This Week In Forex, Stocks, And Crypto
Forex Market Overview
The biggest forex news this week is coming from north of the border. As Canada’s top monetary policymakers meet this Wednesday, the value of the Canadian Dollar will experience some major changes. If the Bank of Canada maintains its neutral approach, the Loonie will likely have a strong week. However, some traders believe the central bank’s dovish lean may result in a value decrease.
On the other side of the pond, the Pound is beginning to slow down, following some busy Brexit news cycles. Elsewhere in Europe, recent MPI reports are suggesting that 2019 is likely going to be a sluggish year for the region. With few economic reports waiting on the horizon, both the Pound and the Euro are likely to have slow weeks.
In the United States, the dollar performed quite well, largely driven by above average consumer spending levels. With tax season in our review mirror—thank God—consumer spending will likely remain high. New GDP data will help propel the dollar even further by week’s end. Other major reports to look out for include Australia’s CPI readings and an additional statement from the Bank of Japan.
Taking a Closer Look at EUR/USD
The EUR/USD pair has been trading inside a downward channel below the daily Ichimoku Cloud for more of 2019. With the key pivot level at 1.1284, we could expect the pair to bounce up and down within this channel for another few months before there is enough market sentiment to cause a breakout.
The future Ichimoku cloud appears bearish giving us a further bearish indication.
Crypto Market Overview
After a somewhat stable week last week, Bitcoin started this week with a bang. The cryptocurrency was able to break the $5,400 mark for the first time since last November. April has been a positive month for the cryptocurrency, inspiring investors everywhere to give it another look.
One of the reasons why Bitcoin has been able to rally is the fact that it can now be used in more places than ever before. Moon, a New York-based payment processing startup, has developed a browser extension that makes it possible to use Bitcoin on Amazon and other e-commerce websites.
Now, you might know that I’ve been calling yet another Bitcoin crash that’ll crack the $2,000 support level.
However, for those who purely follow technical analysis, the Bitcoin relative strength index—one of the top indicators in the industry—appears to be indicating a long-term bullish reversal. Some traders believe a 10 percent value increase will likely occur this very month. If you are looking for a creative way to finance your summer vacation, this may be it. Elsewhere in the world of cryptocurrency, JP Morgan—along with more than 200 of their closest friends—are looking to expand their already existing blockchain platform.
Stock Market Overview
Last week was another exciting week on Wall Street as well. The DOW had a productive week, rising more than 100 points and closing beyond 26,500 points on Monday. The S&P 500 experienced a week with a few minor ups and downs, but generally finished around where it started.
Last week saw two big tech IPOs issued by Pinterest and Zoom. Following Zoom’s initial IPO of $36 per share, shares have already risen in value to over $66. Pinterest also enjoyed some respectable gains as well, increasing in value from $19 to $25 within its first week of trading.
In other news, the State Department decided to end a wavier program allowing certain nations to import oil from Iran. This will likely cause the value of American and some Middle Eastern oil companies to increase. It looks like competition in the energy market is beginning to “heat up.”
This brings me back to you. Which markets you’ll be focusing on this week and why? After you subscribed, head over to the comment section, give me a shoutout and let me know.
Remember that a s the 4th point of the IDDA technique, you must calculate your risk tolerance before deciding on the investment strategy that is suitable for your portfolio. Don’t forget to complete your risk management due-diligence before developing your investment strategy.
This article was originally published on InvestDiva.com.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Kiana Danial
Kiana Danial is an award-winning, internationally recognized personal investing and wealth management expert. She is a highly sought-after professional speaker, author and executive coach who delivers inspirational workshops and seminars to corporations, universities and entrepreneurial groups. She is a frequent expert on many TV and radio stations and has reported on the financial markets directly from the floor of NYSE and Nasdaq. She is a weekly investment expert guest on Tokyo’s #1 Investment TV Show. She has been featured in The Wall Street Journal, TIME Magazine, CNN, Forbes, The Street, and numerous other publications. Kiana’s book "Invest Diva's Guide to Making Money in Forex" was picked by McGraw-Hill only two years after she first moved to the US, and was an immediate domestic and international success. At a young age, she has won numerous awards including Best Financial Education Provider at Shanghai Forex Expo in 2014, New York Business Women of Influence Honoree in 2015, and Pro Bono Humanitarian Award by IA Bar Association in 2013. Born and raised in Iran to a Jewish family as a religious minority, she was awarded a scholarship from the Japanese government to study Electrical Engineering in Japan, where she obtained two degrees in Electrical Engineering and researched on Quantum Physics in classes conducted in the Japanese language. Being the only girl and foreigner in her classes made her decide to dedicate her life to empowering minorities, especially women in male dominated industries. As the CEO of Invest Diva, Kiana’s goal is to empower and educate women to grow their wealth by investing like a ROCK STAR.
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