[Market Commentary] Bitcoin's ADX indicator is still in the high range
- The biggest concern in financial markets is inflation and tapering in various countries
- The biggest concern in the cryptocurrency industry is regulation in China and taxation & regulation in the United States
With the US and UK on holiday, the market did not move much. In Europe, Germany and France both revised downward, with Germany's DAX down 0.64% from the previous day and CAC40 down 0.57% from the previous day. On a daily chart, prices are in the high range but fluctuating. Germany's May CPI rose 2.4% year-on-year, the highest since October 2018, which dampened sentiment and impacted stocks. Today, the Eurozone CPI release is scheduled.
The dollar index fell about 0.3%, and accordingly USD/JPY dropped to around 109.50, EUR/USD in the 1.22 area moved slightly up. Gold remained near highs, rising to the $1,910 level. India's Q1 2021 GDP grew 1.6% year-on-year, marking two consecutive quarters of growth after the pandemic-induced recession. India's NIFTY 50 index remained solid, continuing to hit record highs.
The cryptocurrency market shows concerns about downside but remains firm. Volatility has cooled somewhat from previous levels but remains relatively high. The ADX indicator sits at 56.08 in the high range; when ADX exceeds 25, it suggests a strong and continuing trend, so caution is still required. Ethereum is performing well, rising from around $2,300 to near $2,700.
This week includes US employment data, PMI and GDP releases from various countries.
13:30 RBA Policy Rate Announcement
18:00 Eurozone May CPI flash
23:00 US May ISM Manufacturing Index
【Stocks with trading upside】
DAX, NIFTY 50
EUR/JPY, GBP/JPY
Ethereum
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