Author: admin

Bitcoin got under some selling pressure last week that culminated in a quick selloff on Thursday. The catalyst for the selloff was the spat between Musk and Trump that affected also other risk assets like stocks. The underlying reason was probably the threat of blocking the Trump’s tax bill in some way which would have weighed on growth expectations.

Tensions eventually eased and things got better, although it’s very unlikely to see them get back together. Nevertheless, as tensions eased, bitcoin and stocks started to recoup the losses and experienced a V-shaped recovery. There are mainly three risks for the cryptocurrency ahead: the failure of Trump’s tax bill, renewed trade war after the July’s deadline or increased inflation fears that trigger a hawkish repricing in interest rates expectations.

On the 4 hour chart, we can see the selloff into the 100,723 swing level and then the V-shaped recovery as the dip-buyers piled in and increased the bullish bets as tensions eased. The price is now trading just beneath the key resistance zone around the 106,800 level.

This is where we can expect the sellers to step in with a defined risk above the resistance to position for a drop back into the 100,723 level. The buyers, on the other hand, will look for a break higher to increase the bullish bets into a new all-time high.

This article was written by Giuseppe Dellamotta at www.forexlive.com.

It is reported that the Japanese government is considering to buy back some super-long bonds it issued at low interest rates. And the move here will be one that acts alongside their previous consideration to trim issuance of super-long bonds amid the recent sharp rise in yields.

The MOF is trying to work with the BOJ here with the latter also having to rethink their taper plans for next year at the moment. But all of this will still need help from the government and their fiscal plans in order to bring down Japan’s already massive public debt.

This article was written by Justin Low at www.forexlive.com.

Rare earth elements at the center of the U.S.-China trade fight. They are crucial for electric vehicles and other advanced technology.

Japanese stock are higher to start the week in the aftermath of a strong gain on Wall Street Friday. In addition, Japanese Q1 GDP growth was revised to -0.2% from -0.7% in a decent signal for the economy.

Technically, the 38,500 level has proven to be a tough nut to crack as it’s failed around there the past three times its been there. If it can get above that level, then it can run but I don’t see any incentive to buy it until it does.

This article was written by Adam Button at www.forexlive.com.

I’m not sure how the world will define the ‘creator’ of ChatGPT in time but Ilya Sutskever was the chief scientist at OpenAI when it was created and was behind the deep learning breakthroughs that made GPT possible.

He is also one of the most-credible voices around where it’s headed and profoundly concerned about its effects, as shown by his attempts to push out Sam Altman.

He’s now working on a safe-AGI product, largely in secret though he’s raised $1 billion to do it.

“Slowly but surely—or maybe not so slowly—AI will keep getting better. And the day will come when AI will do all of the things that we can do—not just some of them, but all of them,” he said Friday getting an honorary degree from the University of Toronto.

He said the challenge with AI is ‘really unprecedented and really extreme’.

The challenge that AI poses, in some sense, is the greatest challenge of humanity ever. And overcoming it will also bring the greatest reward. And in some sense, whether you like it or not, your life is going to be affected by AI to a great extent. And so, looking at it, paying attention, and then generating the energy to solve the problems that will come up—that’s going to be the main thing.

I would also say this is good advice for life, as well as for trading:

A useful state of mind… is to accept reality as it is, try not to regret the past, and try to improve the situation. Whenever I do this myself, everything works out so much better. But it’s hard—it’s a constant struggle with one’s emotion.

All these comments are a reminder that in the big picture the trade war, the Presidency, the turmoil in the world… it’s all just noise and that AI will be the technology that defines the rest of our lives and the economy forever.

The full speech is here:

This article was written by Adam Button at www.forexlive.com.

• Prior was -0.1%
• PPI -3.3% vs -3.2% exp
• CPI -0.2% m/m vs -0.2% exp

This is too much deflation and it’s been going on for too long.

This article was written by Adam Button at www.forexlive.com.

The GBP/JPY pair retraces to near 195.65 during European trading hours on Monday from the intraday high of 196.00. The pair faces slight selling pressure as the Japanese Yen (JPY) gains after the revised Q1 Gross Domestic Product (GDP) data showed that the economy remained flat.