US Wrap

US equity markets closed the first trading session of the week on the back foot and we also saw an uptick in the VIX.

This latest bull run in equities in particular has seen the VIX wind back to levels not seen since March 2020. However, it appears markets are now starting to look a little nervous, particularly ahead of the latest earnings data.

It’s also worth noting that the USD was hit hard yesterday as well as the decline in the Greenback is only gaining momentum by the day.

Once again it was the crypto space that is seeing most of the action. BTC and the other major cryptos were under more pressure yesterday as profit-taking and nerves around regulation continue to make headlines. We are hearing that India is getting set to ban virtual currencies along with Turkey and we must pay attention to this narrative.

The Data Agenda

Data is going to be very thin today, however, we will have some interesting jobs numbers coming out of the UK.

The employment situation in the UK is not looking all that good still as the jobless rate hovered around 4.8% and there is still clearly a lack of job creation. The GBP/USD will be one to watch today.

Forex Signal Update

The FX Leaders Team hit 5 winners from 6 trades, for a massive start to the new trading week.

EUR/USD – Active Signal

The EUR/USD is gaining ground thanks to a weak USD. We believe price is in for a retrace and are short here.

LTC – Active Signal

LTC is looking weak as is the entire sector. After cashing out our ETH signal we will hold this one for now.

Cryptocurrency Update

BTC is knocking on the door of the $55,000 level, and the entire sector is looking very soft today. On the surface, it appears yesterday’s bounce might be just that.

For the time being, Bitcoin has a bit of support at $50,000, which I would expect to be the next downside target if this weakness continues today.