27.12.2018: Recap of European session

27.12.2018: Recap of European session


Summing up the results of Thursday, we should
say that sellers’ attempt to break the resistance
zone at 1.1345-1.1370 in the euro-dollar pair
failed.
Moreover, there is a risk that the pair will
decline lower to 1.1300 and then 1.1270.
At the same time, the euro-dollar pair is
reluctant to move away from the 1.14 area
as trading activity is low in the holiday
season and investors muse over closing their
long deals on USD.
To make things worse, the temporary shutdown
of the US government including the Department
of Commerce fuels investors’ concerns.
This department publishes reports on the GDP
growth rate, the inflation rate, as well as
personal income and spending data.
So, these publications are likely to be delayed.
Uncertainty prevents traders from making important
investing decisions.
Thus, demand for the euro remains high near
the resistance levels of 1.1445 and 1.1485.
At the same time, the higher the euro rises,
the more attractive to sellers it becomes.
The Brent price advanced by 8% amid a rebound
in the US stocks.
At some point it has even reached 54.5 dollars
per barrel.
Today this benchmark lost 2.37%, sliding to
the level of 53.7 dollars per barrel.
Lately, oil prices have been following the
US stock indices, so a rapid surge in the
US assets contributed to an increase in the
commodity to 55 dollars per barrel.
Sellers of Brent and WTI futures had to close
their short deals.
However, crude oil lacks momentum to rise
further amid concerns over a significant decrease
of demand for energy due to trade conflicts,
questionable effectiveness of the OPEC+ agreement
and a possible rise in oil output in the United
States in 2019.
The dollar/ruble pair went down to 68.8762
in today’s trading on the Moscow Exchange
amid increased activity in the domestic foreign
exchange market.
Besides, the greenback dropped by 0.18 below
the level it finished Wednesday’s trading
day at.
Today Bitcoin declined by 1.77 to $3,859.7
while the traded volume of cryptocurrencies
in general reduced to $15 billion dollars.
Notably, it amounted to $29 billion dollars
just a week ago.
Bitcoin has lost 7.3% of its cost since December
15.
The price of the leading cryptocurrency is
expected to
fall to $3,000.

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