As you must already know, the direction of Gold is mainly dependent on the Price action of DXY (US Dollar index). So first, we take a look at the US Dollar index.
BTC/USD: be ready for action
2019-11-11 • Updated
BUY 3800; TP 4000; SL 3750
SELL 3620; TP 3560: SL 3650
After a big leap up on February 8, volatility in BTC/USD has once again died down. On D1, we see a series of very small candlesticks capped by the 50-day MA at 3715. At the same time, a break out of this range is inevitable.
The advance above 3800 will open the way up towards the 100-day MA around 4080 as there should be a lot of resistance on the way. On the contrary, the loss of support at 3620 will make the cryptocurrency vulnerable for the decline to 3560. A break below this level will be necessary for a deeper decline to the 2018-2019 support line at 3450.
On January 12, the Bureau of Statistics will publish the Consumer Price Index (CPI) figures, a key index for determining interest rates. While we await the release, experts forecast a decline in the CPI data, a hint at weaker Dollar values in the global markets.
Later today Tiff Macklem, the governor of the BoC (Bank of Canada) is expected to speak at the Riksbank's International Symposium as part of a discussion panel on 'Central Bank Independence'.
Western countries are trying to find other options for oil and gas supplies after a 10th package of sanctions, which will put more pressure on Russian oil and decrease global oil supply. Italy, for example, is in talks with Libya.
Last year was tough for the Japanese yen. USDJPY gained more than 30% over 2022, striking above 150 in October. While anticipation of slower Fed rate hikes pulled the pair below the 130 level at the start of 2023, the speculations over the destiny of BOJ’s yield control policy grabbed the attention of the Japanese assets in the middle of January. What lies ahead for traders of the Japanese yen?
Today, at 5:00 pm (GMT +2), the Bank of Canada will publish the Overnight Rate, which represents short-term interest rates, and is pivotal to the overall pricing of the Canadian Dollar in the global markets. Let's look at how the markets are faring ahead of the BoC rates release.