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 Bitcoin made its strongest fall since the US election a few weeks ago after coming very close to reaching $100,000.

  • The cryptocurrency Bitcoin has made its biggest drop since the Republican victory in the US general election during the first week of this month, falling as low as $94k. Bitcoin has been in an amazing bull run, peaking a few days ago just shy of the major round number at $100,000. Trend traders will still be hanging on to their long positions, but if the price falls further towards $90k that will change. It may be that Bitcoin has peaked for some time just below $100,000.
  • President-Elect Trump has announced that he will move quickly to impose new 25% tariffs on all imports from Mexico and Canada, and he will add another 10% to tariffs on Chinese imports. This puts the USD/CAD and USD/MXN currency pairs in focus, with each currency having fallen by more than 1% against the greenback since Trump’s announcement. Day traders may find liquidity and volatility in these currency pairs today – the spread on USD/CAD will be considerably cheaper.
  • In the Forex market, the US Dollar has been the strongest major currency since the Tokyo open, while the Canadian Dollar has been the weakest. The greenback is in a long-term bullish trend although it again gave up most of its earlier gains. Renewed strength in the greenback might be best exploited by going short of EUR/USD, but this currency pair has rebounded since spiking down to a new 2-year low on Friday below $1.0350. However, this is in a long-term bearish trend.
  • Fed member Kashkari who is typically hawkish has stated that he believes a further rate cut at the Fed’s upcoming December meeting will be “reasonable”. The CME FedWatch tool currently shows a 56% chance of a 25% rate cut at this meeting.
  • There will be releases today of the minutes of the most recent Federal Reserve meeting, and US Consumer Confidence data.

    • More By This Author:Forex Today: Bitcoin Heading To $100,000 Weekly Forex Forecast – Sunday, Nov. 24BTC/USD Forex Signal: Approaching $100,000

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