Bitcoin trading close to the 40000 levels on Monday boosted by the comments from the Tesla CEO, Elon Musk.
“When there’s confirmation of reasonable (~50%) clean energy usage by miners with the positive future trend, Tesla will resume allowing Bitcoin transactions” - Tesla CEO, Elon Musk.
The price of bitcoin has risen by more than 11% since Musk announced the news. He also said Tesla had only sold about a tenth of its original bitcoin holdings.
US stock futures trading unchanged on Monday as the investors waiting for the US Federal Reserve Monetary Policy Meeting later in the week. On the other hand, the UK and European indices hit the new session highs on Monday.
Crude oil prices jumped to a fresh monthly high on Monday supported by the positive comments from OPEC about the oil demand recovery.
In the currency market, the EURO slightly rebounded on Monday following the release of better-than-expected Eurozone Industrial production data. Meanwhile, the British pound fell to a fresh session low of 1.4070 after Britain and the EU failed to agree on solutions to post-Brexit trade problems in Northern Ireland.
The precious metal extends losses for the third session as the traders remain concerned about the recent inflation spike that potentially could lead to a shift in FED monetary policy.
On the data front, Eurozone industrial production grew by 0.8% in April, compared to the market expectations of 0.4%.
This week the main highlights of the economic calendar will be the FOMC, BOJ and SNB interest rate decision and UK, and Eurozone inflation data.
Worldwide, more than 175 million people have been confirmed infected and more than 3.8 million have died. The United States has confirmed over 33.4 million cases and has had more than 599,000 deaths from COVID-19, the highest totals in the world.
GBPUSD: The currency pair extends slide to a fresh weekly low of 1.4070 during the European session. The next downside levels to watch 1.4040 and 1.4000. On the flip side, the immediate resistance at 1.4100 and 1.4140.
The important levels to watch for today: Support- 1.4060 and 1.4020 Resistance- 1.4100 and 1.4140.
GOLD: The yellow metal trading below $1860, if the bearish momentum continues the next downside levels to watch the $1850 and $1844 zone. On the flip side, the immediate resistance at $1870.
The important levels to watch for today: Support- 1850 and 1844 Resistance- 1865 and 1870.
Quote of the day: Remind yourself that today is not the last day you will ever have to trade. You have time, the market isn’t going anywhere – Nial Fuller.