By - Jamel Lahiani
Today our analysis will be concerned with:
BTCUSD (Bitcoin /US Dollar) the most popular cryptocurrency in the world exchanged to the US dollar. Bitcoin price grew significantly within a short period of time making the BTC/USD pair quite popular among active traders and investors.
EURUSD (Euro /US Dollar) is the most traded currency pair in the world. This pair represents the world two largest economies and has faced most volatility since the inception of the euro in 1999. Crude Oil (WTI /US Dollar) is the United States’ WTI (West Texas Intermediate) crude oil price measured in US dollar. The demand for crude oil is dependent on global economic conditions as well as market speculation.
FOREX Market Insights
US stocks ended higher on Monday as increases in large tech and internet companies and oil price gains outweighed concerns about the latest US-China tensions. So, the US dollar was appreciated face to other currencies especially the EURO, and waiting for new publications today related to the US trade balance and the ISM Non-Manufacturing Index.
Today in Focus
Today, we have a high impact published indicators and events:
AT 12H30GMT: The Trade Balance released by the Bureau of Economic Analysis and the U.S. Census Bureau is a balance between exports and imports of total goods and services.
AT 14H00GMT: The ISM Non-Manufacturing Index released by the Institute for Supply Management (ISM) shows business conditions in the US non-manufacturing sector.
AT 14H00GMT: The ISM Non-Manufacturing PMI released by the Institute for Supply Management (ISM) shows business conditions in the US non-manufacturing sector, taking into account expectations for future production, new orders, inventories, employment and deliveries.
GRAPHIC 1: BTCUSD HOURLY CHART (MAY 05, 2020)
OPEN PRICE: 8889.24 SUPPORT: 8978.81 RESISTANCE: 9117.6
The BTCUSD returns to bullish volatile movement inside the green-colored channel. The chart has a breakout rejection at the top with a pine bar setup forming a red resistance line and moving above MA14 blue line. The Stock RSI with a blue line that crosses the red line to the upside from 20 levels. So we expect profitable to buy this pair if a candle closing above the red resistance line. Otherwise, if a candle closes under the green support line the movement becomes bearish and we have to sell this pair.
GRAPHIC 2: EURUSD HOURLY CHART (MAY 05, 2020)
OPEN PRICE: 1.09044 SUPPORT: 1.08847 RESISTANCE: 1.09168
The EURUSD chart has a bearish volatile movement inside the red-colored channel. The MA14 blue line is decreasing with a breakout rejection at the bottom forming a pine while the Stock RSI red line that crosses the blue line to the downside from 80 levels. As a consequence, a sell order will be profitable if a candle closes under the green support line. Otherwise, if a candle closes above the red resistance line then we have just to follow the direction of the market.
GRAPHIC 3: CRUDE OIL WTI HOURLY CHART (MAY 05, 2020)
OPEN PRICE: 16.531 SUPPORT: 14.549 RESISTANCE: 18.156
After huge decline of the Crude Oil WTI price, the chart returns to bullish volatile movement inside the green-colored channel. The MA14 blue line is increasing showing an upward movement supported by the Stock RSI blue line that crosses the red line to the upside from 20 levels. As a result, we expect a profitable buy order. If a candle closes under the daily red resistance line then sell.
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