Forex Signals Brief for Feb 23: Mayhem in Crypto Markets

US Wrap

US markets closed the day in the red for yet another session and it appears that the selling is gaining steam.

The NASDAQ took the hardest hit of all and finally it appears that volatility is starting to come back into the market. I’ve been calling for this for a couple of weeks now, but have clearly been a little bit early.

Meanwhile, most of the action was in the crypto space with the likes of BTC getting hammered before recovering. Bitcoin tumbled by around $10,000 before bouncing. As I’ve been saying for some time now, I am very nervous about Bitcoin at current levels and fully expect to see some selling across the board in the coming weeks.

The other big mover was also the commodities markets and specifically metals. Both GOLD and SILVER pushed higher and I am very bullish on both at the moment.

The Data Agenda

The data today will probably be of most interest out of the UK as we get a look at their jobs data.

The UK data is always a little delayed but is suggesting that things are headed the wrong direction. Not a surprise with the tyranny of Boris Johnson.

Elsewhere, Jerome Powell will be speaking today, but I strongly doubt we’ll be hearing much of note. The party line continues to be that he will wait for employment and inflation to return.

Forex Signal Update

The FX Leaders Team didn’t close any green signals yesterday as the majors pushed higher thanks to a soft Greenback.

Gold – Pending Signal

GOLD is a trade I am very interested in at the moment and I suspect this bounce can continue.

EUR/GBP – Pending Signal

The EUR/GBP continues to get sold down hard at the moment. We are short, in what has been a very profitable pair for us.

Cryptocurrency Update

While the entire crypto space got absolutely smashed yesterday, XRP managed to not only hold up but gain ground.

This is very interesting to me. XRP has lagged in recent months thanks to the SEC case hanging over its head, while everyone piled into BTC and others. But as the talk grows about industry-wide, regulation XRP stands out to me as the one to watch. Today’s relative strength is important.