Day: November 21, 2024

EUR/USD stays under pressure as ECB officials support more rate cuts

Technical Analysis: EUR/USD struggles above 1.0500 EUR/USD strives to hold the key support of 1.0500. The outlook of the major currency pair remains bearish as all short- to long-term Exponential Moving Averages (EMAs) are declining. The 14-day Relative Strength Index (RSI) oscillates in the bearish range of 20.00-40.00, adding to evidence of more weakness in the near term. Looking down, the pair is expected to find a cushion near the October 2023 low at around 1.0450. On the flip side, the round-level resistance of 1.0600 will be the key barrier for the Euro bulls. submitted by /u/Denchock [link] [comments]

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Now’s the Time to Toughen Russia Oil Sanctions: Oil Strategy

Existing price cap is failing to erode the Kremlin’s war chest Cutting Moscow’s funds needs action to reduce fuel shipments Falling oil prices and an impending period of over-supply could create the perfect opportunity to toughen sanctions on Russian supplies to the point where they actually start to bite into the Kremlin’s war chest, writes Bloomberg oil strategist Julian Lee. The existing price-cap mechanism, which really hasn’t crimped Moscow’s oil income, was introduced at the urging of a US administration concerned that actually hitting Russia’s exports would send prices rocketing. That’s no longer the worry that it was two years ago when the measure was being crafted. Even with geopolitical tensions in the Middle East at the most intense for decades, Brent crude is still meandering beneath $75 a barrel and dipped below $70 in September. That’s down by more than a quarter from where it was when the price cap was devised. Sanctions imposed on individual tankers for breaches of the price cap were moderately successful. Those ships initially sat idle for months after being listed by the US, the UK or the European Union. More recently Moscow has begun to put them back to work. Their reactivation has brought no repercussions for those accepting the vessels into their ports. Perhaps it’s time it did. Sanctioned Ships at Work The number of Russian cargoes carried on sanctioned vessels has jumped since initial shipments were delivered without issue. There are now 90 oil tankers that have been sanctioned by one or more of the three administrations. Greatly increasing that number — the shadow fleet used to haul Russia’s oil is estimated at about 600 ships — and imposing real costs on using them would hit Moscow hard. If Indian, Chinese and Turkish refiners were persuaded to stop, or reduce, their imports of Russian crude hauled on shadow fleet ships, inevitably Moscow’s oil exports would fall. Taking, say, 1 million barrels a day of Russian crude off the market might actually do little more than balance supply and demand in the first half of 2025, according to the International Energy Agency. In a weak market, the price impact would be manageable. The effect on the Kremlin’s war chest would be far more damaging. There’s also plenty of spare production capacity that could offset any loss of Russian barrels. The OPEC group of oil producers theoretically could boost supply by more than 5 million barrels a day, if they chose. That’s almost twice Russia’s seaborne crude exports. Of course, they could choose not to step in. Relations between Riyadh and Moscow are a lot closer now than they were in March 2020 when the Kremlin refused to toe the Saudi line on production policy. Back then, a brief production free-for-all was brought to a sudden and dramatic end by the collapse in oil markets triggered by the Covid-19 pandemic. Now it’s far from clear whether Riyadh would choose Washington over Moscow when it comes to oil policy. Outgoing US President Joe Biden has shown in recent days that he’s prepared to step up support for Ukraine ahead of his departure from the White House. Effective sanctions targeting Russia’s oil exports would be a boon for Kyiv. If the West is serious about hitting President Vladimir Putin’s oil income it may have no better opportunity than the weeks before President-elect Donald Trump takes office. submitted by /u/Pllover12 [link] [comments]

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Shiba Inu holders withdraw 1.67 trillion SHIB tokens from exchange

Bloomberg: Shiba Inu (SHIB) trades slightly higher, around $0.000024, on Thursday after declining more than 5% the previous week. SHIB’s on-chain metrics project a bullish outlook as holders accumulate recent dips, and dormant wallets are on the move, all pointing to a recovery in the cards. Shiba Inu investors accumulate on the dips Shiba Inu price faces a corrective pullback after surging more than 50% in early November. However, its on-chain metrics suggest a bullish outlook ahead. Santiment’s exchange outflow data shows a massive spike, indicating that 1.67 trillion SHIB worth nearly $41 million has been withdrawn from exchanges. Historically, when SHIB experienced a similar spike in exchange outflow, the meme coin rallied massively. Shiba Inu Exchange outflow chart. Source: Santiment Santiment’s Age Consumed index also aligns with the bullish outlook. Spikes in this index suggest dormant tokens (tokens stored in wallets for a long time) are in motion and can be used to spot short-term local tops or bottoms. For Shiba Inu, history shows that the spikes were followed by a rally in meme coin prices. The most recent uptick on November 14 also forecasted that SHIB was ready for an uptrend. SHIB Age Consumed chart. Source: Santiment Shiba Inu Price Forecast: A recovery on the cards Shiba Inu price declined more than 5% after facing resistance around its weekly level of $0.000028 in the second week of November. The weekly resistance at $0.000028 coincides with the 50% price retracement level ( drawn from a March high of $0.000045 to an August low of $0.000010) at $0.000028, making it a key resistance zone. As of this week, the pullback continues, trading at around $0.000023. If Shiba Inu breaks and closes above $0.000028, it will rally to retest its end-March weekly high of $0.000032. The Relative Strength Index (RSI) on the weekly chart reads 59, above its neutral level of 50, indicating the bullish momentum is gaining traction. SHIB/USDT weekly chart However, if SHIB continues the pullback and closes below $0.000019 weekly support, it will extend the decline to retest the weekly low of $0.000016. submitted by /u/Denchock [link] [comments]

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