Review of the key levels in the major markets as the US continues to edge lower. CPI release spooked the market and saw the DOW futures dump 500 points ahead of the stock market open. Prices did bounce back into the open...in a strange sign of strength...before dumping again into the close. This created a fear based market as traders focus on inflation and a more aggressive US Fed on interest rate rises. USD re-adjusted higher and FX crosses (with the USD) moved lower.
BITCOIN, ETHEREUM and crypto holders may come under margin pressure if the BTC and ETH rout continues. BTC needs to push back above the 30K zone to gather some confidence.
Key theme is around the USD and whether it continues higher above 104 (USD Index) or we see some dollar weakness creep in. Expecting that many traders were caught off guard and will reposition higher.
Markets covered US - DOW, Nasdaq and SP500 Europe - DAX and FTSE100 Asia - Hang Seng, ASX200 and Nikkei FX - Dollar Index (USD), EURUSD , GBPUSD , AUDUSD and USDJPY Commodities - GOLD , Oil and Copper Crypto - Bitcoin and Ethereum