The U.S. Dollar Index climbed to the highest level since October 14, rising 0.2% on the day to 98.35. The UOM (University of Michigan) consumer sentiment index placed 95.7 (preliminary) for November, up from 95.5 in the prior reading.
European stocks were widely bearish, with the Stoxx Europe 600 dropping 0.3%. Germany’s DAX slipped 0.5%, the U.K.’s FTSE 100 dropped 0.6%, while France’s CAC was little changed.
U.S. government bond prices were stable, as the benchmark 10-year Treasury yield was flat at 1.93%. The U.S. Dollar index found on the 3-weeks highs of 98.40, getting support from the United States and China trade uncertainty and Hong Kong political protest as well.
Economic Calendar – UK GDP Numbers in Highlights
BTC/USD – Daily Analysis
The stronger dollar leads the BTC/USD prices around 8,600 low on Friday. The sharp sell-off came after the BTC/USD violated the symmetric triangle pattern on the hourly chart. During the early Asian session, the BTC/USD has opened higher with a gap as investors seem to make profit-taking at the beginning of the new week.
The BTC/USD extended its bearish turn on Thursday, hardly keeping support over $9,200 as market analysts stay sober regarding the future.
The figures from Coin360 confirm BTC/USD is dropping 1.6% on the day, turning $9,250 after an unexpected dip observed markets bounce off $9,200.
The BTC/USD violated the support level of 9,250, which lead its prices towards our forecasted level of 9,130 and even below this level to place a low of 9070. The BTC/USD soon recovered it’s earlier losses to close the day around 9202.
BTC/USD – Daily Technical Levels
Pivot Point 8,903.51
BTC/USD – Daily Forecast
The BTC/USD has formed a bearish engulfing pattern on the hourly chart, which is suggesting the chances of a bearish reversal in the BTC/USD. The pair may continue to face resistance at 9110 levels along with support at 8850 and 8625 today.
EUR/USD – Profit Taking in Dollar
TThe euro lost 0.3% to $1.1018, and the British pound dropped 0.3% to $1.2772. Later today, the U.K. third-quarter GDP will be released (+1.1% on-year expected).
The U.S. Dollar index found on the 3-weeks highs of 98.40, getting support from the United States and China trade uncertainty and Hong Kong political protest as well. So, the increased safe-haven buying for the U.S. dollar keeps a check on the major’s bullish attempts.
Moreover, the EUR/USD currency pair still weakened due to the Spanish general election outcome, reflecting a hung parliament a legislative stalemate with neither the left nor right having a majority.
EUR/USD – Daily Technical Levels
Pivot Point 1.1031
EUR/USD – Daily Forecast
The EUR/USD is trading in the oversold zone in the 1.1024 area. The pair is very likely to continue sell-off until 1.1000 area, but before this, the single currency euro may show some correction until 1.1050 level today. Selling can be seen below the 1.1050 area today.
GBP/USD – UK GDP Ahead
The U.K. Office for National Statistics will report 3Q GDP (+1.1% on-year expected), September industrial production (+0.2% on month expected), manufacturing production (+0.1% on month expected) and trade balance (2B pounds deficit expected).
The GBP/USD descending triangle pattern seems to have violated already at 1.2800 level. Technically, the GBP/USD should drop until 1.2725 if it continues to hold below 1.2820/30 level. A slight retracement can be seen before expecting a bearish trend in the GBP/USD today — besides the UK. Prelim GDP q/q figure will also remain in the highlights today.
Besides, the market’s risk-sentiment has been more depressed, with most Asian stocks decreasing more than 1.0% caused by Hong Kong’s higher than 2.0% declines.
While looking at the lack of the United States traders from markets, mainly due to the Veterans Day holiday, markets will keep their eyes on the British data from getting fresh clues.
The preliminary version of the third quarter Gross Domestic Product (GDP), joined with Manufacturing and Industrial Production figures for the month of September also will in highlights.
GBP/USD – Daily Technical Levels
Pivot Point 1.2789
GBP/USD – Daily Forecast
The GBP/USD descending triangle pattern seems to have violated already at 1.2800 level. Technically, the GBP/USD should drop until 1.2725 if it continues to hold below 1.2820/30 level. A slight retracement can be seen before expecting a bearish trend in the GBP/USD today. Besides, the UK. Prelim GDP q/q figure will also remain in the highlights today.
All the best for today.