Market Update by Solidecn.com

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BTCUSD

In our “BTCUSD Technical Analysis”, we see that BTCUSD is currently in a state where it’s bought too much, as shown by the Relative Strength Index (RSI) which is now over 80. This means there are a lot of buyers, and the price might not go up much more before it starts to decline.




Analysts at FxNews suggest being careful if you’re thinking about buying more of this crypto asset. They say it might be better to wait until the price becomes steady above the $32,000 support level before deciding to buy more. This is because when something is bought too much, it might be more expensive than what it’s really worth, and the price could go down soon.

To sum up, while Bitcoin has grown a lot and can be a good opportunity for traders and investors, it’s important to keep an eye on the market conditions and make careful decisions. Remember, while you can make a lot of money, you can also lose a lot. (source)

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LTCUSD

Last week, the cryptocurrency market saw a notable uptick, and Litecoin (LTC) investors were among those who profited from this positive shift. The LTCUSD exchange rate climbed to a formidable resistance point at $71.15. This upward movement prompted bears to increase selling pressure, culminating in a long wick candlestick pattern on the final day’s candle.



The Relative Strength Index (RSI), an essential technical indicator, is approaching the overbought zone. But it’s not just about the RSI nearing this zone. The indicator is displaying a significant divergence, often an indication of a trend shift or a deceleration in the bullish bias. As a result, we anticipate LTCUSD to adjust its recent gains and maintain its price above the pivot point of $64, unless the LTCUSD bulls can surpass the $71 resistance in the forthcoming session. (source)

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Gold

The price of gold has retreated from the $2,000 mark and is currently testing the $1,949 support level. This decline was anticipated as the RSI and Stochastic indicators were in the overbought zone.



A closer look at the 4-hour chart provides a clearer picture of gold’s price action. The precious metal formed a hammer candlestick pattern at the pivot point ($1,962), and the stochastic oscillator is nearing the overbought zone, indicating a potential exit from this area. The RSI indicator remains above 50.



Considering current market data, technical indicators, and key levels, if the price can maintain above $1,949, it’s likely that the XAUUSD price will rise to R3 ($2,025).

Conversely, if bears manage to push the price below $1,949, we could see a continued decline towards the upper line of the bearish channel around $1,900.

Source

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Crude Oil

The U.S. oil industry, known as "Big Oil", is seeing growth in production and mergers. Active drilling rigs increased to 502 for oil and 122 for gas last week, marking a second week of growth. Daily oil production has hit a record 13.2 million barrels per day.

Crude oil stocks are 4% lower than last year, possibly encouraging more investment in oil production. The U.S. government's decision to buy oil for its Strategic Petroleum Reserve may have also played a part.

Chevron is buying Hess for $60 billion, following Exxon Mobil's acquisition of Pioneer Natural Resources for $58 billion. The easing of sanctions on Venezuela could benefit U.S. oil producers with operations there.

Long-term factors like Middle East conflicts and potential supply disruptions are encouraging investment in U.S. oil production. Despite this, OPEC+ countries are limiting production to maintain prices.

This could signal a shift from focusing on profits to a battle for market share, a challenging task given years of record interest rates. However, major players with substantial capital reserves and strong government lobbying power are now involved.





Crude oil prices are currently testing the lower boundary of a bullish channel, with the Stochastic oscillator indicating an oversold market condition. If prices manage to settle below this critical level, we could see a continuation of the downward trend, potentially reaching the S2 support level around $83.

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GBPCHF Forecast: Swiss Bond Yields Surge

• The return on Switzerland’s 10-year government bond has gone up past 1.2, according to the rates quoted between banks for this bond’s term.
• The CH20, a stock market index in Switzerland, has dropped to a 12-month low, reaching 10313.

Technical Analysis

The GBPCHF currency pair has been on a downward trajectory after failing to close above the Ichimoku cloud on the weekly chart. This trend has continued, with the bears breaking down the price from the range channel last week. Despite the Stochastic indicator being in the oversold area for weeks, selling pressure remains strong.




A closer look at the daily chart provides more insight into the GBPCHF price action. With the Relative Strength Index (RSI) bouncing back above the 30 level, the price is now testing the broken support at 1.094. If the price stabilizes below S3, we can expect the decline to continue within the bearish channel, with 1.075 as the next target.




The bearish scenario remains valid as long as the pair stays within the bearish channel or below the 1.11 pivot.

source

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Gold

Gold prices have stopped rising just below a five-month high on Monday. The rapid increase in prices slowed down as it got close to the $2000 mark. After a strong push back on Friday, it's clear that the $2000 area is a big hurdle. This has led traders to take some profits from the over 7% increase in the last two weeks.



Daily indicators suggest that this pause was expected, although the slight drop shows that buyers are still interested in pushing the price above $2000.

Due to unrest in the Middle East, traders are looking for safer options. The possibility of conflict escalating increases the demand for gold, which continues to drive up its price.

The slight drop in price has stabilized above the rising 5-day moving average ($1960). Any further drops are expected to stay above $1945 (the halfway point between $2080 and $1810), indicating a normal correction and keeping the overall upward trend intact.

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GBPJPY

The GBPJPY currency pair is currently experiencing a bearish trend, having exited the bullish channel in a downward direction. This shift in market dynamics is further confirmed by the Stochastic indicator, which is presently hovering in the overbought zone. With the GBPJPY price steadfastly holding below the 182.9 mark, the bearish outlook for this currency pair remains strong. Traders keeping a close eye on this pair might want to set their sights on the next target of 176.




However, it's important to note that this bearish outlook could be invalidated if there's a breakout of the GBPJPY price at the pivot point. In such a scenario, bullish traders could potentially look forward to a next target at R2, which stands at 187.9.

In summary, while the current market sentiment for the GBPJPY currency pair leans towards the bearish side, traders should remain vigilant for any potential price breakouts at the pivot point that could signal a shift towards a bullish market.

Source

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Bitcoin’s Rollercoaster Ride: Predictions from the Pros

As Bitcoin’s wild ride keeps everyone guessing, big names are dropping hints about where it might head next. Currently, Bitcoin is at $30,377, a tiny bit higher than yesterday.


The Dollar’s Dive: Schiff’s Scary Prediction

Peter Schiff, a money expert, thinks trouble’s brewing for the US dollar. He predicts a long-lasting money slump and prices going up too fast, which isn’t good news for folks with dollars. But for Bitcoin, it might be a silver lining.


Saylor Says Bitcoin’s a Winner

Then there’s Michael Saylor, a big Bitcoin fan, showing off how well his Bitcoin plan has worked. His company, MicroStrategy, loves Bitcoin so much; they bought more, now owning a stash worth a whopping $4.68 billion. This big move might be giving Bitcoin’s price a nudge up.


Kiyosaki’s Crystal Ball: Gold Glitters, Bitcoin Booms

Robert Kiyosaki, the guy who wrote “Rich Dad Poor Dad,” thinks Bitcoin could shoot up to an amazing $135,000. He’s also big on gold, expecting it to do pretty well.


Predicting Bitcoin’s Next Move

Looking at Bitcoin’s recent price chart, there are some key numbers to watch. It’s swinging around $29,208, with the next big hurdle at $31,207. If it breaks through that, it could head for $32,440 or even $34,473. But if it starts slipping, it might drop to around $29,174 or lower.




Full article

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Euro Stays the Same as Everyone Waits for the Big Bank Meeting

The Euro isn't changing much. It's still a little bit less than 1.06 dollars. It's hard for it to go higher right now. People are also watching what's happening in places far away in the Middle East. They're worried things might get worse there. This worry makes it tough for the Euro to start going up a lot.

In the United States, they're getting more money back for lending it (this is called high "yields" on something named "Treasuries"), and things are uncertain. So, for now, people like the US dollar more. But, the Euro is trying to stay strong. It's reacting well even when things get tough, and it's not going down just because stock markets might be going down.

There's not much news today. The only big thing is how confident people in Europe feel about buying things. There's no big news or talks from the United States today.

Everyone is really thinking about a big meeting for the European Central Bank coming on Thursday. They're pretty sure the bank won't change the interest rates (the cost of borrowing money). But they're very curious about what the bank's boss, President Lagarde, will say about how things are going with money and prices going up (that's called inflation).

For today, no one thinks anything surprising will happen. The value of money between the Euro and the dollar probably won't change much. If the Euro can stay at or above 1.06 dollars, that's good. But things can always change because of what's happening in the Middle East.

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EURUSD Futures: Technical View
Source

The EURUSD currency pair has been on a downward trend since July 17th, extending to a low of around 1.0493 in January 2023. This decline was triggered by a breakout of the bearish channel by EURUSD bears. Currently, the pair is trading within the Ichimoku cloud, and a hammer candlestick pattern was observed two weeks ago near the support zone. Given that the stochastic oscillator is in the oversold area on the weekly chart, we might see a correction or reversal in the EURUSD futures price.


Weekly Chart




For a more detailed analysis of the EURUSD futures price, let’s take a closer look at the daily chart.


Daily Chart



Despite attempts by the bulls to break out of the bearish channel and pivot at 1.065, they have been unsuccessful. The pair is now trading within a range between 1.0493 and 1.065. These two key levels are crucial for the future price of EURUSD. If the bulls manage to close above the pivot, we could see a continuation of the upward momentum, with initial targets at R1 (1.081) followed by R2 (1.104).

Conversely, if the pair closes below 1.0493, we could see a continuation of the decline that began on July 17th, with a target at S1 (1.025).