Market Insights: What's Influencing Market Movements?

Marker Overview

There is immense confusion about recent developments in the Middle East. Shortly after a ceasefire was announced, a new wave of large-scale air strikes occurred, reigniting fears of further escalation. The abrupt shift has disrupted markets, particularly oil prices, which initially dropped on ceasefire hopes before volatility returned. Analysts are closely watching whether the conflict will stabilize or worsen, with significant misinformation fueling speculation.

The turmoil is affecting global markets, with oil prices swinging dramatically. WTI Crude had fallen from the mid-$70s to the mid-$60s after the ceasefire announcement but now faces uncertainty as tensions flare again.

In a sign of modern conflicts evolving nature, the U.S. Army has enlisted top AI executives—including leaders from Palantir, Meta, and former OpenAI executives—as Lieutenant Colonels. Their role is to bridge commercial tech and military applications, highlighting the growing reliance on AI in global security strategies.

Market Analysis

GOLD

GOLD prices have rebounded slightly after nearing recent lows, but the market remains sensitive to developments in the Middle East. While short-term price action is bearish, it's crucial to consider the underlying fundamental factors influencing market sentiment. Recent volatility shows that the anticipated drop was halted, with prices now testing the EMA200. If tensions in the Middle East escalate, we could see further consolidation as traders shift focus to Oil, which may potentially surge beyond $100/bbl.

SILVER

SILVER prices remain steady, with last night's candles pushing them lower but not moving out of the consolidation zone. We anticipate continued consolidation and potential buying as the overall sentiment remains bullish.

DXY

The Dollar appears to be facing increased bearish continuation, especially after recent ceasefire talks. However, renewed conflict could shift sentiment back toward safe-haven assets, as seen in rising GOLD prices. Currently, we will focus on technical analysis, leaning towards a bearish outlook. Although support at 97.932 is strong and could push prices up, the MACD remains bearish and the RSI indicates overbought levels despite low prices. Overall, there's a higher chance for further price drops.

GBPUSD

The Pound has risen significantly due to a shift in market sentiment. While this increase supports a buying momentum, it's still in consolidation, failing to surpass previous highs. We need to see further buying before confirming a complete shift. Both the MACD and RSI suggest a positive trend is possible, so well wait to see how it progresses.

AUDUSD

The Aussie Dollar has returned to its consolidation zone after a recent price increase. Currently, prices are hesitant despite moving past the EMA200. The market could swing in either direction, so we should monitor its progress in the coming days. The MACD indicates increased buying volume, and the RSI shows bullish sentiment. While the potential for further buying is high, we must remain cautious of any shifts in market sentiment.

NZDUSD

The Kiwi, like the Aussie Dollar, is in a consolidation phase after gaining strength. The MACD and RSI indicators show increased buying momentum. Although the price action has turned bullish, it remains within the consolidation zone, so we'll wait for further confirmation before shifting our bias to buying.

EURUSD

The Euro is currently finding increased selling momentum and strength, with prices testing 1.16110. The MACD, however, is seeing increased bullish volume while the RSI is also calling for increased bullish momentum. Thus, there are more chances for prices to continue buying in the coming days.

USDJPY

The Yen remains strong, though growth is slow. Prices on USD/JPY have dipped below the EMA200, suggesting a shift toward selling. Market sentiment could influence price movements, especially with ongoing developments in the Middle East. Technical indicators like the MACD and RSI indicate increasing bearish momentum. The BoJ emphasizes that rate hikes will depend on economic projections while maintaining an accommodative stance amid global risks. Additionally, Japanese negotiator Ryosei Akazawa is set to visit the US around June 26 to push for the removal of US tariffs.

USDCHF

The Franc has gained strength against the Dollar, maintaining a bearish structure. The MACD and RSI indicate increased bearish momentum and volume, prompting us to seek more selling opportunities. If the US can't manage the situation, the Franc may become a preferable alternative to the Dollar, even in a risk-off scenario.

USDCAD

The CAD remains weak as USD/CAD rises, with bullish structures holding. Prices are bouncing off EMA200 and the boundary, suggesting potential continued bullish movement despite some Dollar weakness. We'll monitor the situation, but the MACD may rise further, and the RSI is approaching overbought levels. We expect buying to continue in the coming days.