The forecast for the week November 27th through December 1st:
On the previous week Bitcoin renewed historical high again, its capitalization reached 140 billion dollars. Uptrend is developping and in short term we are likely to see Bitcoin rise up to the level of $9000 for two reasons. First of all, there is still high risk asset demand in the world. The cryptocurrency along with stock markets belongs to the risk assets. VIX in North America and Europe is at year's low now, which indicates continuation of bitcoin uptrend. Second of all, the whole world is waiting for the launch of bitcoin futures trading. Chicago stock exchange СМЕ announced that trades may start on the second week of December. For this reason, cryptocurrency trading will be easy, as one futures will include five digital coins. Trading signals: Buy 8380/8000 and take profit 9000.
The key event of the week is OPEC summit, which will be held on November 30th in Vienna. Investors are anticipating extension of production cuts till the end of 2018. All in all, oil producers are ready to sign this agreement. This is a positive signal for the market as reduction of the supply will push the prices to the upside. It's impossible not to mention US dollar dynamics - traders sell dollar, which is also good for oil, as these two instruments have inverse correlation. So, we may see continuation of uptrend in oil market. Trading signals: Buy 63,10/62,15 and take profit 64,53.
Current levels of VTB Bank shares are very attractive for going long. On the previous week the Bank management declared that the bank will exceed plan of net profit this year. According to multiplicator P/BV, bank shares are trading lower than the average in the industry, which shows high potential for growth. Market participants always follow the changes of this multiplicator, as it's the major one for financial organizations. As I mentioned earlier, during this week we are likely to see continuation of the oil uptrend, which will support VTB shares because of the strong correlation between oil and Russian exchange market. Trading signals: Buy 0,0530/0,0525 and take profit 0,0548.