Market Analysis Review

The JPY strengthened heavily, Gold higher after retracing, Crude oil continued lower, U.S. indices sideways, Bitcoin lower but steady

| 24 July, 2024 at 14:46 GMT

Previous Trading Day’s Events (23.07.2024)

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Winners vs Losers

XAUUSD reached the top of the week’s list with 0.6% gains. It also leads for the month with 3.87% gains. The U.S. Dollar is also gaining ground while the JPY has experienced massive strengthening since the 11th of July. 

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News Reports Monitor – Previous Trading Day (23.07.2024)

Server Time / Timezone EEST (UTC+03:00)

1. Midnight – Night Session (Asian)

No significant news announcements, no special scheduled releases. 

2. Morning – Day Session (European and N. American Session)

Existing Home Sales were reported lower, they slipped 5.4% in June. The Richmond Manufacturing Index showed a more-than-expected decline in July. No major impact was recorded in the market.

General Verdict:

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FOREX MARKETS MONITOR

EURUSD (22.07.2024) 15m Chart Summary

Server Time / Timezone EEST (UTC+03:00)

Price Movement

There was an absence of significant scheduled releases, however, the pair moved to the downside during the start of the European session and moved steadily downwards following the USD depreciation. It eventually found support at near 1.08440 before retracing a bit and moving sideways until the end of the trading day. This drop was strong enough to suggest continuation on the next day.

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CRYPTO  MARKETS MONITOR

BTCUSD (Bitcoin) Chart Summary 1H

Server Time / Timezone EEST (UTC+03:00)

Price Movement

Since Friday, the 19th of July, Bitcoin moved to the upside rapidly reaching the resistance near 67,400 USD and remaining on a sideways path during the weekend near the mean at 67K USD. On Sunday Bitcoin moved to the upside breaking out from that range and reaching near 68,500 USD before retracing to the 30-period MA. This week, Bitcoin is moving mainly sideways and consolidating. The resistance area is near 68K USD and the support area was near the level 66K USD, but on the 23rd however, that support was broken with the price just moving downwards at near 65.5K USD.

Crypto sorted by Highest Market Cap:

Cryptos have experienced a significant correction since mid-July. A strong reversal to the upside. Currently, it is stable and high. However, if we take into account the recent volatility, things could change soon.

https://www.investing.com/crypto/currencies

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EQUITY MARKETS MONITOR

S&P500 (SPX500) 4-Day Chart Summary

Server Time / Timezone EEST (UTC+03:00)

Price Movement

On the 18th a sharp drop to the 5,530 USD occurred before an intraday retracement took place. Level 5,540 acted as a strong support, coinciding with the 161.8 Fibo level. That eventually broke too on the 19th causing the index to reach 5,500 USD before retracing to the MA. The RSI was showing a slowdown and if the index crossed the 30-period MA on its way up eventually causing the index to remain above the MA as expected and mentioned in our previous analysis. From the 22nd to the 23rd the index moved on an uptrend but on the 24th the index opened with a gap downwards. All indices are experiencing a drop at the moment that seems to gain momentum.

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COMMODITIES MARKETS MONITOR

USOIL (WTI) 4-Day Chart Summary

Server Time / Timezone EEST (UTC+03:00)

Price Movement

Crude’s price has fallen significantly since the 18th. For several days, mid-day it experiences a drop. On the 23rd the drop resulted in the price of Crude oil reaching the support at near 76.2 USD/b before it retraced to the 61.8 Fibo level and remained close to the 30-period MA.

XAUUSD (Gold) 4-Day Chart Summary

Server Time / Timezone EEST (UTC+03:00)

Price Movement

Since the 18th, Gold experienced a drop and continued steadily until it reached support near 2,394 USD/oz with no retracement taking place on the 19th. On the 22nd the market opened with a gap upwards. After some consolidation phase and a triangle formation breakout, it moved to the downside finding strong support at nearly 2,385 USD/oz. Instead of further moving downwards, Gold reversed to the resistance area. The 2,400 USD/oz was an important breakout as mentioned in our previous analysis. The breakout of that led to the price reaching the 2,420 USD/oz level and completing the retracement to the 61.8 Fibo.

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News Reports Monitor – Today Trading Day (24.07.2024)

Server Time / Timezone EEST (UTC+03:00)

1. Midnight – Night Session (Asian)

No significant news announcements, no special scheduled releases. 

2. Morning – Day Session (European and N. American Session)

Weak PMIs so far for the Eurozone have led to the EURO weakening. The USD is strengthening. 

The Bank of Canada (BoC) is expected to decide on rates on the 24th and it is estimated that it will proceed with a cut by 25 basis points. CAD pairs could be affected greatly at the time of the release. 

Increased volatility is expected especially for the USD pairs around 16:45 upon the release of the Flash PMIs for the U.S. Recent business activity in the U.S. gave a grim picture. The USD could see further weakening if the PMIs are reported lower than expected.

General Verdict:

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