- As widely expected, the SEC yesterday authorized the sale of retail Bitcoin ETFs by several investment houses. Retail investors should be able to buy and sell these ETFs starting later today. In a typical case of “buy the rumour, sell the fact”, Bitcoin failed to break to a new long-term high following the news, remaining within a bullish consolidation technically. The new ETFs will be very interesting to retail trend traders and momentum investors.
- The past day has seen continuing advances by most stock markets, notably the NASDAQ 100 Index, followed during the Asian session by the Japanese Nikkei 225 Index which again reached its highest price in 34 years for the second consecutive day. This may be a key sign of a resumption of the dominant long-term trend, which is bullish on many stock markets, especially in the USA.
- The release of key US Inflation data later today could be a catalyst for a strong movement in stock markets if the data surprises. Markets are expecting annualized US inflation to make a tiny upwards tick, from 3.1% to 3.2%. If lower than expected, it will likely boost US stock markets; if higher, it will probably boost the US Dollar.
- In the Forex market, the New Zealand Dollar has been the strongest major currency since the Tokyo open today. The Swiss Franc has been the weakest. There remains a valid long-term bullish trend in the EUR/USD currency pair. The US Dollar is slightly lower over the past day, but it is basically consolidating ahead of the US inflation release, as is typical.
Forex Today: US SEC Approves Bitcoin ETFs
By Adam Lemon
Adam Lemon began his role at DailyForex in 2013 when he was brought in as an in-house Chief Analyst. Adam trades Forex, stocks and other instruments in his own account. Adam believes that it is very possible for retail traders/investors to secure a positive return over time provided they limit their risks, follow trends, and persevere through short-term losing streaks – provided only reputable brokerages are used. He has previously worked within financial markets over a 12-year period, including 6 years with Merrill Lynch.
Several investment houses have received approval from US regulators to open Bitcoin ETFs to retail investors, with trading expected to begin to open later today.