Early Market Update and a Look at the Breakout of the Bitcoin Price.
In this report I cover the early market action from London on Tuesday, July 24th, 2018. I look briefly at the precious metals, the stock market, the dollar, crypto currencies and the bond market.
I also look closely at the technical picture for the bitcoin price. I note that we are breaking above key technical resistance at around $7'800 and that the next target in the medium term would be $10'000. The G-20 has also announced it won't be giving any guidance in term of crypto currency policy and that in of itself is a positive as it means the powers that be will leave bitcoin & co. alone for now.
The other financial indicator I look at is the U.S. Treasury 10-year yield and note that we are at key technical levels and that the yield spiked higher by about 10 basis points in the last couple of days. Higher yields mean lower bond prices and higher borrowing costs.
I conclude my report by looking at the technical picture for the gold/silver ratio and note that we need to see this ration drift lower in order for the precious metals market to bottom from its recent correction lower.