Daily Review for March 23, 2022
Gold prices remain in a sideways trend. Traders are watching the statements of the Fed and the ECB. The focus is on the volatility caused by the interest rate hike.
European stock markets open higher. European stock indices shows upward movements. European bonds and fixed income instruments correct.
Retail investors managed to push Bitcoin towards USD$43,300. Hedge funds have not entered the market for the time being. The near-term target is USD$45,500.
The energy commodity market continues to rise. The price of WTI keeps rising, due to the possible supply shock generated by the sanctions on Russia.
|Traders are once again paying close attention to Jerome Powell’s statement as Fed Chairman. The Fed’s vision continues to be to reduce inflation to the 2% per year. At the last reading in February 2022, the U.S. inflation rate was 7.9% p.a., well above the Fed’s inflation target. Therefore, the market anticipates several rate hikes during the year. On the other hand, the war in Ukraine continues, generating volatility in the market, mainly in commodities. The price of gold is currently down 0.07% and is trading at USD$1,920 per Troy ounce.|
|Support 1: 1,916.20|
Support 2: 1,914.55
Support 3: 1,911.95
Resistance 1: 1,920.45
Resistance 2: 1,923.05
Resistance 3: 1,924.70
Pivot Point: 1,918.80
|The price is below the 200-day moving average, presenting sideway on the support of USD$1.910. Expected trading range between USD$1,911 and USD$1,924. Pivot point for trend change at USD$1,918. RSI neutral, so the sideways trend may remain.|
|EUROSTOXX 50 +0.37%|
|European stock markets open higher, boosted by market expectations about the European Central Bank meeting. At the moment the Eurostoxx 50 is up 0.37% and is trading at 3,844. Traders are keeping an eye on the ECB and the possibility of the timing of interest rate hikes in Europe. The ECB meeting is also focused on assessing the bloc’s economic scenarios in times of conflict and post-pandemic.|
|Support 1: 3,842|
Support 2: 3,834
Support 3: 3,823
Resistance 1: 3,861
Resistance 2: 3,872
Resistance 3: 3,880
Pivot Point: 3,853
|The price is above the 200-day moving average. The Ichimoku cloud projects the price towards 3,841. Bullish movement above the 3,861 resistance. If the buying volume manages to overcome the supply, the price could approach 4,000 points. Expected trading range between 3,823 and 3,880. RSI approaching the overbought zone.|
|The recent price momentum pushed Bitcoin towards USD$43,300, where traders started to take profit. At the moment the price is correcting 0.43% and is trading at USD$42,074. Bulls are keeping the target at USD$45,500. The momentum has been generated by retail traders, while whales and hedge funds are still staying away from the market, mainly due to increased regulation in Europe and USA.|
|Support 1: 42,036.4|
Support 2: 41,937.7
Support 3: 41,820.4
Resistance 1: 42,252.4
Resistance 2: 42,369.7
Resistance 3: 42,468.4
Pivot Point: 42,153.7
|The price remains above the 200-day moving average, which is a bullish signal for Bitcoin. Expected trading range between USD$41,820 and USD$42,468. Pivot point for trend change at USD$42,153. RSI neutral. The price is at the support line, so it could present a rebound.|
|Weekly U.S. crude oil reserves decreased by 4.2 million barrels. Today, traders are watching the inventories report, where analysts expect an increase of 110,000 barrels. Meanwhile, the price maintains its upward trend, currently up 1.07% and trading at USD$110.56 per barrel. The upward trend is maintained due to the market’s fear of a supply shock from Russia derived from the sanctions.|
|Support 1: 109.65|
Support 2: 108.90
Support 3: 108.49
Resistance 1: 110.81
Resistance 2: 111.22
Resistance 3: 111.97
Pivot Point: 110.06
|The price remains above the 200-day moving average. It is currently between the USD$113 resistance and USD$106 support. Pivot point for trend change at USD$110.06. RSI neutral. The next target for the Bulls is at USD$120 per barrel.|
Capitalix Market Research
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