FXPrimus has summarized the important market indicators of the day.

Today’s Important Indicators

Despite the trade tensions escalating between US and China, US President Trump attacked the European Union with threats while the latter warned that tariffs will cost the US $14B.

Dollar was widely stronger but gains were moderate, while Euro was under pressure not only due to Trump’s confrontation but also modestly due to Merkel’s political drama developing in Germany.

Safe havens slid marginally in return but “big oil” finally saw a day of indecision following a rally from $67.30.

Today’s Forecast for Important Trading Indicators

• BTC/USD – Bitcoin moves away from $6k barrier building up from recent multi-month low. Bitcoin price jumped from $6300 to $6650 within an hour yesterday following a massive increase in net longs and an increase of $14B in market capitalisation. Although investors jumped in, supporting bulls’ sizeable buy order, Bitcoin halted at the strong resistance and reversed to a daily close of $6590. Price may follow with another break or another drop may be seen soon.

MARKET MOVERS

• EUR/USD – Euro down on tensions after Trump’s threat to impose tariffs, Merkel drama sustained. Euro lost more than 80 pips against Dollar intraday but recovered nearly 70% back by day’s end. The currency weakened following an array of somewhat poor PMIs and continued dwindling on trade threats against Eurozone’s export sector. Currently at $1.1640 with German politics reflecting on.
• GBP/USD – Sterling trails Euro on similar effects from trade tensions, Manufacturing PMI modest. Cable traded very similarly to Euro in the Monday session as currency markets were driven mainly by trade tensions. Despite Manufacturing PM in the UK was not bad investors sentiment remained unchanged having Cable posting 45 pips losses. Today, Markit releases UK’s Construction PMI.
• USD/JPY – Dollar prolongs bullish ride on trade ar fears and good eco data, hits 2-week high vs Yen. Dollar sustained the ongoing rally for a fifth consecutive session now with yesterday’s upmove amid trade war fears and a better that expected ISM Manufacturing PMI. The pair hit a fresh 2-week high above 111 where it also was rejected and retreated to close Monday session at 110.88. Japan’s Tankan supported the bullish move.
• USOIL – Oil mixed despite Libya disruption, bulls attempt some profit taking before fresh highs. Oil finally closed a session mixed following a rally from $67.30 last week and eight-one score on bullish-bearish days. Despite Libya removed 850,000 bpd from production traders wisely started taking partial profits before the rally resumes. Oil trades near multiyear high.
• XAU/USD – Trump’s approach to escalate trade tensions takes Gold to 6-month low of 1239. Gold price formed a double bottom as expected at $1239/oz but most importantly it was rejected at the ascending trendline started in December 2015. The fall was own to trade escalation fears and the recent Thump threats towards Europe.
• US Indexes – DJ and S&P 500 rose by 0.15% and 0.31%, respectively.
• European Indexes – DE 30 opened 0.45% higher, UK 100 is currently trading a noticeable 0.05% higher.
• Asian Indexes – ASX 200 appreciated by 0.47%, Nikkei 225 depreciated by 0.12%, Hang Seng trades 1.68% lower.
• US Equities – Twitter surged 3.0% higher, Tesla plummeted by 2.30%