Another month is over and we invite you to take a look at the events that took place in March. Learn about the economic factors and check the financial market technical analysis to decide on your further steps.
Nike has seen many issues over the past several months, from store closure in Europe to shipment delays in North America. Despite that, Nike’s online sales have continued to rise, resulting in higher third-quarter profits, which the company reported in March, even though the sales growth was hurt.
Following the report, Nike shares dropped around 10%, however as Nike’s e-commerce business is still on track and the company continues to invest in digital in order to reach younger customers online.
From a technical standpoint, Nike Inc. might be on a way to recover from the losses, with both RSI and EMA indicating a bullish reversal. However, further issues with shipments could cause Nike a further rollback.
Since the beginning of March, McDonald’s is in a state of a strong uptrend, gaining 10% in the past month and currently trading at $228. The world’s most famous fast food chain is working on introducing new positions in its menu and continues to hold its high position on the food market.
Technical indicators indicate a strong “Buy” signal, however, some investors and market analysts believe the stock to be “slightly overvalued” which could potentially lead it to a temporary downturn.
Overall positive news around Pfizer stimulated the stock’s value, which is currently at $36. During March, Pfizer had reported the beginning of testing and successful results in the Covid vaccine use in 12-15-year-olds, which resulted in a bullish sentiment among traders.
Pfizer is currently negotiating with Israel regarding an additional supply of the Covid-19 vaccines. The uncertainty around the matter is reflected in the sideways trend of the asset, though RSI is showing that the asset has reached the overbought zone and might be heading for a reversal.
While February ended with a rollback to $43,000, in March bitcoin was able to reach a new all-time high at $61,800 and currently it is fluctuating around $57,385, seemingly preparing for the next jump. Currently bitcoin has many circumstances going for it, which could possibly push it higher. The attention from Elon Musk, who stated that it is now possible to purchase a Tesla car with bitcoin, the news that Goldman Sachs, an American multinational investment bank, is preparing to start offering Bitcoin and other digital assets to its clients all indicate that bitcoin might make its way into our daily life quicker than anyone anticipated.
Technical analysis shows uncertainty: with RSI moving at the level of 50 and the price chart in a sideways movement, not quite crossing the EMA 14 just yet. It is not clear whether bitcoin will take another leap and reach new heights or if it might dip into another pullback.
Strong results in the U.S economy could influence the Forex market, particularly currency pairs with the US dollar. March was the month with the highest amount of created jobs in the last half a year, with more and more people getting vaccinated and the economy on the road to recovery from the pandemic. Last Friday, with the initial forecast of 647,000 jobs, Nonfarm payroll came out with an unexpected 916,000, the biggest number since August so far.
In our previous material about Forex, we have described several popular trading approaches that could be implemented by traders, depending on their preferences.
Which instruments did you pick for the upcoming month? Let us know your thoughts in the comments below.
*Past performance is not an indicator of future performance.TRADE NOW
NOTE: This article is not an investment advice. Any references to historical price movements or levels is informational and based on external analysis and we do not warranty that any such movements or levels are likely to reoccur in the future.
In accordance with European Securities and Markets Authority’s (ESMA) requirements, binary and digital options trading is only available to clients categorized as professional clients.
GENERAL RISK WARNING
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage.
76% of retail investor accounts lose money when trading CFDs with this provider.
You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.