One minute market rundown – Stocks and risk lower

Stocks and risk lower.
USD reigns supreme.
Crypto steady but no bounce.

BCB Group Team BCB Group

The main story yesterday was the extension of the USD move higher. Euro/Usd broke through parity and this time stayed there. The previous low at 0.9952 has now become the initial resistance zone and whilst an early attempt to break 0.9900 failed, it is only a matter of time before we take it out.

My measured target for the move is a look at 0.9700 with a chance of a run at 0.9500 into the end of the year. It is very hard to make an argument to fight this USD move, and whilst I am always nervous of a one way bet, positioning does not feel heavy at all. Jackson hole testimony on Friday is the only real significant event on the calendar this week and until then I see no reason to not buy Usd dips.

Elsewhere stocks and risk took a hit across the board as the sell off that started Friday gathered momentum. I remain a short term seller myself and will treat rallies as an opportunity.

Crypto, having led the sell off on Friday, took the day off yesterday and traded in a relatively tight range. I laid out my concerns here yesterday so won't repeat them now but suffice to say I am a seller at 22,400 BTC and 1700 ETH looking for a break of the recent range lows.

Short and sweet today.

Author

BCB Group Team

BCB Group

BCB Group is the leading provider of business accounts and trading services for the digital asset economy.

EUR/USD flirts with daily highs, retargets 1.1900

EUR/USD regains upside traction, returning to the 1.1880 zone and refocusing its attention to the key 1.1900 barrier. The pair’s slight gains comes against the backdrop of a humble decline in the US Dollar as investors continue to assess the latest US CPI readings and the potential Fed’s rate path.

GBP/USD remains well bid around 1.3650

GBP/USD maintains its upside momentum in place, hovering around daily highs near 1.3650 and setting aside part of the recent three-day drop. Cable’s improved sentiment comes on the back of the Greenback’s irresolute price action, while recent hawkish comments from the BoE’s Pill also collaborate with the uptick.

Gold clings to gains just above $5,000/oz

Gold is reclaiming part of the ground lost on Wednesday’s marked decline, as bargain-hunters keep piling up and lifting prices past the key $5,000 per troy ounce. The precious metal’s move higher is also underpinned by the slight pullback in the US Dollar and declining US Treasury yields across the curve.

Crypto Today: Bitcoin, Ethereum, XRP in choppy price action, weighed down by falling institutional interest

Bitcoin's upside remains largely constrained amid weak technicals and declining institutional interest. Ethereum trades sideways above $1,900 support with the upside capped below $2,000 amid ETF outflows.

Week ahead – Data blitz, Fed Minutes and RBNZ decision in the spotlight

US GDP and PCE inflation are main highlights, plus the Fed minutes. UK and Japan have busy calendars too with focus on CPI. Flash PMIs for February will also be doing the rounds. RBNZ meets, is unlikely to follow RBA’s hawkish path.

Ripple Price Forecast: XRP potential bottom could be in sight

Ripple edges up above the intraday low of $1.35 at the time of writing on Friday amid mixed price actions across the crypto market. The remittance token failed to hold support at $1.40 the previous day, reflecting risk-off sentiment amid a decline in retail and institutional sentiment.