The U.S. Dollar Index stabilized after a five-day decline, closing up 0.1% on the day to 97.21. The euro lost 0.3% to $1.1128. The Eurozone, Sentix Investor Confidence Index, bounced to -4.5 in November (-13.8 expected) from -16.8 in October.
The British Pound dropped 0.4% to $1.2889. The Markit U.K. Construction PMI rebounded to 44.2 in October (44.1 expected) from 43.3 in September. Investors will focus on the October Services PMI due later today (49.7 expected). The USD/JPY rose 0.5% to 108.71.
Lastly, the USD/CAD slipped 0.1% to 1.3153. Later today, Canada’s October trade balance will be reported (0.6 billion Canadian dollars deficit expected). During the U.S. session, the Institute of Supply Management (ISM) is due to post its non-manufacturing index for October (53.4 expected).
Economic Calendar -U.S. Non-Manufacturing Data Ahead!
BTC/USD – Daily Analysis
The Bitcoin price (BTC) finished the week around $9,207, under 3.66%. Despite surprisingly weak volatility during the weekend, the bulls assisted in holding Bitcoin price over $9,000. At the moment, the BTC/USD continues to consolidate above $9,000 mark.
Today, Bitcoin has extended to gain support at the 200-days moving average, and that’s been extending support to the BTC/USD prices since it was broken as resistance. Let’s take a look at the technical aspect…
BTC/USD – Daily Technical Levels
Key Trading Level: 9,359.35
BTC/USD – Daily Forecast
Unlike the past few days, the Bitcoin showed some progress yesterday. The BTC/USD has crossed above 23.6% Fibonacci resistance area of 9,345 level.
Closing of candles above this level is suggesting a new trading range, which is likely to keep the BTC/USD in between 9,340 – 9,545 trading range. Bullish bias seems strong today, and the BTC/USD may go after 9,700 on the violation of 9,340 resistance today.
EUR/USD – Bullish Trendline Extend Support
The EUR/USD lost 0.3% to $1.1128. The eurozone, Sentix Investor Confidence Index, bounced to -4.5 in November (-13.8 expected) from -16.8 in October.
Whereas the Euroaozon producer Index is scheduled to release at 10:00 GMT, which cant leave any significant impact on the market. However, the pair could take clues from the United States trade balance and the Markit Serviced PMI figures, which are scheduled to release in the America session.
Moreover, the selling pressure in the pair could increase if the US ISM Non-manufacturing data, which is scheduled to release at 15:00 GMT, bat past expectations. The unexpected weaker figure is likely to put the buying trend in the EUR/USD.
Besides, the European Commission will post the eurozone’s September PPI (-1.2% on year expected).
The U.S. Commerce Department will report the September trade balance (52.5 billion dollars deficit expected). The Labor Department will release JOLTS job openings for September (7.09M expected).
EUR/USD – Daily Technical Levels
Pivot Point 1.114
EUR/USD – Daily Forecast
The EUR/USD has tested the double top resistance level at 1.1175 but failed to crossover as the dollar remains stronger over positive NFP figures, which were released during the last week. At the moment, the EUR/USD is holding and testing the bullish trendline support on the 4 hourly charts. This bullish trendline is extending significant support to the EUR/USD around 1.1120 area today.
Above this level, we may see a bullish reversal, but the other leading technical indicators are suggesting strong chances of a bearish trend continuation. Hence, the violation of the 1.1120 level can extend sell-off until the 1.1075 area.
GBP/USD – U.K. Services PMI In Focus
The British Pound dropped 0.4% to $1.2889. The Markit U.K. Construction PMI rebounded to 44.2 in October (44.1 expected) from 43.3 in September. Investors will focus on the October Services PMI due later today (49.7 expected).
We look at the services PMI to drop slightly further into recession area at 49.2 in October against 49.7. Whereas the manufacturing PMI is succeeded to climb a little bit of an inventory building ahead of the October 31 deadline, the services PMI delivered the sluggish figures more than three-PMIs in March.
On the flip side, the U.S. data focus is on the October non-manufacturing ISM survey. The consensus is for an increase in the overall index from 52.6 to 53.4. Notably, the U.S. trade balance September is also scheduled to release and expected near the -$53bn.
GBP/USD – Daily Technical Levels
Key Trading Level: 1.2885
GBP/USD – Daily Forecast
The GBP/USD slipped lower as investors sentiment was bearish below 1.2950 resistance level. For now, the GBP/USD has formed three black crows candlestick pattern, and it’s pretty much likely to drive further sell-off in the market. The GBP/USD may find an immediate resistance at 1.2915, along with support around 1.2825 today. Bearish bias seems stronger.
All the best for today.