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Currencies Trading Ideas & Charts

An e-commerce behemoth could be on the verge of making a huge foray into cryptocurrency.

So, what’s the deal?

A job offering for a “Digital Currency and Blockchain Product Lead” was recently posted on Amazon. The individual in charge of the e-commerce giant’s blockchain strategy and product roadmap will be tasked with filling the position.

Following a report from City A.M. on Monday, enthusiasm about Amazon’s digital currency plans reached a fevered pitch. Amazon is “absolutely” preparing up to take Bitcoin payments by the end of the year, according to the British financial journal, and plans to develop its own cryptocurrency by 2022.

Amazon, on the other hand, refuted City A.M.’s assertions, telling Bloomberg that “despite our interest in the industry, the conjecture that has ensued surrounding our precise plans for cryptocurrencies is not true.”           

Despite this, Amazon stated that it is keen to learn more about digital currencies and how they might be integrated into its large e-commerce network. The business stated, “We remain committed on investigating what this could look like for people shopping on Amazon.”

So, what’s next?

It would be a game-changer for the crypto business if Amazon accepted Bitcoin and other cryptocurrencies as payment. The action would immediately increase Bitcoin’s legitimacy and usability. As a result, the value of the cryptoasset would most likely increase.

Even if this happens, it will most likely take some time. In the interim, there are numerous dangers to be aware of. For instance, crypto investors should be on the lookout for a possible crackdown on stablecoin issuer Tether, which has piqued authorities’ interest in recent weeks after investors raised concerns about its reserve statements’ lack of clarity.

Source: Factset

General Advice Warning

Any advice/ information provided is general in nature only and does not take into account the personal financial situation, objectives or needs of any particular person.

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Commodities Trading Ideas & Charts

A look at the most recent commodity expert opinions and forecasts: forecast for resources; coal and iron ore

China’s demand for commodities is expected to weaken in the second half of 2021, according to analysts, but this will be largely offset by stronger demand outside of China and the global shift to a low-carbon economy.

The development of the more virulent Delta strain of coronavirus has hampered mobility and growth forecasts, putting pressure on commodities in recent weeks. However, central banks have signalling more aggressive policy positions, with several announcing a reduction in bond purchases.

The vigourous drive in China to put inflationary pressure on industrial metals prices, such as steel, is a third issue. After the run-up that brought copper and iron ore prices to all-time highs, the situation in the second half will be more unpredictable.

Coal

Spot prices for coking (metallurgical) coal have risen since the start of May, but the CBA analysts believe a peak is building, as some steel product margins are now declining.

However, thermal coal prices have remained high due to supply concerns and seasonal demand from a warmer-than-usual summer in North Asia. Thermal coal prices have climbed thrice since the commencement of the pandemic, according to Longview Economics.

Over 2020, China’s coal power capacity increased by 3%, while additions outside of China totalled just 9GW and retirements were 25GW. While a result, China’s coal capacity continues to expand even as the rest of the world cuts back.

Iron Ore

China’s economic report for June is unlikely to allay fears of slowing growth. As a result, ANZ Bank analysts expect that downward pressure on iron ore prices will intensify.

Despite the fact that the market remains tight, a severe correction is unlikely. While demand outside of China may be able to compensate for some of the downturn, iron ore prices are projected to fall in the second half, albeit the decline will be limited.

Source: Factset

General Advice Warning

Any advice/ information provided is general in nature only and does not take into account the personal financial situation, objectives or needs of any particular person.

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Commodities Trading Ideas & Charts

Oil Prices Little Changed After Strong Overnight Gains

After a 2.3 percent increase the previous session, US West Texas Intermediate (WTI) futures were down 0.1 percent at $71.86.
After OPEC and allied nations signed a tentative deal to raise oil output, oil futures fell roughly 7% on Monday, owing to fears about the spread of the COVId-19 delta variant and concerns about oversupply.
The Energy Information Administration (EIA) reported earlier this week that gasoline stockpiles fell by 100,000 barrels last week, while distillate stockpiles fell by 1.3 million barrels.
The EIA report also showed a drop in crude stockpiles at the storage hub in Cushing, Oklahoma, to the lowest level in about seven months.

(Source: RTT News)
General Advice Warning
Any advice/ information provided is general in nature only and does not take into account the personal financial situation, objectives or needs of any particular person.

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Commodities Trading Ideas & Charts

Energy continues to be the leading sector in the Q2

Even with the rally year to date, we have energy as fairly valued, with the median stock trading at a price/fair value ratio of 1. Opportunities exist across all segments, particularly services and integrated, which trade at a 29% and 10% discount to intrinsic value, respectively. Exploration and production stocks have surged in the last three months, and on average the group is 8% overvalued (though a handful of 4-star stocks are still underappreciated, in our view).

The ongoing mass rollouts of COVID-19 vaccinations in developed markets will be the main catalyst for year-on-year demand growth of 5.1 million barrels per day in 2021. Our updated demand estimates for 2021 and 2022 are 96.2 mmb/d and 100.4 mmb/d, respectively. While optimistic about demand improvements, producers remain hesitant on the supply end.

During its June 1 meeting, OPEC+ confirmed it will go ahead with modest volume increases of 350 and 450 mb/d in June and July, respectively (which means the group will still be withholding at least 2 mmb/d). And U.S. shale drillers—which have historically acted as swing producers, like OPEC—have steadfastly refused to increase capital budgets to take advantage of higher oil prices, preferring to prioritize free cash flows and distributions to shareholders.

As a result, we now anticipate global demand will outpace supply this year by 1.0 mmb/d. These dynamics have pushed oil prices to what we consider frothy levels, with the West Texas Intermediate benchmark currently 33% higher than our $55/bbl midcycle forecast. Without an abrupt change in strategy from OPEC or the U.S. shale industry, the oil markets will remain tight this year, and short prices could climb even higher.

(Source: Morningstar)

General Advice Warning
Any advice/ information provided is general in nature only and does not take into account the personal financial situation, objectives or needs of any particular person.

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Currencies Trading Ideas & Charts

Increasing pressure on the Australian dollar

The RBNZ said on 14/09 that it will abruptly cease its quantitative easing programme, prompting many economists to push back their forecasted NZ rate hike to August. The next gathering of the bank is set for August 18.

The Australian currency plummeted against the New Zealand dollar as a result of the announcement, with the Reserve Bank of Australia’s (RBA) own guidance indicating that rates will not be raised until 2024. Bank bill futures, on the other hand, suggest that the RBA will begin tightening in late 2022.

Australian dollar has been sliding in recent weeks

Following the June labour force report, which showed the unemployment rate fell to a decade-low 4.9 percent, the Australian dollar continued its downward trend on Thursday, falling 0.3 percent to US74.61. The Australian dollar has been sliding in recent weeks, falling over 3.5 percent in just the previous month.

Despite exceeding economists’ estimates, the robust jobs data failed to halt the downward trend. The labour survey came before Sydney’s draconian limitations and the imposition of a fifth lockdown for Victorians to control a new outbreak, so most investors ignored the news.

Experts Comments

“As the leader of the hiking bloc, money should just pile into the Kiwi,” said Westpac senior currency strategist Sean Callow. “The Australian will not gain much with the Kiwi, and we expect the cross rate to break substantially lower.”

“The market is now more worried about the consequences of the NSW lockdown on future months’ numbers,” said Ray Attrill, head of FX strategy at NAB. “GDP might be negative in the third quarter, which would support the RBA’s assertion that it is playing the long game.”

Source: afr

General Advice Warning

Any advice/ information provided is general in nature only and does not take into account the personal financial situation, objectives or needs of any particular person.

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Currencies Trading Ideas & Charts

AUD/USD last Week Price Prediction – The Australian Dollar Remains Very Weak

Paper currency. Australian money.

The Australian dollar has struggled last week, as we have been unable to breach above the 0.75 handle. However, if Australia continues to tighten its grip on the market, it will be intriguing to monitor.

The lockdown has already stretched from Sydney to Melbourne, and given enough time, the Australians will find a cause to lock down the rest of the country. At this moment, I believe the Australian dollar is poised to decline to 0.70, particularly if we can breach below the 0.74 mark.

If we wear down below that level, I believe the bearish trend will ramp up, and the scenario will indeed be more or less a danger event. The US Currency Index keeps threatening a breakout to the higher, indicating that the US dollar is gaining traction.

This would be fascinating to see if this plays out, because we are presently on the verge of a breakdown, and at that time, I would not only continue to be short the Australian dollar, but I would also be looking for ways to add to my position.

Source: fxempire

General Advice Warning

Any advice/ information provided is general in nature only and does not take into account the personal financial situation, objectives or needs of any particular person.

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Currencies Trading Ideas & Charts

The crypto market is feeling the blues as GBTC shares become available

Bitcoin, despite its decline, continued to gain dominance

Despite its decrease, Bitcoin (BTC) maintained its dominance this week, accounting for 46.3 percent of market value, a concerning indicator for big altcoins. While Bitcoin (BTC) lost 6% this week, big altcoins lost even more. With an 11 percent decrease this week, Ethereum (ETH) has fallen below $2,000 and is already challenging important support at $1,800.

Polkadot (DOT), Dogecoin (DOGE), Uniswap (UNI), Solana (SOL), and Polygon (MATIC) are among the most popular cryptocurrencies, all of which are down by more than 20%. The current state of the market is one of indecision and inactivity. The trading activity on major cryptocurrency exchanges remained relatively modest, indicating investors’ cautious attitude.

Bank of America allowed some of its clients to trade BTC

The Grayscale Bitcoin Trust (GBTC) will release 16,240 BTC worth of shares on July 18. The announcement could cause Bitcoin values to fluctuate in either direction as investors adopt a wait-and-see attitude. Bank of America, the second largest bank in the United States, has apparently allowed some of its clients to trade BTC futures. Argentina was said to be introducing a measure earlier this week that would allow workers to take Bitcoin as payment.

France has advocated for an EU-wide cryptocurrency regulation that would give the European Securities and Markets Authority (ESMA) in Paris more power and control over the region’s booming crypto industry.

Paypal and Visa, for example, have decided to maintain Bitcoin and other cryptocurrencies. Paypal has stated that its clients will now be allowed to buy crypto for up to $100,000 every week, a five-fold boost in buying limitations. After reporting crypto-linked card usage of $1 billion or more in the first half of 2021, Visa released a new version of a physical Bitcoin Debit card in Australia.

Source: economictimes

General Advice Warning

Any advice/ information provided is general in nature only and does not take into account the personal financial situation, objectives or needs of any particular person.

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Currencies Trading Ideas & Charts

Why is Square entering the Bitcoin custodial industry, decrypting crypto trends?

Many people were not surprised by Square’s decision to enter the digital asset custody and service business. In June, at the Bitcoin 2021 Conference in Miami, Jack was at his eloquent best, revealing that Square was playing with the notion of a hardware wallet.

Square’s recent move is dissected

The global digital asset management (DAM) market is expected to expand at a compound annual growth rate (CAGR) of 12 percent from $3.4 billion in 2020 to $6.0 billion in 2025. Institutional institutions like Morgan Stanley and Goldman Sachs, as well as corporations, have recognised the digital currency space’s growth potential.

Secure custody alternatives for managing and using digital assets are in high demand around the world. Square’s desire to be a force to be reckoned with in this arena is self-evident.Wallets for digital currencies are used to receive, send, and store them. Hardware cryptocurrency wallets, also known as “Cold Wallets,” are more secure than “Hot Wallets” like desktop and smartphone wallets. Asset security has been raised by all market players, including retail and institutional investors.

Hardware Wallets’ Security

Hardware wallets have been known to be hacked in the past. Ledger, a Bitcoin hardware wallet supplier, was hacked in July of last year. More than 1 million user accounts were hacked. To establish itself as a strong and trustworthy player in the custody service space, Square would have to solve concerns about wallet security.

Source: Economic times

General Advice Warning

Any advice/ information provided is general in nature only and does not take into account the personal financial situation, objectives or needs of any particular person.

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Currencies Trading Ideas & Charts

Price of the Australian dollar against the Japanese yen remains pressed towards the 200-day moving average (DMA)

In a quiet Asian trading session on Monday, the AUD/JPY remains under pressure around 81.45. As a result, the cross-currency pair has failed to maintain Friday’s rally off the monthly low while remaining below a downward sloping trend line that has been in place since June 25. The MACD signs are also in favour of the selling.

However, the pair’s potential decline is hampered by an oversold RSI and proximity to the major moving average. For the time being, AUD/JPY trades are aimed at 200-DMA support near 81.20, followed by the 81.00 level. However, the pair’s further decline could be challenged by January’s high near 80.90.

The 50 percent Fibonacci retracement of the September 2020 to May 2021 upside, near 79.50, will be the key to watch if the bears keep the reins below 80.90. In the meantime, any correct pullback will be deemed mild unless it stays below a short-term resistance line near 82.30.

Following that, the bulls may be enticed by the recent swing high near 82.80 and April’s low near the 83.00 round figure.

Source: fxstreet

General Advice Warning

Any advice/ information provided is general in nature only and does not take into account the personal financial situation, objectives or needs of any particular person.

Categories
Currencies Trading Ideas & Charts

AUD/JPY Likely To Continue Declining

On the other hand, Bearish traders may find support at 81.13 in the coming trading sessions.

AUD/JPY 4 hourly chart

(Source: Fxstreet)

General Advice Warning

Any advice/ information provided is general in nature only and does not take into account the personal financial situation, objectives or needs of any particular person.