Daily market report

Bitcoin prices jumped above the $30,000 barrier to reach the highest level since April on the back of growing demand from many large financial institutions which showed interest to invest in the cryptocurrency market, especially BlackRock, which applied for a spot bitcoin ETF.
daily report
Meanwhile, U.S. stocks extended their decline for the third consecutive day after all three major stock indexes fell on Wednesday as the latest FED rate decision started to weigh on investors’ sentiment. The Dow declined 102 points ending the day 0.30% lower, the S&P500 lost 0.52% while the Nasdaq composite dropped 1.21%. The market is clearing taking a breather following the strong rally seen in the past weeks.

On the other side, the U.S. Dollar retreated for the first time this week against a basket of major currencies after benefiting from expectations of tighter monetary policy as the FED is due to deliver two more rate hikes later this year. In addition, the recent U.S. housing data came out above expectations which supported the U.S. Dollar’s recent advance.  

Moreover, the technical picture of gold has not changed after failing several times to exceed the key resistance level located near $1960 an ounce. The yellow metal fell about $20 from yesterday’s high to reach a low of $1920 which represents major technical support for prices. Thus, traders must monitor this level as the break beneath it is likely to trigger another wave of decline that may target the 1907 level followed by 1900 in extension. On the other side, if this support continues to hold, the gold trend is expected to remain neutral in the coming days.

When analyzing the latest technical picture of oil prices, we can see that the WTI prices remain stuck inside a wide range between $74.00 and $67.00 a barrel, therefore, we will be waiting for a clear break outside of this zone to confirm the next directional move as mentioned in our previous report.

Looking at today’s important economic releases, traders’ attention will be turned to the Bank of England interest rate decision, which is expected to raise key interest rates by 25 basis points from 4.50% to 4.75%. In the United States, the monthly figures for existing home sales are expected to fall from 4.28 million down to 4.25 million, while oil traders will be watching closely crude oil inventories figures that may affect the short-term price action.  

Finally, FED chair Jerome Powell is due to speak for the second day on the economic outlook and recent monetary policy actions in Washington DC.


Economic Analyst
Amine Hiani

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