Crypto market set to take the lead during Christmas season
During the upcoming trading week, the cryptocurrency market is set to take the lead as most traditional financial markets start to quiet down as they observe the Christmas Holiday. Traders are likely to focus on the latest moves in Bitcoin, Litecoin, Ethereum and the rest of the cryptocurrency market as volatility inside the foreign exchange, commodity and equity markets is reduced.
This economic calendar is fairly light this week, with United States Durable Goods Orders, Bank of Japan Meeting Minutes and the Tokyo Consumer Price Inflation data headlining the macroeconomic releases.
Monday 23rd December US Durable Goods Orders
US Durable Goods Orders is a government report and is released by the US Census Bureau which measures consumer spending on long-term purchases, products that are expected to last more than three years. Durable goods are generally sensitive to monthly volatility as US consumers may delay purchases of durable items such as cars and televisions and choose to only spend money on necessities in times of economic hardship.
- The USDCHF pair is only bullish while trading above the 0.9900 level, further upside towards 0.9935 and 0.9950 levels remains possible.
- If the USDCHF pair trades below the 0.9900 level, sellers are likely to test the 0.9770 and 0.9710 support levels.
Tuesday 24th December, US Richmond Manufacturing Survey
The Richmond FED Manufacturing survey including information on shipments, new orders, order backlogs, and inventories conducted by the Federal Reserve Bank of Richmond. The survey provides information on current activity inside the 220 business organizations. Generally speaking, a high reading is bullish for the US dollar, whereas a low reading is seen as negative for the US dollar.
- The USDCAD pair is only bullish while trading above the 1.3200 level, further upside towards the 1.3225 and 1.3250 resistance levels seems possible.
- If the USDCAD pair trades below the 1.3200 level, sellers are likely test towards the 1.3100 and 1.3050 support levels.
Wednesday 25th December, Christmas Day Holiday
Most major financial markets and banks will be closed in observation of Christmas Day.
Thursday 26th December, Japanese CPI
The Tokyo Consumer Price Index released by the Statistics Bureau is a measure of price movements obtained by comparison of the retail prices of a representative shopping basket of goods and services, excluding fresh food. The index captures inflation in Tokyo. Generally a high reading is seen as positive for the Japanese yen currency.
- The USDJPY pair is only bullish while trading above the 109.00 level, further upside towards the 110.00 and 110.50 resistance levels seems possible.
- If the USDJPY pair trades below the 109.00 level, sellers are likely test towards the 108.60 and 108.20 support levels.
Friday 27th December 25th, EU ECB Economic Bulletin
The European Central Bank will launch a new publication, the Economic Bulletin, which replaces the Europen Central Bank Monthly Bulletin. The new report will be published two weeks after each Governing Council meeting and will be closely read by market participants as a guide to gauging the central banks latest thoughts on monetary policy and the EU economy.
- The EURUSD pair is only bullish while trading above the 1.1130 level, further upside towards 1.1200 and 1.1260 levels remains possible.
- If the EURUSD pair trades below the 1.1130 level, sellers are likely to test the 1.1060 and 1.1020 support levels.