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BTCUSD - the decision of the US Federal Reserve will determine the dynamics of "digital gold"

Last week, the BTCUSD pair fell to the 16700 area but then won back the losses and rose to 17200, where it has been trading over the past few sessions.

The cryptocurrency market remains uncertain: the bankruptcy of the FTX exchange is putting pressure on it, but monetary factors prevent a significant decrease in quotes. The liquidation of several large digital projects at once in six months caused serious damage to the sector, expressed in the loss of confidence in it and a decrease in investment. Thus, according to a survey of American citizens conducted by the CNBC channel, by the end of the year, the number of respondents who had a positive attitude towards digital assets adjusted to 8.0% from 19.0%, and after the Terraform and FTX bankruptcies, the number of respondents who were strongly negative about cryptocurrencies, rose from 25.0% to 43.0%. The situation with FTX did not go unnoticed by the authorities, which creates the possibility of tightening control over the activities of such sites, restraining the activity of its participants. State regulators are already checking messages for unfair advertising, and the US Securities and Exchange Commission (SEC) has required national businesses to publicly disclose the ownership of digital assets and report transactions with cryptocurrency market participants.

However, the negative fundamentals did not contribute to a sharp downward correction, as investors hope that the "hawkish" rhetoric of the US Fed will soften in the face of an emerging slowdown in price growth, which may cause the dollar to weaken against its main competitors. This week, analysts expect two major events – the publication of November inflation data and a meeting of the US regulator: if the consumer price index declines again, a decrease in interest rate growth to 50 basis points will become inevitable, and in the future, a short-term break in tightening of the monetary policy will become possible.

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The trading instrument is near the resistance zone 17500 – 17830 (Murrey [6/8], Fibonacci correction 23.6%), the breakout of which will give the prospect of further growth to 19100 (Fibonacci correction 38.2%), 20000 (Murrey [8/8], Fibonacci retracement 50.0%). After the breakdown of the middle line of Bollinger bands around 16800, the decline may resume to 15700 (the area of November lows), 15000 (Murrey [4/8]), and 13750 (Murrey [3/8]).

Technical indicators signal a high probability of correction: Bollinger Bands and Stochastic are reversing upwards, and MACD is decreasing in the negative zone.

Resistance levels: 17830, 19100, 20000 | Support levels: 16800, 15700, 15000, 13750

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Solid-Micro Account

The main unique feature of Solid-Micro accounts is that the minimum trading volume starts from 0.001, while the trading conditions are similar to those for standard accounts. As a result, these account types suit both beginners and professionals, because they may help them test new trading strategies or Expert Advisors in market conditions without any significant financial investments.

> Minimum Deposit $5
> Minimum lot 0.001 lots (100 units)
> Leverage 1:1000

Feel free to open an account and start trading Forex with as low as $5!

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Solid ECN Web-Trader MetaTrader 5

The MetaTrader 5 Web platform allows you to start trading on the Forex, exchange and futures markets from any browser and operating system, including Windows, Mac and Linux. You can access the rich set of functions that are available in the MetaTrader 5 desktop platform directly on the web, which means you can analyze financial quotes and trade without downloading or installing any application. You can access your account and start trading in just a couple of clicks. Trading on the Web platform is safe, while any transmitted information is securely encrypted.

Open a free account at Solid ECN today.

> 1:1000 Leverage
> %30 Deposit Bonus
> Ultra-Fast Execution
> Negative Balance Protection
> Refund Policy

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Free Market Analysis Subscription

Solid ECN team delivers professional market analysis with both fundamental and technical aspects on a daily basis on 6 platforms.

> Website
> Email
> Linkedin
> Twitter
> Instagram
> Facebook

Feel free to sign up for a demo account to receive the latest market update to your inbox, or follow us on social networks.

Our analysis helps our clients to trade more efficiently, cut losses, and find the entry and exit points easier.

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Solid ECN Solution for Inflation

We have inflation concerns at Solid ECN Securities. Therefore we came up with an ultimate solution by providing multiple wallets to our customers. They can save their assets, investments, and profits in the most demanded currencies and cryptos.

> Euro wallet
> Bitcoin wallet
> US dollar wallet
> Pound sterling wallet
> Canadian dollar wallet

Solid ECN offers trading more than 250 products with a Bitcoin based account in a true ECN environment!

Feel free to open an account with Solid ECN, the best place to trade Forex, Commodities, Indices and cryptocurrencies.

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Platform

The popular trading platforms are narrowed to a few. We chose the newest and the most advanced platform that is available in the market, the MetaTrader 5!

Why MetaTrader 5?

Contrary to commune belief, MetaTrader 5 is not an upgrade of MT4. The MT4 platform was developed for trading in the Forex environment, whereas MT5 was coded for CFDs, Stocks, and futures access. To be short, MetaTrader 5 is for more experienced and advanced traders, but before we go with the MT5, at Solid ECN we ran a survey of the traders we know, and found out that most rookies and novice users are already with the MT5 platform, and for the first time the MT5 users have surpassed the MT4’s!

Major differences

> MT4 has 9-time frames, whereas MT5 offers 21-time frames. More time frames assist technical analyzers to have a better conception of the market movement.
> MT 4 has 4 pending orders, whereas MT5 provides 6 types of pending orders.
> MT 4 doesn’t have the market depth, but MT5 market depth is accessed within the chart.
> MT5 has the Economic calendar on default.
> MT4 has 4 types of pending orders, whereas MT5 holds 6 types.
> MT4 allows hedging only, whereas MT5 allows both hedging and netting on request.
> MT5 has 38 technical indicators, 44 analytical objects and unlimited charts
> Partial order filling policies (fill/kill or cancel return) is another advantage of the MT5 for advanced traders.
The strategy tester of the MT5 platform is multi-threaded but MT4 is single-threaded.

MetaQuote corporation has been sending announcements about stopping MT4 updates. Therefore, we believe it was in the best interest of all parties to go with the MT5 platform!

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Refund Policy

There is no perfection in services online, and when funding is involved, we believe that the merchant should have a transparent refund policy. Solid ECN Securities acknowledges customer rights, and for that reason, we drafted the Solid-Refund policy. There are circumstances when it is essential to return payment. Clients may submit a refund petition if the merchant service was not as described or the service was not functional or if the client justifies the reason.

We tried to make the money return policy concise, simple, and clear to give our customers a feeling of security. That is why we guarantee our services, and if it wasn’t as described the consumer has the right to apply for a money return.

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Payment Methods

Solid ECN Securities added more than 50 cryptocurrencies to its payment system. Our clients at Solid ECN can manage their account funding by a wide range of cryptos, from bitcoin to Zilliqa, all are available in the Solid-Dashboard > Account funding.

Solid ECN took this step to offer cost-effective payment methods for its customers. The blockchain transfer fee of the major cryptocurrencies have been increasing, therefore, retails are interested in trying the alternatives.

With Solid ECN, any trader can take advantage of +50 crypto payments.

> It is secured;
> It is undisclosed;
> it is decentralized.

Solid ECN brings vital advantages for forex traders in the US, EU, and beyond. High levels of market transparency mean price manipulation is not possible.

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Solid ECN Products

A professional method to secure assets reasonably is diversified trading. Trading on limited numbers of instruments was never suggested by the market leaders and hedge funders. They always spread their investments among commodities, indices, and or currencies. Diversity is one of the many keys to having success in the trading world.

At Solid ECN, clients have access to trade the world with high leverage whilst the spread is tightened at its minimum. You can create your dealing basket to enjoy the product diversity with Solid ECN. We strive to offer our customers the most popular and trending products, and we made a live and long list of trading instruments.

As of writing the list contains 250 products including:

> Forex (Major | Crosses | Minor)
> Precious Metals (Gold | Silver | Palladium | Platinum)
> Energy (Brent | WTI)
> Indices (spot)
> Nasdaq
> Cryptocurrencies (Cardano | Algorand | BNB | Dogecoin | Ripple and more …)

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BTCUSD - drop in investment activity in the pre-New Year period

As most experts expected, the traditional pre-Christmas rally of the token did not happen, and investors reduced their activity amid the consequences of the bankruptcy of the FTX cryptocurrency exchange and negative signals from the American regulator, which will continue tightening monetary policy next year. The period of low holiday volatility is likely to continue soon.

Experts are trying to guess what awaits the first cryptocurrency and the market as a whole next year, and opinions on this matter differ: optimists believe that prices have already hit bottom and will soon begin to grow, while pessimists believe that quotes will linger at the current levels or may resume the decline. For example, analysts at JPMorgan Chase & Co. note that the bankruptcy of FTX made cryptocurrencies unattractive for a long time for most institutional investors. Also, the current market situation will push global regulators to introduce strict restrictive rules against the digital industry. The largest cryptocurrency platform Binance is under serious pressure from the authorities in the United States, where its activities are being investigated, and in other countries. For example, the exchange's management is accused of illegal advertising in France. Likely, next year the pressure on sector participants will only increase, contributing to the weakening of the leading tokens. The most pessimistic experts expect the market recovery to begin by 2024, after the next BTC halving.

https://i.ibb.co/hc0XzYk/btc.png

The trading instrument is around 16800, where it will remain soon due to the festive mood in the market. If the middle line of Bollinger bands is broken up around 17100, the growth will be able to resume to 17830 (Fibonacci correction 23.6%) and 18750.00 (Murrey level [7/8]). The key "bearish" level is 16250 (Murrey level [5/8], the lower line of Bollinger bands), a breakdown of which will give the prospect of further decline to 15700 (the area of November lows) and 15000 (Murrey level [4/8]).

Technical indicators do not give a single signal: Bollinger bands and Stochastic are horizontal, the MACD histogram is near the zero zone, and its volumes are insignificant.

Resistance levels: 17100, 17830, 18750 | Support levels: 16250, 15700, 15000

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EURUSD keeps its positive stability

The EURUSD pair fluctuates within sideways trades since yesterday, keeping its stability above 1.0580 level, to keep the bullish trend scenario valid for the upcoming period, supported by stochastic move at the oversold areas, waiting to visit 1.0745 as a main target.

https://i.ibb.co/dP6nt68/eurusd.png

We remind you that breaking 1.0580 will press on the price to test the most important support at 1.0515 before any new positive attempt. The expected trading range for today is between 1.0560 support and 1.0710 resistance.

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Solid ECN Affiliate Program

Become part of the Solid ECN Affiliate Program and be a member of one of the most profitable affiliate programs globally. Start earning a tangible income from your existing traffic. With an affiliate program that grants the highest conversion rates, an extensive generous payment plan with the highest commission percentage available, Solid ECN is your safe trustworthy companion.

At Solid ECN we enable our affiliates by offering technology, support, and tailored tools (including banners and widgets) to have a world-class, hassle-free experience!

> High-end Commissions
> True ECN/STP Execution
> Competitive Commission Model
> Global Payment Methods
> Fast & on-time Payments
> Marketing Materials & Generous Promotions
> 24/7 Client Support
> Daily Tracking and Reporting

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Solid ECN - No Deposit Fee Promotion

The commission our customers pay for adding funds to their trading accounts via any payment options is zero at Solid ECN.

When a transaction is made to a trading account, a part of the transferred amount is deducted by the payment processor as commission. Solid ECN covers transaction fees, and we named it the Solid-Cover! All clients of Solid ECN receive the actual deposit with no deduction instantly to their trading account.

> Instant Deposit: Deposit to your trading account to catch the market opportunities instantly
> No Fees: No fee applies on any transaction of yours
> Receive Full Amount: Receive the actual deposit with no deduction instantly to your trading account.

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Indices Trim Gains in the Early Afternoon

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European stock market indices and US index futures erased part of today's gains over the past hour. Earlier, gains were reasoned with lower than expected CPI readings for December from German states but it was driven mostly by one-off factors related to gas payments. Reading for the whole Germany will be released at 1:00 pm GMT today and, given surprises in state readings, may show a downside surprise. Such an outcome could be positive for indices as it would give ECB more room to be flexible when it comes to policy tightening. On the other hand, it should be noted that state reading have not shown a similar deceleration in core inflation as it either ticked slightly lower or stayed unchanged.

US30 dropped around 0.6% from a daily higher but still continues to trade 0.4% higher on the day. A potential trend line, marked with recent local lows, is being tested right now.

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DE30 continues to trade around 1% higher but trades 0.8% off daily high. DE30 trades slightly above a key support zone in the 14,200 pts area. Apart from lower headline inflation figures from Germany, indices in Europe are also supported by steep drop in gas price which now trade near €75/MWh. On the other hand, should core German inflation surprise to the upside, indices may start to struggle.

218 (edited by SolidECN 2023-01-05 10:21:55)

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Solid ECN - Account Types

Solid ECN gives multiple account types on the MetaTrader 5 trading platform to help individuals and corporate customers to exchange Forex and Derivatives online.

All Retail, associates, and White-Label clients have the possibility to access various spreads and liquidity via state-of-the-art automatic trading platforms. Solid ECN grants an exceptional type of account options that clients can choose to experience a tailored trading experience that perfectly fills their needs. United with excellent trading conditions and lightning-fast execution, Solid ECN provides all the tools and aids required for clients of any level to accomplish their trading goals.

Whether you’re a casual trader or experienced investor, Solid ECN offers an extensive range of account options. Through our true ECN accounts, we’re able to deliver spreads from 0 pips and millisecond execution against best bid / ask prices—all with world-class customer service.

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219 (edited by SolidECN 2023-01-06 10:10:07)

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Solid ECN - Negative Balance Protection

Volatility often occurs in the market. Solid ECN has always been committed to the highest standards.

With the Solid-Shied feature, the traders don’t have to worry about having a negative balance with Solid ECN. This means that even under highly volatile situations when margin calls and stop-outs do not function accurately, no client with Solid ECN is responsible for paying back a negative balance.

Solid-Shield automatically adjusts the balance to zero in case it becomes negative after a stop-out. The process of reset is automatic.

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Solid-ECN Account

Solid ECN is a non-dealing desk broker, meaning that we do not carry on order flow to market makers. Rather, we match participants in a trade electronically and pass the orders to liquidity providers. As a true ECN broker, we facilitate trades for engaged investors across the ECN.

The technology behind Solid ECN provides for quicker executions and tighter spreads with higher leverage and greater transparency.

We try to take the required steps to assure your funds are safe, along with the immense level of protection over them. That is why all our traders' funds are independently managed from our own and held in segregated accounts in Tier 1 international banks.

Execution speed - Approach to liquid markets guaranteeing direct market access and agile fills.
Transparency - No price manipulation, no stop hunting, no decrease in leverage, and no hidden commission.
Trading hours - Trade Forex, and commodities 24/5, and Cryptocurrencies 24/7 from the MetaTrader 5 platform.
Leverage - Unlimited profit upon you with a wide selection of leverage from 1:1 to 1:1000 to trade CFDs. Manage the risks as you go.
Scalping - Fast order executions and small spreads allow Solid ECN to become a safe house for high-volume scalping strategies.
Hedge - Beat the inflation or reduce your losses with opening one or more trades that offset an existing position.

Solid ECN brings vital advantages for forex traders in the US, EU, and beyond. High levels of market transparency mean price manipulation is not feasible.

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Solid ECN - %15 Deposit Bonus

One of the essentials in trading forex and other leveraged products is having more margin. It is a common and rookie mistake to trade in a high volatility market such as cryptocurrencies with a low balance.

Solid ECN has a backup plan for its customers. We boost deposits by %15 and it is up to $500 per account. All profits are free for withdrawal. Where most companies remove the bonuses on stop-out and margin calls, the given credit at Solid ECN is %100 tradeable, and it can be lost.

Solid ECN buys itself %15 more risks to make sure the clients are trading with more confidence. Try us today, and let us know about your trading experiences with us.

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Solid-Micro Account

The main unique feature of Solid-Micro accounts is that the minimum trading volume starts from 0.001, while the trading conditions are similar to those for standard accounts. As a result, these account types suit both beginners and professionals, because they may help them test new trading strategies or Expert Advisors in market conditions without any significant financial investments.

> Minimum Deposit $5
> Minimum lot 0.001 lots (100 units)
> Leverage 1:1000

Feel free to open an account and start trading Forex with as low as $5!

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EURUSD Holds above 1.08 After ZEW Beat

EURUSD climbed above the 1.08 mark last week, reaching the highest level since late-April 2022. However, the pair began to struggle after US CPI data release for December (Thursday, January 12) and has erased part of the previous gains. EURUSD continued to move lower in the following days and threatened to break back below the 1.08 mark. However, German ZEW data for January came to the rescue. ZEW expectations subindex leap from -23.3 to 16.9 (exp. -15.0). This was the fourth month of increases in a row and the expectations subindex is now sitting at the highest level since February 2022 (launch of Russian invasion of Ukraine). Situation looks less rosy when it comes to the Current Situation sub index as it has moved from -61.4 to -58.6 (exp. -57.0).

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Solid beat in German ZEW expectations data helps EURUSD avoid a drop back below 1.08 mark.

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Chart of the Day - GBPJPY

The Japanese yen is in the center of attention today, following the Bank of Japan monetary policy. The Bank of Japan decided not to make a move today - interest rates were left unchanged and the tolerance band around target 10-year yield was left unchanged as well. This was seen as disappointment. The Bank of Japan has to intervene almost on a daily basis to bring 10-year yields down from the upper limit of the tolerance band so investors hoped that another widening of the band could be on the cards today. No such decision was made and JPY took a beating as a result. BoJ Governor Kuroda said during a post-meeting press conference that he does not believe the tolerance band needs to be widened further. Nevertheless, the term of Governor Kuroda ends in April this year and his successor may have different beliefs when it comes to markets and rates.

However, it should be noted that the Bank of Japan did make some changes today. BoJ announced that it is amending rules for funds-supply market operations. New rules allow the Bank of Japan to make loans against collateral to financial institutions on both - fixed and variable - rates. Earlier, loans with maturity of up to 10-years were only offered at fixed-rate. The move is aimed at making funds-supply market operations a viable tool for preventing excessive increases in the long-term rates.

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As no changed to the rates or tolerance band was made and Bank of Japan pledge to continue with large scale bond purchases to keep yields in check, one should not be surprised that Japanese yen took a hit today. JPY was trading as much as 2.5% lower against US dollar at one point, and over 2% lower against almost all other majors. However, big part of the move has been erased already.

Taking a look at GBPJPY chart at D1 interval, we can see that the move on the pair today was massive. Pair traded 2.5% higher at one point and was testing the resistance zone ranging below 162.00 handle, and marked with previous price reactions. Nevertheless, as we have said earlier - a big part of the move was already released and GBPJPY pulled back to the 160.00 swing level.

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Chart of the Day - EURTRY

Norges Bank decided to leave rates unchanged at a meeting today but there is one more rate decision to be announced today. Central Bank of the Republic of Turkey will announce its rate decision at 11:00 am GMT. Market expects no change from CBRT with one-week repo rate staying unchanged at 9:00 am GMT. The Bank said that it has ended the rate cut cycle after a 150 bp rate cut in November and indeed rates stayed unchanged at the December meeting later on. While Turkey is facing massive inflation, there is a view that rates may stay unchanged until mid-2023 when elections in Turkey take place. However, should the Bank make a move at one of the coming meetings, it is more likely to be another cut rather than hike.

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Apart from CBRT rate decisions, traders will also get a chance to take a look at ECB minutes. ECB hiked interest rates by 50 basis points at the latest meeting, slowing the pace of hikes from previous 75 bps. Bank noted that rates will have to rise further significantly and a balance sheet reduction schedule was also announced. While there were some rather dovish comments from ECB members in recent days, minutes may not reflect it as they relate to the December 15, 2022 meeting.

Taking a look at EURTRY chart at the H1 interval, we can see that the pair has bounced off the 200-hour moving average (purple line) and climbed above the 20.28 swing area later on. The nearest resistance zone to watch can be found in the 20.42 area and is marked with recent local highs. Should CBRT surprised with a rather unlikely rate cut, the pair may quickly jump above the aforementioned 20.42 zone and look towards all-time highs from late-2021 in the 20.68 area.

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