OmiFX8

OmiFX8

The spread between the 10-year US and German government bond yields has dropped below a macro bullish trendline, characterizing the widening since 2008. In other words, the market says the era of US rates being higher than German rates is passe! And therefore, holding EUR shorts is risky.

OmiFX8

Bitcoin's recent leg higher from $30K to $48K is accompanied by falling volumes (falling trendline on volume chart) on Coinbase, which is considered synonymous with institutions and high net worth individuals/entities. As such, it looks to be a leverage-driven rally, which makes BTC vulnerable to overheating of funding rates (cost of holding longs). Unless...

OmiFX8

Mindtree closed at Rs. 970 on Friday, confirming a classic rising wedge breakdown – a bullish-to-bearish pattern. The share, however, picked up a bid today and rose to Rs. 981.75, weakening the immediate bearish view. The path of least resistance, however, is still the downside and the rising wedge breakdown would gain credence once the price falls below Rs....

OmiFX8

The bull flag breakout confirmed on May 2 has ended up creating a classic evening star pattern is seen on the daily chart. The share's failure to capitalize not the flag breakout-like pattern is hardly surprising given the trading volumes had early picked up following the bullish development. This one is a sell if the price breaks below Rs. 2317 tomorrow....

OmiFX8

GBP/USD is under pressure as of writing, trading below the 50-day MA of 1.3105. The drop seen today marks a weak follow through to the falling wedge breakout confirmed on April 30 and the pair’s solid bounce from the 100-day MA seen on Friday. The pullback from Friday’s highs, however, could be short-lived as the ascending 5- day MA is capping downside in the...

OmiFX8

Brent oil has retaken the 4H 200MA of $70.47, having bounced up from the confluence of the 50-day and 200-day MAs near $69.11. On the 4-hour chart, I see a falling wedge breakout. THe probability of a rise to $72.00 would rise if the 4H RSI breaks above 48.00. As of now, it is hovering at 45.68. Even if it rallies to $72.00, the outlook as per the daily chart...

OmiFX8

Nifty gapped lower and fell to head-and-shoulders neckline validating the bearish divergence of the relative strength index.