Summary:
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Stock markets begin the week in the red
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Technical overview: DAX30
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Oil falls as Russia talks down production cuts
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NATGAS gains more than 5%
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Bitcoin falls to $5000 mark
It’s been a negative day for several markets so far with stocks coming back under pressure. US indices have all declined by more than 1% with the US100 the worst hit and down by over 2% at the end of the European session. The market is now back near the 6700 level and in danger of falling to its lowest level of the month. Looking at individual stocks, Netflix has an interesting technical pattern developing which could see the market print a death cross for the first time in over 2 years and the share price has fallen over 4% on the day.
The German index has come back to falls in recent weeks. In a weekly chart we may notice that the price has moved below its 200WMA. From this point of view the lows seen in the vicinity of the 50% retracement could be viewed as the major support. What’s more, this line is supported by the 113.6% retracement of the move between February and March 2018. If these levels are broken down, the price may move toward the 61.8% localized nearby 10550 points.
There’s been further selling seen in the energy space today with both Oil and Oil.WTI sliding following comments from the Russian energy minister. NATGAS has enjoyed some big days of late and it seems like it is on course for another with the market soaring over 5% and adding to large gains seen already this month. Turning our attention to crude the market had looked to recover towards the end of last week after some heavy selling but this afternoon it has come back under some pressure. Oil is back below the $66 handle and not too far from the recent swing low of 64.66. Russian energy minister Novak said they need to watch the market in the weeks ahead before making any decisions. "We need to see how the situation develops in November and early December to better understand bot the current conditions and the market outlook," he said.
It’s a similar theme in the cryptocurrency space with a slew of red across the board. Bitcoin, has fallen below bac near $5000 mark as the market continues to unwind after it broke key support last week. On the news front, Switzerland where the SIX Swiss Exchange, the primary Switzerland’s stock exchange, has given a green light to the Amun Crypto Exchange Traded Product, according to the Financial Times. The newspaper reported on Friday the mentioned product will start trading in Zurich this week. Amun Crypto ETP is aimed at tracking an index based on the movements of five major virtual currencies. Almost the half of assets will be invested in Bitcoin, and the rest of them will be invested in Ethereum, Ripple, Litecoin, and BitcoinCash, as Amun described.
