second scenario is that the Bulls gain momentum and the price starts to move higher looking to break above all-time highs. On the other hand, Microstrategy’s CEO maintains his strong position in Bitcoin, where they see it as the future of money. |
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| Support 1: 29,856.4 Support 2: 29,698.7 Support 3: 29,535.4 Resistance 1: 30,177.4 Resistance 2: 30,340.7 Resistance 3: 30,498.4 Pivot Point: 30,019.7 |
| The price is above the 200-day moving average, between support 1 and resistance 1. Expected trading range between USD$29,535 and USD$30,498. Pivot point for trend change at USD$30,019. RSI neutral, so the price can continue rising towards resistances 1 and 2. |
| WTI -0.60% |
| Analysts said that despite the world entering a recession, crude oil prices may continue to rise. On the other hand, Saudi Aramco’s trading area is planning to launch an IPO (Initial Public Offering). Analysts are also assessing a domestic fuel crisis scenario in the US. The European Union continues to evaluate the implementation of sanctions on Russia’s energy sector. The US government is thinking of sanctioning countries that buy oil from Russia. |
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| Support 1: 108.80 Support 2: 108.45 Support 3: 108.10 Resistance 1: 109.50 Resistance 2: 109.85 Resistance 3: 110.20 Pivot Point: 109.15 |
| The price is above the 200-day moving average, between resistance 1 and support 1. Expected trading range between USD$108.10 and USD$110.20. Pivot point for trend change at USD$109.15. RSI neutral, so the price may correct some additional points before changing trend. |
| Sources |
| Reuters Market watch Bloomberg Capitalix Market Research |
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