Financial Markets And Bitcoin Main Weekly News TourRubika Ventures®The Capital – Medium

By Rubika Ventures® on The Capital

The main economic indicator for investors this week will be the growing number of cases of Coronavirus in the United States, while everything points to the International Monetary Fund (IMF) lowering its forecasts for global growth.

It is going to be a quiet week on the economic calendar, with updates on the real estate sector, durable goods orders, and, of course, US unemployment benefit applications.

The Eurozone and UK PMIs will remain in deep contraction territory. Meanwhile, the FTSE Russell is set to rebuild its stock indices on Friday, an annual event that historically fosters one of the highest-volume trading days of the year.

This is what you need to know to start your week and according to the main social financial influencers.

End High Dollar Volatility

The US dollar is the world’s reserve currency, which means that central banks around the planet maintain part of their reserves in American currency. Reserve coins have three characteristics, according to the article written by investing.

They reflect the political stability of their countries, insofar as their fiduciary value is derived from the public faith of the government that issues it. Economic stability is another relevant factor. Reserve currencies must also be freely convertible to other foreign currencies.

The Dollar Index measures the value of the American currency against other reserve currencies. The index is traded on the Intercontinental Exchange (ICE) in the futures markets.

As the graph shows, the Dollar Index has a 57.6% exposure to the euro, the single currency used in 19 of the 27 states of the European Union, and the second-largest reserve currency in the world.

When panic hit the markets in March due to the worldwide spread of the coronavirus, the Dollar Index hit a low of 94.61, then went up and reached 103.96 in mid-March. The peak was the highest level since 2002.

This race in search of security in the foreign exchange market made the American currency reach an 18-year high. But at the end of last week, the Dollar Index was below the 98 level, closer to the recent low than the March high.

The Dollar Index needs to remain above the 94.61 level to keep the upward trend in effect since February 2018 intact.

Journey Full Of Ups And Downs

Foreign exchange markets tend to exhibit low levels of price variation, but the action in the international exchange arena in March showed high volatility.

The weekly chart of the Dollar Index shows that historical volatility peaked at more than 19% in March, the highest level for the index in several years. The decline has caused price momentum and relative strength indicators to fall below neutral readings.

The total number of open buy and sell positions in the Dollar Index futures market was below the level of 19,000 contracts at the end of last week. The price action on the index caused open positions to reach their lowest level in a decade, with participants closing their positions.

The medium-term trend on the Dollar Index remains bullish, but the index needs to remain above the level of 94.61, the March low, to keep the trend alive.

Interest Differentials Took

Perhaps the main support factor for the strength of the Dollar Index since 2018 has been the large gap between interest rates in the US and Europe.

Basic short-term rates in the USA rose by more than 2%, while deposit rates in Europe remained in negative territory. While the ECB cut short-term rates by 10 basis points last month, making them negative by five basis points, the Fed reduced its rates to zero.

The advantage of selling euros and buying dollars to gain in the yield differential has evaporated, as the global pandemic has caused central banks to adopt drastic monetary policies again.

The decline in yield differentials is one of the reasons for the fall in the Dollar Index, as the euro accounts for almost 58% of the currency basket.

US Election Period And Volatility

Uncertainty about the upcoming US presidential election is another factor that could put pressure on the dollar. The November election between President Trump and former Vice President Joe Biden will be a referendum on the current president’s performance.

At the same time, it will determine the future of tax, regulatory, and energy policies, among others, in the coming years.

The current government advocates a weaker dollar to increase the competitiveness of American exports in global markets and to raise the profits of US multinational companies. In addition, the devaluation of the dollar can be a strategic element in trade negotiations. Previous governments preferred a stronger dollar policy.

The volatility of the Dollar Index is unlikely to decrease in the short and medium term. Any movement below 94.61 and 93.395, September 2018 low, would represent a technical break in the index. As the world’s reserve currency, the path of least resistance from the dollar could impact markets for all asset classes throughout 2020.

Yield differentials and uncertainty in relation to the November election can generate a lot of price variation in the U.S. currency and increase the risk ending its upward trend in force since the index hit a low of 88.15 in early 2018, ends the article.

Bitcoin Continues Strong

We started the week with Bitcoin again testing the main low trend line and exactly with the price at $ 9474.15 and with the opening of a new candle above 61% Fibonacci.

We see the creation of a flag within the weekly chart, indicating a critical decision point. Bulls wanting to take the strength of the market, but the indicators show divergence.

Many traders are now waiting for the market reaction to the crossover of the MA50 with the MA21, limited so far by the region of 8355.41 and 8675. Background shows that the crossing of these moving averages indicates a break point or trend continuation.

Coronavirus Infections Increase

The spikes in Coronavirus infection rates in several states in the United States, mainly in the south and west, seem to be fueling the nervousness of the market around an upturn in COVID-19 cases.

United States President Donald Trump said Saturday that he had asked US officials to slow down the evidence, calling it a “double-edged sword” that led to the discovery of more cases.

Health experts say expanded diagnostic tests explain part, but not all, of the increase in cases. More than 119,600 Americans have died from the virus to date, according to Reuters data.

On Friday, Federal Reserve officials warned that a lack of containment could lead to a need for longer confinements, adding that the recent positive trend of job growth could be reversed soon.

World Economic Forecasts

All indications are that the IMF will say its updated global economic forecasts released on Wednesday that the 2020 global recession will be even worse than it estimated in its previous forecasts in April.

Back then, the IMF said the world economy would suffer the worst financial crisis since the Great Depression of the 1930s, as it forecast a 3% contraction. Now the fund surely warns that the recession could be even worse.

“For the first time since the Great Depression, advanced and emerging market economies will go into recession in 2020. The next June Global Economic Forecast Update is likely to show negative growth rates even worse than previously estimated,” he explains. Gita Gopinath, chief economist at the IMF, in a blog post last Tuesday.

Gopinath has also said that the current crisis is “unlike anything the world has ever seen before.”

Housing And Grant Applications

It looks like it will be a quiet week in the US economic calendar as investors will focus on the May data for the sale of new and built homes, along with data on durable goods orders, which are expected to rebound, although remaining below pre-virus levels.

Thursday’s report of initial jobless claims will be the main event as it will provide the most reliable data on the state of the economy.

Last Thursday’s report indicated that while the number of initial jobless claims has slowed, the pace of the decline has stalled, underscoring the view that the economy is facing a long and difficult recovery from the COVID recession. -19.

The United States will also release its third estimate of first-quarter GDP on Thursday, which will be largely of historical interest.

PMI Data For The Euro Area

In the euro area, a report on consumer confidence released Monday will provide a snapshot of how quickly confidence is recovering as economies gradually resume activity.

PMI data for June Tuesday will also grab attention. Data from the PMI for May, although better than those for April, have indicated that the manufacturing and services sectors are still in contracting territory.

The UK will also release its PMI data this week, and while a sizable rebound is expected in both the manufacturing and service sectors, both sectors are expected to remain well below the key 50-point level, which separates growth from the contraction.

FTSE Russel Reorganization

The FTSE Russell reorganizes its stock indices this Friday. The annual rebalancing will be final on the fourth Friday of each June after the markets close.

The resulting increase in trading volume peaks before the market closes. The New York Stock Exchange and the Nasdaq, due to the scope of the redevelopment, strengthens the rules for operations in the closure and contingency plans in case of unusual market conditions.

Stocks are added to or removed from the Russell family of indices, including the large-cap Russell 1000 and small-cap Russell 2000, prompting fund managers to adjust portfolios to reflect new weights and components.

Bank of America analysts predict big changes this year, with a bigger bias toward large-cap tech stocks. These “uploads” may include names such as Zoom Video Communications Inc (NASDAQ: ZM), Slack (NYSE: WORK), and Crowdstrike (NASDAQ: CRWD) that have risen in price due to the shift to teleworking.

See you in the next story! With love 💛 Rubika Ventures® Team!

Do you like a lot this story? don’t forget to leave us your little hand up, your tip, your clap or your vote, and write your opinion in the comments box to continue producing more content like this and share this post with your crypto friends in your all social networks.

Join on our Telegram Community https://t.me/rubikavinsider Channel, in order not to miss the next inside or the next free trade signals that we share with 80% probability of success. Our crypto group on Telegram is https://t.me/rubikavinsidercommunity.

All opinions or feedback from our community can be found at https://t.me/rubikavfeedback and all the results of the last trades here https://t.me/rubikavresults.

Support issues, partnerships or to make your premium account member, you can contact us on Telegram at https://t.me/rubikaventures or write to us in our email rubikaventures@gmail.com.

Follow us on Twitter, Minds, TradingView, Coinigy, Youtube, lbry.tv, Facebook, Uptrennd, Medium, Publish0x, & Instagram.

Crypto Wallets that we recommend to use: Coinbase, Exodus, Atomic Wallet, Enjin Wallet, and Trust Wallet.

Crypto Exchanges that we use to trade: Binance, Binance Futures, Bybit, Derebit, Kucoin, Bittrex, And Houbi Global With Cornix Auto Trade Bot.

About us and all our services read this article: “The Complete AMA Guide For Our Services To Have No Doubts.

https://twitter.com/thecapital_io

https://medium.com/media/3b6b127891c5c8711ad105e61d6cc81f/href


Financial Markets And Bitcoin Main Weekly News Tour was originally published in The Capital on Medium, where people are continuing the conversation by highlighting and responding to this story.

By Rubika Ventures® on The CapitalThe main economic indicator for investors this week will be the growing number of cases of Coronavirus in the United States, while everything points to the International Monetary Fund (IMF) lowering its forecasts for global growth.It is going to be a quiet week on the economic calendar, with updates on the real estate sector, durable goods orders, and, of course, US unemployment benefit applications.The Eurozone and UK PMIs will remain in deep contraction territory. Meanwhile, the FTSE Russell is set to rebuild its stock indices on Friday, an annual event that historically fosters one of the highest-volume trading days of the year.This is what you need to know to start your week and according to the main social financial influencers.End High Dollar VolatilityThe US dollar is the world’s reserve currency, which means that central banks around the planet maintain part of their reserves in American currency. Reserve coins have three characteristics, according to the article written by investing.They reflect the political stability of their countries, insofar as their fiduciary value is derived from the public faith of the government that issues it. Economic stability is another relevant factor. Reserve currencies must also be freely convertible to other foreign currencies.The Dollar Index measures the value of the American currency against other reserve currencies. The index is traded on the Intercontinental Exchange (ICE) in the futures markets.As the graph shows, the Dollar Index has a 57.6% exposure to the euro, the single currency used in 19 of the 27 states of the European Union, and the second-largest reserve currency in the world.When panic hit the markets in March due to the worldwide spread of the coronavirus, the Dollar Index hit a low of 94.61, then went up and reached 103.96 in mid-March. The peak was the highest level since 2002.This race in search of security in the foreign exchange market made the American currency reach an 18-year high. But at the end of last week, the Dollar Index was below the 98 level, closer to the recent low than the March high.The Dollar Index needs to remain above the 94.61 level to keep the upward trend in effect since February 2018 intact.Journey Full Of Ups And DownsForeign exchange markets tend to exhibit low levels of price variation, but the action in the international exchange arena in March showed high volatility.The weekly chart of the Dollar Index shows that historical volatility peaked at more than 19% in March, the highest level for the index in several years. The decline has caused price momentum and relative strength indicators to fall below neutral readings.The total number of open buy and sell positions in the Dollar Index futures market was below the level of 19,000 contracts at the end of last week. The price action on the index caused open positions to reach their lowest level in a decade, with participants closing their positions.The medium-term trend on the Dollar Index remains bullish, but the index needs to remain above the level of 94.61, the March low, to keep the trend alive.Interest Differentials TookPerhaps the main support factor for the strength of the Dollar Index since 2018 has been the large gap between interest rates in the US and Europe.Basic short-term rates in the USA rose by more than 2%, while deposit rates in Europe remained in negative territory. While the ECB cut short-term rates by 10 basis points last month, making them negative by five basis points, the Fed reduced its rates to zero.The advantage of selling euros and buying dollars to gain in the yield differential has evaporated, as the global pandemic has caused central banks to adopt drastic monetary policies again.The decline in yield differentials is one of the reasons for the fall in the Dollar Index, as the euro accounts for almost 58% of the currency basket.US Election Period And VolatilityUncertainty about the upcoming US presidential election is another factor that could put pressure on the dollar. The November election between President Trump and former Vice President Joe Biden will be a referendum on the current president’s performance.At the same time, it will determine the future of tax, regulatory, and energy policies, among others, in the coming years.The current government advocates a weaker dollar to increase the competitiveness of American exports in global markets and to raise the profits of US multinational companies. In addition, the devaluation of the dollar can be a strategic element in trade negotiations. Previous governments preferred a stronger dollar policy.The volatility of the Dollar Index is unlikely to decrease in the short and medium term. Any movement below 94.61 and 93.395, September 2018 low, would represent a technical break in the index. As the world’s reserve currency, the path of least resistance from the dollar could impact markets for all asset classes throughout 2020.Yield differentials and uncertainty in relation to the November election can generate a lot of price variation in the U.S. currency and increase the risk ending its upward trend in force since the index hit a low of 88.15 in early 2018, ends the article.Bitcoin Continues StrongWe started the week with Bitcoin again testing the main low trend line and exactly with the price at $ 9474.15 and with the opening of a new candle above 61% Fibonacci.We see the creation of a flag within the weekly chart, indicating a critical decision point. Bulls wanting to take the strength of the market, but the indicators show divergence.Many traders are now waiting for the market reaction to the crossover of the MA50 with the MA21, limited so far by the region of 8355.41 and 8675. Background shows that the crossing of these moving averages indicates a break point or trend continuation.Coronavirus Infections IncreaseThe spikes in Coronavirus infection rates in several states in the United States, mainly in the south and west, seem to be fueling the nervousness of the market around an upturn in COVID-19 cases.United States President Donald Trump said Saturday that he had asked US officials to slow down the evidence, calling it a “double-edged sword” that led to the discovery of more cases.Health experts say expanded diagnostic tests explain part, but not all, of the increase in cases. More than 119,600 Americans have died from the virus to date, according to Reuters data.On Friday, Federal Reserve officials warned that a lack of containment could lead to a need for longer confinements, adding that the recent positive trend of job growth could be reversed soon.World Economic ForecastsAll indications are that the IMF will say its updated global economic forecasts released on Wednesday that the 2020 global recession will be even worse than it estimated in its previous forecasts in April.Back then, the IMF said the world economy would suffer the worst financial crisis since the Great Depression of the 1930s, as it forecast a 3% contraction. Now the fund surely warns that the recession could be even worse.“For the first time since the Great Depression, advanced and emerging market economies will go into recession in 2020. The next June Global Economic Forecast Update is likely to show negative growth rates even worse than previously estimated,” he explains. Gita Gopinath, chief economist at the IMF, in a blog post last Tuesday.Gopinath has also said that the current crisis is “unlike anything the world has ever seen before.”Housing And Grant ApplicationsIt looks like it will be a quiet week in the US economic calendar as investors will focus on the May data for the sale of new and built homes, along with data on durable goods orders, which are expected to rebound, although remaining below pre-virus levels.Thursday’s report of initial jobless claims will be the main event as it will provide the most reliable data on the state of the economy.Last Thursday’s report indicated that while the number of initial jobless claims has slowed, the pace of the decline has stalled, underscoring the view that the economy is facing a long and difficult recovery from the COVID recession. -19.The United States will also release its third estimate of first-quarter GDP on Thursday, which will be largely of historical interest.PMI Data For The Euro AreaIn the euro area, a report on consumer confidence released Monday will provide a snapshot of how quickly confidence is recovering as economies gradually resume activity.PMI data for June Tuesday will also grab attention. Data from the PMI for May, although better than those for April, have indicated that the manufacturing and services sectors are still in contracting territory.The UK will also release its PMI data this week, and while a sizable rebound is expected in both the manufacturing and service sectors, both sectors are expected to remain well below the key 50-point level, which separates growth from the contraction.FTSE Russel ReorganizationThe FTSE Russell reorganizes its stock indices this Friday. The annual rebalancing will be final on the fourth Friday of each June after the markets close.The resulting increase in trading volume peaks before the market closes. The New York Stock Exchange and the Nasdaq, due to the scope of the redevelopment, strengthens the rules for operations in the closure and contingency plans in case of unusual market conditions.Stocks are added to or removed from the Russell family of indices, including the large-cap Russell 1000 and small-cap Russell 2000, prompting fund managers to adjust portfolios to reflect new weights and components.Bank of America analysts predict big changes this year, with a bigger bias toward large-cap tech stocks. These “uploads” may include names such as Zoom Video Communications Inc (NASDAQ: ZM), Slack (NYSE: WORK), and Crowdstrike (NASDAQ: CRWD) that have risen in price due to the shift to teleworking.See you in the next story! With love 💛 Rubika Ventures® Team!Do you like a lot this story? don’t forget to leave us your little hand up, your tip, your clap or your vote, and write your opinion in the comments box to continue producing more content like this and share this post with your crypto friends in your all social networks.Join on our Telegram Community https://t.me/rubikavinsider Channel, in order not to miss the next inside or the next free trade signals that we share with 80% probability of success. Our crypto group on Telegram is https://t.me/rubikavinsidercommunity.All opinions or feedback from our community can be found at https://t.me/rubikavfeedback and all the results of the last trades here https://t.me/rubikavresults.Support issues, partnerships or to make your premium account member, you can contact us on Telegram at https://t.me/rubikaventures or write to us in our email rubikaventures@gmail.com.Follow us on Twitter, Minds, TradingView, Coinigy, Youtube, lbry.tv, Facebook, Uptrennd, Medium, Publish0x, & Instagram.Crypto Wallets that we recommend to use: Coinbase, Exodus, Atomic Wallet, Enjin Wallet, and Trust Wallet.Crypto Exchanges that we use to trade: Binance, Binance Futures, Bybit, Derebit, Kucoin, Bittrex, And Houbi Global With Cornix Auto Trade Bot.About us and all our services read this article: “The Complete AMA Guide For Our Services To Have No Doubts.”https://twitter.com/thecapital_iohttps://medium.com/media/3b6b127891c5c8711ad105e61d6cc81f/hrefFinancial Markets And Bitcoin Main Weekly News Tour was originally published in The Capital on Medium, where people are continuing the conversation by highlighting and responding to this story.Read Morefinance, financial-markets, cryptonews, bitcoin, cryptocurrencyThe Capital – Medium

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