Daily Market Analysis By FXOpen

[FXOpen Trader]

What Is the Difference Between MACD and RSI?


In the dynamic world of trading, traders utilise diverse instruments to skillfully navigate the ever-changing market landscape. Within this toolbox, technical analysis shines as a crucial instrument, assisting traders in comprehending past price dynamics, chart patterns, and current market trends. This approach equips traders with the ability to craft educated forecasts concerning possible price fluctuations. This article aims to shed light on how to read RSI and MACD, providing insights into how these indicators may be harnessed to interpret and anticipate market trends.

What Is the MACD?

The MACD indicator is a popular tool used by traders to analyse and interpret market trends. It consists of three main components: two lines and a histogram.

VIEW 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.

[FXOpen Trader]

Yen and Euro Slow Their Gains


The USD/JPY and EUR/USD currency pairs are showing moderate corrections. Market participants are locking in profits and shifting to a wait-and-see approach after the release of the Federal Reserve's meeting minutes, in which the regulator reaffirmed its commitment to the current interest rate levels amid uncertainty about the macroeconomic outlook.

In the coming trading sessions, market attention will focus on a batch of statistics from the US, Japan, and the Eurozone. Today, weekly US jobless claims data and the second estimate of Q1 US GDP growth rate are expected. Tomorrow, the focus will shift to Japanese inflation data (CPI), unemployment rate, and industrial production, which could significantly impact the USD/JPY pair.

USD/JPY


The USD/JPY pair is trading near the 145.80 level, correcting in response to changes in Japanese government bond yields. The yield on 30-year bonds has dropped to 2.85% from last week's high of 3.2%, while the yield on 10-year bonds fell to 1.46%. According to sources close to Japan's Ministry of Finance, a survey among primary dealers indicates structurally low demand for long-term bonds — this could signal a future reduction in their issuance. Amid declining yields, the yen's strengthening has slowed, and interest in the dollar has stabilised.

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.

[FXOpen Trader]

US Federal Court Rules Trump Tariffs Unconstitutional


According to media reports, the US Court of International Trade has:

• declared the tariffs imposed by President Donald Trump illegal;
  
• ruled that the President exceeded his authority;
  
• blocked the tariffs, emphasising that under the US Constitution, only Congress has the power to impose tariffs.
  

The decision was made unanimously by a panel of three judges. Financial markets reacted with:

• a rise in US stock indices;
  
• strengthening of the US dollar — most notably seen today on the USD/CHF chart, as demand for so-called safe-haven assets declined in light of the tariff reversal.
  

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.

[FXOpen Trader]

Nvidia (NVDA) Stock Price Rises Over 4% Following Earnings Report


Yesterday, after the main trading session, Nvidia released its quarterly earnings report, which exceeded analysts' expectations:
→ Earnings per share: actual = $0.81, forecast = $0.73
→ Revenue: actual = $44 billion, forecast = $43.3 billion

Additionally, according to media reports, Nvidia issued a strong forecast for the next period, although CEO Jensen Huang noted difficulties in accessing the Chinese market, which he estimates to be worth $50 billion.

Nevertheless, market participants reacted positively. According to Google, in after-hours trading the NVDA stock price rose by more than 4%, surpassing the $140 level.

It is reasonable to assume that this initial positive reaction could continue during today's main trading session.



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.

[FXOpen Trader]

Capitalising on Market Volatility


Market volatility, characterised by rapid price fluctuations, presents both opportunities and challenges for traders. Understanding its causes, measuring it effectively, and employing strategies to capitalise on it can lead to better trading results. This article explores the essentials of market volatility, from its definition and measurement to strategies like breakout and swing trading.

Definition and Causes of Market Volatility

When discussing volatility and its meaning in finance, it's typically defined as the degree of variation in a trading price series over a certain period. It is an essential aspect of the financial markets that signifies the fluctuation in the price of an asset or market index. High volatility means that the price of the asset is moving significantly over a short time, while low volatility indicates smaller price changes.

VIEW 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.

[FXOpen Trader]

XAU/USD Chart Analysis: Gold Price Stabilises Around $3,300


Throughout May, a turbulent news backdrop — involving both international trade tariffs and armed conflicts — led to the formation of a peak around $3,430 and a low near $3,130 on the XAU/USD chart. As of today, the price per ounce stands around $3,300 — roughly the same level as at the beginning of the month.

This suggests that supply and demand forces are largely balanced, keeping the price contained between these extremes. The XAU/USD chart provides further confirmation, emphasising the significance of the $3,300 level.



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.

[FXOpen Trader]

Musk Steps Away from Politics: What Does It Mean for Tesla (TSLA) Stock?


Yesterday, it was announced that Elon Musk will be stepping down from the Trump administration as his term as head of DOGE—where he focused on reducing government spending—has come to an end.

This decision follows his statement at the economic forum in Qatar, where Musk said he plans to focus less on politics, as he feels he has already done enough in that realm.

What Does This Mean for Tesla (TSLA) Stock?
Musk's move away from politics is likely a positive signal for investors. Here's why:
→ The company's CEO can now devote more time to addressing issues such as declining vehicle sales in Europe;
→ Musk's role at DOGE will no longer pose reputational risks for Tesla..

During yesterday's main trading session, TSLA stock surged to $367—its highest level since mid-February.



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.

[FXOpen Trader]

Market Analysis: Gold and WTI Crude Oil Prices Could Gain Bullish Pace


Gold started a fresh increase above the $3,300 resistance level. WTI Crude Oil is gaining bullish momentum and might even test $62.75.

Important Takeaways for Gold and WTI Crude Oil Price Analysis Today

• Gold price started a steady increase from the $3,250 zone against the US Dollar.
  
• A connecting bearish trend line is forming with resistance at $3,318 on the hourly chart of gold at FXOpen.
  
• WTI Crude Oil climbed above the $60.50 and $60.80 resistance levels.
  
• There was a break above a key bearish trend line with resistance at $60.80 on the hourly chart of XTI/USD at FXOpen.
  

Gold Price Technical Analysis


On the hourly chart of Gold at FXOpen, the price found support near the $3,250 zone, formed a base, and started a fresh increase above the $3,280 level.

The bulls cleared the $3,300 zone and the 50-hour simple moving average. There was also a move above the 61.8% Fib retracement level of the downward move from the $3,331 swing high to the $3,271 low. The RSI is now above 50 and the price could aim for more gains.

Immediate resistance is near the 76.4% Fib retracement level of the downward move from the $3,331 swing high to the $3,271 low at $3,318. There is also a connecting bearish trend line forming with resistance at $3,318.

The next major resistance is near the $3,330 level. An upside break above the $3,330 resistance could send Gold price toward $3,382. Any more gains may perhaps set the pace for an increase toward the $3,400 level.

Initial support on the downside is near the $3,300 zone. If there is a downside break below the $3,300 support, 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.

[FXOpen Trader]

Broadcom (AVGO) Stock Price Rose by Approximately 25% in May


According to available data:
→ AVGO's closing price on 30th April was $192.42
→ The closing price on 30th May was $241.59

The 25% increase in Broadcom (AVGO) stock price made it one of the leaders in the market. For comparison, the S&P 500 index (US SPX 500 mini on FXOpen) rose just over 6%.

Why is the AVGO stock price rising?
Among the bullish factors contributing to the growth of Broadcom (AVGO) stocks in May were:

→ Growing demand for AI infrastructure. This stimulates demand for Broadcom's products—such as high-performance networking chips, which are critical for building and scaling data centres for AI.

→ Positive news related to the successful integration of the previously acquired company VMware into Broadcom's business.

→ Optimism ahead of Broadcom's quarterly earnings report, scheduled for 5th June.



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.

[FXOpen Trader]

EUR/USD Rises to 4-Week High


As shown on the EUR/USD chart today, the euro rose to a 4-week high against the US dollar this morning.

The euro's strength relative to the US dollar is supported by traders' expectations ahead of the ECB's interest rate decision, scheduled for Thursday at 15:15 GMT+3.

This upcoming event is notable not only because the ECB is expected to cut rates from 2.40% to 2.15% (for the seventh consecutive time), but also due to the broader context shaped by ECB President Christine Lagarde's recent remarks on the euro's status as a reserve currency.

At the same time, the US dollar is weakening amid growing trade concerns—on Friday, the US President Donald Trump announced plans to double tariffs on steel and aluminum to 50%. He also accused China of breaching the recent trade truce.



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.

[FXOpen Trader]

What Role Do AI and ChatGPT Play in Stock Trading?


Making decisions in the stock market requires more than just traditional analysis—it demands intelligent tools that can process vast amounts of data and adapt to ever-changing conditions. That's where artificial intelligence (AI) and advanced language models like ChatGPT come in.

Artificial intelligence trading software and AI-automated trading systems are rapidly transforming how market participants approach stock trading. From analysing sentiment and generating trade ideas to automating research and executing trades, artificial intelligence in stock trading is believed to help traders react swiftly and strategically in dynamic market environments. In this article, we'll explore the growing role of AI-powered tools in the stock market.

How Does Trading with AI Work?
Using AI for trading stocks is a relatively new practice. AI analyses markets with accuracy and efficiency and may help traders learn about stocks and build a trading strategy. Here's a breakdown of how to use AI in trading.

The first stage needed for an AI model to function properly is robust data collection and preprocessing. This stage is akin to gathering raw materials to create a final product.

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.

[FXOpen Trader]

Market Insights with Gary Thomson: 2 - 6 June

Market Insights with Gary Thomson: BoC & ECB Rates, Canada and US Job Data & Earnings Reports

In this video, we'll explore the key economic events, market trends, and corporate news shaping the financial landscape. Get ready for expert insights into forex, commodities, and stocks to help you navigate the week ahead. Let's dive in!

In this episode, we discuss:
— BoC's Interest Rate Decision
— ECB's Interest Rate Decision
— Unemployment Rate in Canada
— NFP and Unemployment Rate in the US
— Corporate Earnings Statements

Don't miss out—gain insights to stay ahead in your trading journey.




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.

Disclaimer: This video represents the opinion of the Companies operating under the FXOpen brand only. 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.

[FXOpen Trader]

What Are Order Blocks and Breaker Blocks in Trading?


Order blocks and breaker blocks are key price action concepts that reflect how institutional participants place and manage their trades. While often overlooked by retail traders, these structures can offer valuable insights into market intent and potential turning points.

This article explains what order blocks and breaker blocks are, how they differ, and how traders can use them in market analysis. With a practical approach and clear examples, you'll learn how to identify these patterns on the chart and integrate them into your trading strategy.

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.

[FXOpen Trader]

Silver Price Hits Year-to-Date High


As shown on the XAG/USD chart, silver prices rose on Monday, surpassing the previous high of the year, which was set on 28th March at around $33.50 per ounce.

Why Is Silver Rising?
A bullish driver came from statements made by the White House. According to media reports:

→ US President Donald Trump announced on Friday evening plans to double tariffs on steel and aluminium imports to 50%, starting 4th June. This intervention in the global metals market may have also impacted silver prices, given silver's significant industrial value.

→ Trump's claims that China violated the trade agreement reached in Geneva last month further cast doubt on the prospects of a phone call between Trump and Chinese President Xi Jinping.



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.

[FXOpen Trader]

Meta Platforms (META) Shares Surge Over 3% in a Day


Shares of American tech giant Meta Platforms (META) rose approximately 3.6% yesterday, continuing their upward trend after gaining about 18% in May.

Why Is META Stock Rising?
Reports emerged yesterday that the company plans to fully automate the ad creation process using artificial intelligence.

According to the Wall Street Journal, Meta Platforms (META) is developing a system that will allow ads to be fully created and targeted using artificial intelligence tools by the end of next year.

How Could AI-Based Social Media Advertising Work?
A brand provides a product image and budget, and Meta's AI then:

→ generates ads that include images, videos, and text;
→ identifies the target audience across Instagram and Facebook (with a combined audience of over 3 billion users);
→ enables advertisers to personalise ads so that users see different versions of the same ad in real-time, based on factors like geolocation.



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.