Tech selling, Gold lower, Dollar stronger – Crazy times ahead?

Frank Walbaum FX Strategies.Asia

Important news for the day

Thu, 25th, 14:30 CET US Unemployment claims.

Tech sector sliding

Amid the current rotation in the equity market tech stocks continue to weaken. Not only AI- related stocks are getting a beating also major players are seemingly getting sold further. In general also major indices like the S&P and Dow Jones index continue to slide further. Would we currently trade on the last trading day of July, we would have strong bearish candlestick patterns to potentially offer further weakness. With this also Gold prices come down. As investors seemingly start offloading positions, which had also previously been in the money the Gold market is no difference. The stronger Dollar adds to the pressure currently.

Market talk

The stronger Dollar causes markets to weaken. Also the EUR is losing steam against other currencies. The AUD is leading the way with major losses as the market sentiment is turning negative. This could be a preview for equities to sell- off further. The volatility index VIX is moving higher potentially offering a bigger storm ahead after weeks of rising equity prices. The JPY seems secretly gearing up steam as the demand is rising. Most currencies lose against the Yen and debates about the return of the safe- haven currency might return. On the political front the situation in the Middle East might add fuel to the current fire.

DJ30: We sold at xxx with SL at xxx and TP at (another position added) xxx.
XAU/USD: We sold at xxx with SL at xxx and TP at xxx.

Tendencies in the markets

Equities negative, USD stronger, cryptos lower, oil weaker, metals lower, JPY stronger.

Author

Frank Walbaum

FX Strategies.Asia

Frank has been working in the TV business for several years. Acquiring his skills in Germany’s biggest broadcasting station, he then chose to work and live in Asia, which was in 2007.

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