Daily Market Analysis By FXOpen

NVDA Stock Price Recovers After 1.5-Month Low
nvda.png


Yesterday, NVDA’s stock price fell to 116.61 – its lowest level since June 5th.

The bearish sentiment was triggered by Trump’s cautious remarks regarding the necessity to defend Taiwan from the threat of military action by China. The leading pre-election candidate suggested in a Bloomberg interview that the island should pay for US defensive support, leading to a drop in semiconductor manufacturers' stock prices: TSMC fell by 8%, and Nvidia shares dropped by 6.6% during yesterday's session, as its primary AI chip producer is Taiwan Semiconductor Manufacturing.

However, today in pre-market trading, NVDA's price is recovering, rising above $120 per share. How might the situation develop further?

Let us recall that on 10th July, we wrote about strong seller pressure above the $130 per share level. Since then, the price has declined by approximately 9%.
nvda.jpg



TO VIEW THE FULL ANALYSIS, VISIT THE FXOPEN BLOG

Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
 
Analytical MSFT Stock Price Predictions for 2024, 2025–2030, and Beyond
wd.jpeg


Understanding the future of Microsoft stock is crucial for anyone looking to trade or invest in this mega-cap giant. This article provides a comprehensive analysis of MSFT's price history, its analytical forecasts for 2024, Microsoft price target for 2025, and long-term projections up to 2030 and beyond, offering valuable insights into Microsoft's potential trajectory and the factors influencing its market performance.

Microsoft Price History

Microsoft Corporation went public on March 13, 1986, at an initial public offering (IPO) price of $21 per share. Adjusted for stock splits, that translates to $0.0601 in today's terms. The stock experienced a steady climb during the late 1980s and early 1990s, driven by the success of Windows operating systems and Office software. By the end of 1999, MSFT had surged to a high of around $36 per share, largely fueled by the dot-com boom.

TO VIEW THE FULL ANALYSIS, VISIT THE FXOPEN BLOG

Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

RISK WARNING: Trading on the Forex market involves substantial risks, including complete possible loss of funds and other losses and is not suitable for all members. Clients should make an independent judgement as to whether trading is appropriate for them in the light of their financial condition, investment experience, risk tolerance and other factors.
 
How To Trade Natural Gas: Tools and Approaches
wsa.jpeg


Natural gas trading presents unique opportunities due to its critical role in the global energy market and its inherent volatility. This article delves into the various strategies and tools traders can use to navigate natural gas CFDs, from fundamental and technical analysis to understanding market dynamics.

Overview of the Natural Gas Market

Made up of primarily methane, natural gas is a key fossil fuel that’s grown in use over the past two decades. It forms deep beneath the Earth's surface from the remains of plants and animals buried under layers of sediment and subjected to intense heat and pressure over millions of years. It’s typically found near oil reserves and must be extracted and processed before it can be used.

Natural gas is a relatively clean-burning energy source, at least compared to coal or oil. It plays a crucial role in the global energy sector, accounting for about 23% of energy consumption worldwide in 2023, according to Statista, and 33% of US energy consumption in 2022, according to the EIA.

TO VIEW THE FULL ARTICLE, VISIT THE FXOPEN BLOG

Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

RISK WARNING: Trading on the Forex market involves substantial risks, including complete possible loss of funds and other losses and is not suitable for all members. Clients should make an independent judgement as to whether trading is appropriate for them in the light of their financial condition, investment experience, risk tolerance and other factors.
 
Market Analysis: Gold Price and Crude Oil Price Correct Recent Gains
gold.png


Gold price started a downside correction from $2,485. Crude oil prices are also moving lower from the $82.20 resistance zone.

Important Takeaways for Gold and Oil Prices Analysis Today

  • Gold price climbed higher toward the $2,485 zone before there was a pullback against the US Dollar.
  • A key bearish trend line is forming with resistance near $2,450 on the hourly chart of gold at FXOpen.
  • Crude oil prices extended downsides below the $81.30 support zone.
  • A major contracting triangle is forming with resistance near $80.70 on the hourly chart of XTI/USD at FXOpen.

Gold Price Technical Analysis
gold.jpg


On the hourly chart of Gold at FXOpen, the price rallied heavily above the $2,425 resistance. The price even spiked above $2,480 before the bears appeared.

A high was formed near $2,483 before there was a downside correction. There was a move below the $2,465 support level. The bears even pushed the price below the $2,450 support and the 50-hour simple moving average.

The price declined below the 50% Fib retracement level of the upward move from the $2,391 swing low to the $2,483 high. If the bears remain in action, the price might decline further.

TO VIEW THE FULL ANALYSIS, VISIT FXOPEN BLOG

Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
 
META Price Is Holding Around a Key Support Level. But for How Long?
meta.jpg


According to TipRanks, the average target price for META, as forecasted by Wall Street analysts, is $537.41 (a 12.94% increase from current levels) over the next 12 months. However, not all analysts remain positive.

Craig Johnson, Chief Market Technician at Piper Sandler, issued a warning about the future of the "Magnificent Seven" stocks, which include Microsoft (MSFT), Apple (AAPL), NVIDIA (NVDA), Meta Platforms (META), Tesla (TSLA), Amazon.com (AMZN), and Alphabet Inc. (GOOG and GOOGL).

"These charts are reversing, and they need further correction," he said on CNBC's Last Call programme.

Indeed, the market is sending alarming signals regarding the leaders. Yesterday, we wrote about the increasing signs of bearish aggression on Nvidia's stock chart; today, we'll assess the price action of Meta Platforms Inc.
metax.jpg



TO VIEW THE FULL ANALYSIS, VISIT FXOPEN BLOG

Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
 
USD/CAD Exchange Rate Approaches Key Resistance
usdcad.png


As the USD/CAD chart shows, the Canadian dollar has weakened against the US dollar over the week – today, the USD/CAD rate is near two-week highs.

According to Reuters, this has been influenced by:

→ the strengthening of the USD against other currencies;

→ the anticipation of retail sales data, which could affect the outlook for a potential rate cut by the Bank of Canada. The Retail Sales data will be released today at 15:30 GMT+3.

How might the Canadian dollar's exchange rate change against the “greenback”?
usdcad.jpg



TO VIEW THE FULL ANALYSIS, VISIT FXOPEN BLOG

Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
 
Watch FXOpen's 15 - 19 July Weekly Market Wrap Video

Weekly Market Wrap With Gary Thomson: US Banks Turn Bullish, GBP/USD, Gold Price, NVDA Stock


Get the latest scoop on the week's hottest headlines, all in one convenient video. Join Gary Thomson, the COO of FXOpen UK, as he breaks down the most significant news reports and shares his expert insights.

  • US Banks Set a Bullish Tone at the Start of Earnings Season
  • GBP/USD Exchange Rate Rises Above 1.3000 on Inflation News
  • Analysis of XAU/USD: Gold Price Sets Historical Record
  • NVDA Stock Price Recovers After 1.5-Month Low

Stay in the know and empower yourself with our short, yet power-packed video.

Watch it now and stay updated with FXOpen.


Don't miss out on this invaluable opportunity to sharpen your trading skills and make informed decisions.

maxresdefault.jpg

FXOpen YouTube


Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

RISK WARNING: Trading on the Forex market involves substantial risks, including complete possible loss of funds and other losses and is not suitable for all members. Clients should make an independent judgement as to whether trading is appropriate for them in the light of their financial condition, investment experience, risk tolerance and other factors.


#fxopen #fxopenyoutube #fxopenint #weeklyvideo
 
Market Analysis: GBP/USD Trims Gains While USD/CAD Rallies
gbpusd.png


GBP/USD started a pullback from the 1.3050 zone. USD/CAD is rising and might aim for more gains above the 1.3735 resistance.

Important Takeaways for GBP/USD and USD/CAD Analysis Today

  • The British Pound started a downside correction from the 1.3050 resistance zone.
  • There is a key bearish trend line forming with resistance at 1.2940 on the hourly chart of GBP/USD at FXOpen.
  • USD/CAD is showing positive signs above the 1.3700 support zone.
  • There is a major bullish trend line forming with support at 1.3720 on the hourly chart at FXOpen.

GBP/USD Technical Analysis
gbpusd.jpg


On the hourly chart of GBP/USD at FXOpen, the pair struggled to continue higher above the 1.3050 resistance zone. The British Pound started a downside correction and traded below the 1.3010 support zone against the US Dollar.

The pair even traded below 1.2970 and the 50-hour simple moving average. Finally, the bulls appeared near the 1.2900 level. A low was formed at 1.2900 and the pair is now consolidating losses below the 23.6% Fib retracement level of the downward move from the 1.3044 swing high to the 1.2900 low.

TO VIEW THE FULL ANALYSIS, VISIT FXOPEN BLOG

Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
 
What Is Confluence in Trading, and How Can You Use It?
wed.jpeg


Confluence in trading involves the strategic alignment of multiple signals to validate trade decisions. This method is supposed to enhance the reliability of trade signals and allows traders to filter out low-probability outcomes. This article delves into the key components of confluence trading, its practical applications, implementation, and common mistakes.

Confluence: Definition in Trading

Confluence in trading refers to the alignment of multiple indicators or analysis tools to get stronger signals for decision-making. By combining various technical indicators, chart patterns, and support and resistance levels, traders can filter out low-probability setups and focus on higher-probability outcomes.

For instance, confluence can involve using a moving average crossover, a support level, and an RSI reading below 30 to identify a potential buying opportunity. This multi-faceted approach helps validate the trade signal and potentially increases the likelihood of favourable outcomes.

TO VIEW THE FULL ARTICLE, VISIT FXOPEN BLOG

Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

RISK WARNING: Trading on the Forex market involves substantial risks, including complete possible loss of funds and other losses and is not suitable for all members. Clients should make an independent judgement as to whether trading is appropriate for them in the light of their financial condition, investment experience, risk tolerance and other factors.
 
How Did MSFT Stock Price React To Global Outage?
msft.png


On 19th July, a global outage occurred. Numerous computers running Windows worldwide experienced "blue screens of death" (BSOD), affecting companies in different sectors, including airlines, hospitals, media, banks, and others.

The outage was caused by a CrowdStrike's Falcon Sensor update, a component of the Windows system that essentially works to protect computers from cyber threats. CrowdStrike quickly acknowledged the issue, stating that it was not a cyberattack but an update error, and suggested a solution.

According to CNBC, the large-scale outage did not significantly impact the operation of most financial markets. Representatives of the New York Stock Exchange and Nasdaq stated on Friday that they were operating despite the issues with the CrowdStrike update. The only noticeable unpleasant consequence for most was the inability to calculate the Russell stock indices, including the popular Russell 2000. However, the confusion was resolved later on Friday.
msft.jpg



TO VIEW THE FULL ANALYSIS, VISIT FXOPEN BLOG

Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
 
What Is a Global Macro Strategy, and How Do Traders Use It in Trading?
lOkSHMy.jpeg


A global macro strategy is a comprehensive investment and trading approach that includes analysis of economic, political, and global trends to make decisions. This article delves into the core components, analytical tools, and practical applications of global macro strategy, providing a detailed outline for understanding and implementing this sophisticated trading method.

Understanding Global Macro Strategy

Global macro strategy is an investment and trading approach that focuses on the analysis and interpretation of economic and political events on a global scale.

This strategy is typically employed by hedge funds and mutual funds, which take positions based on macroeconomic principles and geopolitical developments, including interest rates, currency movements, and political changes. However, many individual traders also opt for this approach, but it typically requires a deep understanding of the global economic system and the interrelated factors that drive markets.

TO VIEW THE FULL ARTICLE, VISIT FXOPEN BLOG

Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

RISK WARNING: Trading on the Forex market involves substantial risks, including complete possible loss of funds and other losses and is not suitable for all members. Clients should make an independent judgement as to whether trading is appropriate for them in the light of their financial condition, investment experience, risk tolerance and other factors.
 
Analysis of XAU/USD: Gold Price Falls for 4 Consecutive Days
xauusd.png


As shown on the XAU/USD chart, Monday, 22 July marked the fourth consecutive day of declining gold prices. The change from the historical peak reached on Wednesday is around -3.5%.

Bearish sentiment is driven by:

→ Market participants' assessment of prospects due to the change of the Democratic Party's presidential candidate in the US.

→ Caution in anticipation of economic news. On Thursday at 15:30 GMT+3, US GDP data will be released. On Friday at the same time, the Core PCE Price Index data will be published.

Market participants may also be influenced by the psychological level of $2500.

Can the Gold Price Fall Further?
xauusd.jpg



TO VIEW THE FULL ANALYSIS, VISIT FXOPEN BLOG

Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
 
EUR and GBP Retreat from Key Levels
eur.jpg


Financial and currency markets are experiencing one shock after another. The steady decline in US inflation, a potential Fed rate cut, and the current US president’s exit from the election race have led to sharp fluctuations in almost all currency pairs. Last week:

  • The GBP/USD pair traded above the psychological level of 1.3000;
  • USD/JPY sellers pushed the price below 156.00;
  • The EUR/USD currency pair updated its May highs of the current year at 1.0920. Currently, we are observing corrective pullbacks from recent impulses. The news coming out this week will provide more clues about the development of current trends.

GBP/USD
eur.png


TO VIEW THE FULL ANALYSIS, VISIT FXOPEN BLOG

Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
 
Tesla Report May Strengthen Bullish Sentiment
tsla.png


President Joe Biden withdrew his bid for a second term in the White House on Sunday. It's reasonable to assume that the stock market responded optimistically to this news, as US stocks closed higher on Monday, with the S&P 500 (US SPX 500 mini on FXOpen) rising by 1.08% to 5,564.41 – its best day since 5th June. CNN Money's Fear and Greed Index showed an improvement in overall market sentiment, moving into the "Greed" zone.

TSLA stocks showed even more positive momentum, gaining 5.15% yesterday.

Recall that on 2nd July we noted that the TSLA price:

→ Was still within a descending channel (shown in red);

→ But was showing strong momentum, having crossed the median of the red channel and forming an ascending channel (shown in blue).

Since then, the TSLA price has:

→ Surpassed the upper boundary of the descending channel, breaking out of the downward trend it had been in since late 2021;

→ Continued to form a bullish channel, reaching its upper boundary last week.
tsla.jpg



TO VIEW THE FULL ANALYSIS, VISIT FXOPEN BLOG

Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
 
How Can You Trade Using Order Flow? 3 Trading Strategies
edc.jpeg


Understanding the intricacies of order flow trading unlocks the door to deeper market insights, revealing not just the movements of prices but the forces driving them. In this FXOpen article, we’ll explore how order flow works, its components, and how it can be used within three comprehensive trading strategies.

Understanding Order Flow Trading
Understanding order flow in trading involves examining where buy and sell orders might rest in the market. Essentially, it's about understanding the action behind price movements rather than just the movements themselves. At its core, order flow reveals where traders are placing their orders and at what price, offering a glimpse into the potential future direction of the market based on the current levels of buy and sell orders.

When traders talk about order flow, they're looking at the accumulation of these orders at various price levels, which can indicate areas of strong buying or selling pressure.

TO VIEW THE FULL ARTICLE, VISIT FXOPEN BLOG

Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

RISK WARNING: Trading on the Forex market involves substantial risks, including complete possible loss of funds and other losses and is not suitable for all members. Clients should make an independent judgement as to whether trading is appropriate for them in the light of their financial condition, investment experience, risk tolerance and other factors.
 
Market Analysis: EUR/USD Trims Gains While USD/CHF Regains Strength
eurusd.png


EUR/USD started a fresh decline below the 1.0900 support. USD/CHF is rising and might aim a move toward the 0.9000 resistance.

Important Takeaways for EUR/USD and USD/CHF Analysis Today

  • The Euro struggled to clear the 1.0950 resistance and declined against the US Dollar.
  • There is a key bearish trend line forming with resistance at 1.0870 on the hourly chart of EUR/USD at FXOpen.
  • USD/CHF is showing positive signs above the 0.8900 resistance zone.
  • There is a major bullish trend line forming with support at 0.8910 on the hourly chart at FXOpen.

EUR/USD Technical Analysis
eurusd.jpg


On the hourly chart of EUR/USD at FXOpen, the pair failed to clear the 1.0950 resistance. The Euro started a fresh decline below the 1.0900 support against the US Dollar.

The pair declined below the 1.0875 support and the 50-hour simple moving average. Finally, the pair tested the 1.0840 level. A low was formed at 1.0841 and the pair is now consolidating losses. The pair is showing bearish signs, and the upsides might remain capped.

Immediate resistance on the upside is near the 23.6% Fib retracement level of the downward move from the 1.0896 swing high to the 1.0841 low at 1.0855.

TO VIEW THE FULL ANALYSIS, VISIT FXOPEN BLOG

Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
 
How Will the BoC's Decision Affect the Currency Market?
TUtNeG3.jpeg


The USD/CAD pair has been strengthening for the third consecutive week and is currently approaching the upper boundary of the three-month range of 1.3850-1.3600. The strength of the pair's buyers is quite significant, which could lead to a consolidation above 1.3850 and a continued rise towards the psychological level of 1.4000. However, the news background for the upcoming trading sessions is so saturated that it could lead to either a strengthening of the current trends or the formation of reversal patterns:

  • today at 16:45 (GMT+3) the release of the US Services PMI for July;
  • today at 16:45 (GMT+3) the Bank of Canada’s interest rate decision;
  • today at 17:00 (GMT+3) the Bank of Canada’s press conference;
  • today at 17:00 (GMT+3) the release of US New Home Sales data for June.

Experts surveyed by Reuters suggest that the Canadian regulator will not only cut the rate by 0.25% at today’s meeting but may also announce two more rounds of rate cuts by the end of the current year.

Technical analysis of the USD/CAD pair indicates the possibility of further growth, as the “hammer” pattern formed on 11th July remains relevant on the daily timeframe. In the event of a rebound from 1.3850, a corrective decline to 1.3760-1.3730 is possible.
BrGvHqh.png



TO VIEW THE FULL ANALYSIS, VISIT THE FXOPEN BLOG

Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
 
Brent Crude Oil Price Is Declining Amid De-Escalation in the Middle East
brent.png


On 8th July, we noted that oil prices were forming a large narrowing triangle, originating from 2022-2023, with its upper boundary being a significant resistance point.

As shown on the Brent oil price chart (XBR/USD), bulls have since failed to overcome the upper boundary resistance around $87. Subsequently, the price:

→ turned downwards, breaking the blue upward trend line;

→ eventually breached the support level at $84, which we highlighted on 8th July;

→ Formed a descending channel (indicated in red).

Bearish sentiment is driven by:

→ news of increased oil inventories;

→ reduced tensions in the Middle East. Israeli Prime Minister Benjamin Netanyahu stated that an agreement with Hamas on hostage release is "maturing."
brent.jpg



TO VIEW THE FULL ANALYSIS, VISIT FXOPEN BLOG

Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
 
GOOGL Shares Decline After Report
goog.png


Yesterday, Alphabet released its Q2 report:

→ Earnings per share: actual = $1.89, forecast = $1.847;

→ Gross revenue: actual = $84.742 billion, forecast = $84.208 billion.

The actual figures exceeded analysts' expectations. However, today in pre-market trading, GOOGL's price fluctuates around $178.60 per share, down from $183.60 at yesterday's close. Investors might be disappointed by YouTube's ad sales growth falling short of expectations ($8.7 billion versus the projected $8.9 billion).

It appears that GOOGL shares will join other tech companies whose stocks are losing ground in the stock market.

On 18th July, analysing NVDA's chart, we noted that the bears had the initiative. On 19th July, we pointed out bearish signs on META's stock charts. And on 22nd July, we highlighted bearish signs on MSFT's price chart.
goog.jpg



TO VIEW THE FULL ANALYSIS, VISIT THE FXOPEN BLOG

Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
 
What Order Imbalance Is and How To Use It in a Trading Strategy
8IvDDfs.jpeg


Understanding the nuances of order imbalances is key for traders looking to navigate the ebb and flow of asset prices. Order imbalances provide a clear window into the supply and demand dynamics at play, offering strategic insights. This article delves into the intricacies of order imbalances, their causes, and a practical strategy for leveraging these market phenomena.

Understanding Order Imbalances
CAxMIB6.jpeg


Order imbalance, a fundamental concept in forex, crypto*, commodity, and stock markets, refers to a situation where there is a disproportionate number of buy or sell orders for a particular asset. This imbalance of orders can significantly influence asset prices, pushing them up or down depending on the direction of the imbalance. Known also as fair value gaps, they offer a window into the underlying supply and demand dynamics shaping the market at any given moment.

TO VIEW THE FULL ARTICLE, VISIT THE FXOPEN BLOG

Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

RISK WARNING: Trading on the Forex market involves substantial risks, including complete possible loss of funds and other losses and is not suitable for all members. Clients should make an independent judgement as to whether trading is appropriate for them in the light of their financial condition, investment experience, risk tolerance and other factors.
 
Top