Daily review for December 23, 2021
Stock indices are starting to lose trading volume. Eyes are on the Christmas rally that could be generated during the last week of December and the first week of January 2022.
Natural gas futures continue to rise. The energy market is starting to flatten out, however increasing demand peaks in Europe, keeping commodity prices above support.
The crypto market continues to rise. Bitcoin and Ethereum remain above the 200-day moving average. Bulls look for all-time highs.
|NASDAQ 100 +0.73%|
|The WHO published new data suggesting that the Omicron variant is less severe than initially thought. This, together with the flattening of the energy markets, is generating the usual pause in the stock markets during the vacation season. The Nasdaq 100 is currently up 0.73% and is trading at 16,105 points. The S&P500 is up 0.60% and the Dow Jones is up 0.46%. Traders are keeping an eye on Canada’s GDP and new home sales in the United States.|
|Support 1: 15,948.8|
Support 2: 15,883.5
Support 3: 15,831.6
Resistance 1: 16,066.0
Resistance 2: 16,117.9
Resistance 3: 16,183.2
Pivot Point: 16,000.7
|The price started the rebound from the support 2, where there was a balance between supply and demand before starting the rally. The Bulls are looking for resistance 3. If it is reached, the next target level is 16,747 points. Pivot point at 16,000. RSI in overbought zone.|
|NATURAL GAS +8.87%|
|The energy market in Europe is starting to turn lower due to the vacation season. However, Natural Gas futures continue to trade higher, as the strong winter is generating an increase in demand for the commodity. At this moment Natural Gas is up 8.87% and is trading at USD$3.98 per BTU. On the other hand, crude oil inventories in the United States decreased by 4.7 million barrels, which indicates the increase in energy demand in the United States.|
|Support 1: 3.964|
Support 2: 3.942
Support 3: 3.919
Resistance 1: 4.009
Resistance 2: 4.032
Resistance 3: 4.054
Pivot Point: 3.987
|The price is at resistance 2, where the Bulls are again looking for the USD$4 per BTU area. Expected trading range between USD$3.91 and USD$4.05. RSI approaching the overbought zone. Pivot point at USD$3.98.|
|Bulls look for Christmas rally in cryptos. If so, the major cryptocurrencies could reach all-time highs by the end of 2021. This could be generated in part by market optimism, lower hedge fund activity, and announcements such as former Twitter CEO Jack Dorsey’s in recent days mentioning that Bitcoin could replace the dollar. Bitcoin is currently up 1.29% and is trading at USD$48,900.|
|Support 1: 48,751.4|
Support 2: 48,590.7
Support 3: 48,506.4
Resistance 1: 48,996.4
Resistance 2: 49,080.7
Resistance 3: 49,241.4
Pivot Point: 48,835.7
|Expected trading range between USD$48,506 and USD$49,241. Pivot point for trend change at USD$48,835. RSI neutral. The price continues above the 200-day moving average. The Bulls continue to wait for the break of resistance 1 to start climbing above USD$50,000.|
Capitalix Market Research
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