- Global stocks rebound slightly
- EURUSD returns to 1.17 level
- Cryptocurrencies rose sharply
Friday's macroeconomic calendar was not very interesting, so the volatility in the FX market was moderate. The dollar, which has recently been in an uptrend, is slightly losing today. USD decreased by 0.25% against the Euro. The US currency also loses 0.2% against the Swiss franc and the New Zealand dollar. The GBPUSD currency pair is trading flat, while the AUD, JPY, CAD currency pair are slightly losing against the dollar. The EURUSD returned to the 1.17 level and this may form a potential bullish piercing pattern on the D1 interval.
A bit more volatility was seen on the stock market. The main European stock indices started today’s session under pressure, however buyers took the initiative very quickly and the vast majority of European bourses finished the day in positive territory. The mood clearly improved in the United States, where major indices rebounded after the recent strong declines caused by the publication of the FED Minutes. The Nasdaq rose more than 1% and is the best performer while the S&P 500 adds 0.77% and the Dow Jones ranks 0.73% higher.
Start investing today or test a free demo
Create account Try a demo Download mobile app Download mobile appThe crypto market did well on Friday. Ripple, Ethereum and Bitcoincash gain almost 4%. Meanwhile, Bitcoin and Litecoin rose over 4.5%! The main cryptocurrency reached levels unseen since May this year amid rising interest from institutional investors. Wells Fargo – one of the biggest US banks registered a new, pooled investment fund that offers its wealthy clients indirect exposure to Bitcoin. Meanwhile Blackrock, the world’s largest asset manager, had nearly $400 million invested in bitcoin mining companies at the end of the second quarter, according to the SEC filing. If the current sentiment prevails, an attack on the psychological level of $ 50,000 is possible in the near future.
WTI crude fell 1.60% and is trading slightly around $62.60 a barrel, while Brent dropped 1.30% and is trading above $65.50, extending losses for the 7th day. Elsewhere gold lost 0.40% and is trading slightly above $ 1,780.00 / oz, while silver is trading 1.0 % lower around $ 23.25 / oz.
Looking at the Dow Jones (US30) index from a technical point of view, buyers managed to halt declines around the support zone at 34,600 pts. We are currently observing a test of major resistance at 35,055 pts. Should break higher occur, then upward move may accelerate towards all-time high at 35,550pts. On the other hand, if bullish momentum fades away here, then downward correction may deepen.
US30 interval H4. Source: xStation5
The content of this report has been created by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, (KRS number 0000217580) and supervised by Polish Supervision Authority ( No. DDM-M-4021-57-1/2005). This material is a marketing communication within the meaning of Art. 24 (3) of Directive 2014/65/EU of the European Parliament and of the Council of 15 May 2014 on markets in financial instruments and amending Directive 2002/92/EC and Directive 2011/61/EU (MiFID II). Marketing communication is not an investment recommendation or information recommending or suggesting an investment strategy within the meaning of Regulation (EU) No 596/2014 of the European Parliament and of the Council of 16 April 2014 on market abuse (market abuse regulation) and repealing Directive 2003/6/EC of the European Parliament and of the Council and Commission Directives 2003/124/EC, 2003/125/EC and 2004/72/EC and Commission Delegated Regulation (EU) 2016/958 of 9 March 2016 supplementing Regulation (EU) No 596/2014 of the European Parliament and of the Council with regard to regulatory technical standards for the technical arrangements for objective presentation of investment recommendations or other information recommending or suggesting an investment strategy and for disclosure of particular interests or indications of conflicts of interest or any other advice, including in the area of investment advisory, within the meaning of the Trading in Financial Instruments Act of 29 July 2005 (i.e. Journal of Laws 2019, item 875, as amended). The marketing communication is prepared with the highest diligence, objectivity, presents the facts known to the author on the date of preparation and is devoid of any evaluation elements. The marketing communication is prepared without considering the client’s needs, his individual financial situation and does not present any investment strategy in any way. The marketing communication does not constitute an offer of sale, offering, subscription, invitation to purchase, advertisement or promotion of any financial instruments. XTB S.A. is not liable for any client’s actions or omissions, in particular for the acquisition or disposal of financial instruments, undertaken on the basis of the information contained in this marketing communication. In the event that the marketing communication contains any information about any results regarding the financial instruments indicated therein, these do not constitute any guarantee or forecast regarding the future results.
