Weekly Technical Analysis with Candlestick Charts – 27 February 2022

Weekly Technical Analysis with Candlestick Charts – 27 February 2022

BITCOIN

WEEKLY SNAPSHOT

    Manufacturing PMI (Feb), U.K.

    WHEN:                                               WHAT IT HAD INFLUENCED:

21st FEBRUARY 2022                              GBP and its subsequent pairs

WHAT HAPPENED: The Manufacturing Purchasing Managers’ Index (PMI) measures the activity level of purchasing managers in the manufacturing sector. A reading above 50 indicates expansion in the sector; below 50 indicates contraction.

GBPNZD is trading in the down channel. Further downside can be seen in the coming week.

     CB Consumer Confidence (Feb), U.S.

     WHEN:                                              WHAT IT HAD INFLUENCED:

     22nd FEBRUARY 2022                              USD and its subsequent pairs

WHAT HAPPENED: Conference Board (CB) Consumer Confidence measures the level of consumer confidence in economic activity. It is a leading indicator as it can predict consumer spending, which plays a major role in overall economic activity. Higher readings point to higher consumer optimism.

USDCHF is currently in the upward channel. The further upside can be seen in the coming week.

GDP (QoQ) (Q4), GERMANY

WHEN:                                            WHAT IT HAD INFLUENCED:

25th FEBRUARY 2022                           EUR and its subsequent pairs 

WHAT HAPPENED: Gross Domestic Product (GDP) is the broadest measure of economic activity and is a key indicator of economic health. The quarterly per cent changes in GDP show the growth rate of the economy as a whole.

EURJPY is currently in the downward channel. Further downside can be seen in the coming week.

Gold Below $1,900 as Haven Trade Loses Some Shine

WHAT IT HAD INFLUENCED:

GOLD 

WHAT HAPPENED: Gold’s dalliance with $1,900 peaks may not be over. But for this week itself, that high water-mark seems to have hit a crescendo with risk appetite overcoming haven trades on Friday to send U.S. stocks and bond yields higher and gold down for the first time in three days and its first weekly decline in four.

Traders also appear to have grown somewhat weary in chasing bullion prices up on every Russia-Ukraine headline, explaining some of the deflation in the geopolitical pressure that sent gold to 13-month highs in the past two sessions.

Gold’s most-active contract on New York’s Comex, April, settled down $38.70, or 0.6% at $1,887.60 an ounce. On Thursday, the benchmark gold futures surged to a January 2021 high of $1,976.20.

Aside from the drop on the day, the front-month in Comex gold also declined 0.6% on the week for its first weekly slide since Jan. 21, when it settled at 1,784.90.

GOLD was trading in the upward channel. Further upside can be seen in the coming week.

Oil Finding it Harder to Cross $100 Amid Mixed Readings on War

WHAT IT HAD INFLUENCED:

CRUDE OIL

WHAT HAPPENED: 

Oil may have aced its long-awaited target to reach $100 a barrel but it seems to be having a hard time returning to the mark amid mixed readings on the war in Ukraine and its associated risks, including the ever-growing sanctions against Russian entities and individuals.

London-traded Brent, the global benchmark for oil, settled down $1.15, or 1.2%, at $97.93 a barrel on Friday. On Thursday, Brent reached $105.79, the first time it had gotten to $100 since 2014.

U.S. crude’s West Texas Intermediate, or WTI benchmark, settled down $1.22, or 1.3%, at $91.59. WTI hit a seven-year high of $100.54 in the previous session.

Despite the drop on the day, crude prices still registered weekly gains, with Brent up 4.3% and WTI rising 0.6%. Before last week, crude prices had rained non-stop for eight straight weeks.

WTI CRUDE OIL is trading in the up channel. Further upside can be seen in the coming week.

Ethereum futures premium hits a 7-month low as ETH tests the $2,400 support

WHAT IT HAD INFLUENCED:

ETHEREUM

WHAT HAPPENED: 

Ether (ETH) reached a $3,280 local high on Feb. 10, marking a 51.5% recovery from the $2,160 cycle low on Jan. 24. That price was the lowest in six months, and it partially explains why derivatives traders’ main sentiment gauge plummeted to bearish levels.

Ether’s futures contract annualized premium, or basis, reached 2.5% on Feb. 25, reflecting bearishness despite the 11% rally to $2,700. The worsening conditions depict investors’ doubts regarding the Ethereum network’s shift to a proof-of-stake (PoS) mechanism.

ETHEREUM is currently in the downward channel. The further downside can be seen in the coming week. 

5 KEY EVENTS TO WATCH OUT

    Composite PMI (Feb), U.K.

WHEN:                                                               WHAT IT INFLUENCES:

03rd MARCH 2022                                            GBP and its subsequent 

                                                                            Pairs

WHAT’S HAPPENING: The Composite PMI Index measures the activity level of purchasing managers in both sectors. A reading above 50 indicates expansion in the sector; a reading below 50 indicates contraction. 

A higher-than-expected reading ought to be taken as positive/bullish for the GBP, whereas a lower-than-expected reading should be taken as negative/bearish for the GBP.

      Nonfarm Payrolls (Feb), U.S.

WHEN:                                                                WHAT IT INFLUENCES:

04th MARCH 2022                                                    USD and its subsequent 

                                                                             Pairs

WHAT’S HAPPENING: Nonfarm Payrolls measure the change in the number of people employed during the previous month, excluding the farming industry. Job creation is the foremost indicator of consumer spending, which accounts for the majority of economic activity.

A higher-than-expected reading ought to be taken as positive/bullish for the USD, whereas a lower-than-expected reading should be taken as negative/bearish for the USD.

    Unemployment Change (Feb), GERMANY

WHEN:                                                               WHAT IT INFLUENCES:

02nd MARCH 2022                                            EUR and its subsequent 

                                                                            Pairs

WHAT’S HAPPENING: German Unemployment Change measures the change in the number of unemployed people during the previous month.

A higher-than-expected reading ought to be taken as negative/bearish for the EUR, whereas a lower-than-expected reading should be taken as positive/bullish for the EUR.

Interest Rate Decision (Mar), AUSTRALIA 

WHEN:                                                               WHAT IT INFLUENCES:

28th FEBRUARY 2022                                         AUD and its subsequent 

                                                                            Pairs 

WHAT’S HAPPENING: Reserve Bank of Australia (RBA) board members come to a consensus on where to set the rate. Traders watch interest rate changes closely as short-term interest rates are the primary factor in currency valuation.

A higher-than-expected reading ought to be taken as positive/bullish for the AUD, whereas a lower-than-expected reading should be taken as negative/bearish for the AUD.

GDP (MoM) (Dec), CANADA

WHEN:                                                               WHAT IT INFLUENCES:

01st MARCH 2022                                            CAD and it’s subsequent 

                                                                            pairs

WHAT’S HAPPENING: Gross Domestic Product (GDP) measures the annualized change in the inflation-adjusted value of all goods and services produced by the economy. It is the broadest measure of economic activity and the primary indicator of the economy’s health.

A higher-than-expected reading ought to be taken as positive/bullish for the CAD, whereas a lower-than-expected reading should be taken as negative/bearish for the CAD.

EQUITIES IN THE COMING WEEK

1. Workday (WDAY) to announce its Quarterly Results on 28th FEBRUARY 2022, EPS estimated to 0.7073 per share while revenue estimated 1.36B. 

2. Salesforce.com (CRM) to announce its Quarterly Results on 01st MARCH 2022, EPS estimated to 0.7512 per share while revenue estimated 7.24B.

3. Dollar Tree (DLTR) to announce its Quarterly Results on 02nd MARCH 2022, EPS estimated to 1.78 per share while revenue estimated 7.12B.

4. Target (TGT) to announce its Quarterly Results on 01st MARCH 2022, EPS estimated to 2.85 per share while revenue estimated 31.36B.

5. AutoZone (AZO) to announce its Quarterly Results on 01st MARCH 2022, EPS estimated to 17.69 per share while revenue estimated 3.16B.

TOP COMMODITIES IN THE COMING WEEK

GOLD

Technical Analysis

GOLD was trading in the upward channel. Further upside can be seen in the coming week. 

SILVER

Technical Analysis

SILVER is trading in the upward channel. Further upside can be seen in the coming week.

BRENT CRUDE OIL

Technical Analysis

BRENT CRUDE OIL is trading in the up channel. Further upside can be seen in the coming week.

TOP CRYPTO IN THE COMING WEEK

BTCUSD

Technical Analysis

BTCUSD is trading in the down channel; downside will be seen in the coming days. 

ETHEREUM

Technical Analysis

ETHEREUM is currently in the downward channel. The further downside can be seen in the coming week.   

 TOP CURRENCY IN THE COMING WEEK

EURUSD

Technical Analysis

EURUSD was trading in the upward channel. The downside can be seen in the coming week after the breakout.

GBPUSD

Technical Analysis

GBPUSD was trading in the upward channel. The downside can be seen in the coming week after the breakout.

USDJPY

Technical Analysis

USDJPY is currently in the upward channel. A further upside can be seen in the coming week.

TOP INDEX IN THE COMING WEEK

DOW JONES

Technical Analysis

DOW JONES is trading in the downward channel; further downside will be seen in the coming days.

HANG SENG

Technical Analysis

HANG SENG is trading in the down channel; further downside will be seen in the coming days.

DATA WATCH

Technical Analysis

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