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Daily Market Comment – White House sends markets spinning, European PMIs bolster euro

Posted on June 23, 2020 at 10:30 am GMT

Conflicting statements from White House on China send currencies and stocks for a wild ride But markets back to square one as dust settles, still in a good mood overall Nasdaq closes at new record as US virus cases ease back down European PMIs show France back in expansion, boost euro Navarro channels his inner China hawk, then walks it back Global markets went for a wild ride overnight, after White House trade advisor Peter Navarro – probably the administration’s [..]

Technical Analysis – WTI futures advance to 15-week high as bulls are back in play

Posted on June 23, 2020 at 9:34 am GMT

WTI crude oil futures came close to breaking the 15-week high of 41.21 and the upper Bollinger band in the 4-hour chart. According to the RSI, the market could maintain positive momentum as the indicator is positively sloped above its neutral threshold of 50, though the MACD oscillator is still continuing with somewhat weak momentum above the zero lines. On the upside, the price could attempt to overcome the 41.21 high and retest the 43.60 resistance, which if successfully broken the door could open for the 200-simple [..]

Technical Analysis – EURJPY’s ascent salvaged by bounce on 200-day SMA

Posted on June 23, 2020 at 8:45 am GMT

EURJPY is currently tackling the mid-Bollinger band at 120.90 after a rebound off the 200-day simple moving average (SMA). The deep retracement from the 13-month peak of 124.42 reached the 200-day SMA at the 119.43 level, which happens to be the 50.0% Fibonacci retracement of the up leg from 114.42 to 124.42. Looking at the short-term oscillators, they appear to back an improving picture in the near-term. The MACD, in the positive region, has flattened below its red signal line, [..]

Technical Analysis – GBPUSD develops in ascending channel in short term

Posted on June 23, 2020 at 7:42 am GMT

GBPUSD has been developing within an ascending channel over the last three months, hovering around the moving averages in the daily timeframe. The price started an upward move following the rebound on the 35-year low of 1.1409, remaining above the Ichimoku cloud, while the RSI is moving sideways near the 50 area. However, the MACD oscillator is heading south below its trigger line, confirming the recent downside movement. Should the market extend losses below the 50.0% Fibonacci retracement level of [..]

RBNZ meeting: Talking down the kiwi? – Forex News Preview

Posted on June 22, 2020 at 3:20 pm GMT

The Reserve Bank of New Zealand will wrap up its policy meeting at 02:00 GMT Wednesday, and while no action is expected, the choice of language could be crucial. Recent developments in New Zealand have been encouraging, which alongside stronger risk appetite globally, have catapulted the kiwi much higher. So high in fact, that the RBNZ may be feeling a bit uncomfortable with its current levels. Will policymakers ‘talk down’ the currency? Virus free, ahead of schedule New Zealand is [..]

UK PMIs to recover further as economy reopens, but Brexit fears rattle pound – Forex News Preview

Posted on June 22, 2020 at 3:15 pm GMT

Preliminary PMI numbers for June will be watched out of the United Kingdom on Tuesday at 08:30 GMT. As the UK economy slowly emerges from the virus shutdown, the PMI gauges are anticipated to reflect the reopening of some businesses. But as Prime Minister Boris Johnson prepares to announce the latest phase of the lockdown easing, there are other things troubling the pound. A worsening stand-off between British and EU negotiators in the Brexit talks has derailed cable’s rebound, even [..]

Technical Analysis – GER 30 index’s retracement forced sideways; positive picture under strain

Posted on June 22, 2020 at 2:44 pm GMT

Germany 30 Index’s (Cash) bounce on the 11,588 level, that being the 61.8% Fibonacci retracement of the down leg from 13,826.27 to 7,961, appears to have hit a ceiling at the 76.4% Fibo of 12,444. The current sideways move is further backed by the recent bearish overlap of the improving 100-period SMA by the falling 50-period one, around 12,258. Additionally, momentum indicators are highlighting the paused demeanour in the price as the MACD and the RSI remain stuck around their [..]

Technical Analysis – US 500 index holds marginally below 100-SMA; bullish in long term

Posted on June 22, 2020 at 1:08 pm GMT

The US 500 cash index found strong resistance around the 100-period simple moving average (SMA) over the last session, sending the indicators lower as well. The MACD is heading south below zero and its trigger line, while the RSI is pointing down below the neutral level of 50. Also, the red Tenkan-sen line declined beneath the blue Kijun-sen line suggesting more losses in the 4-hour chart. Should prices head lower, immediate support could come from the 38.2% Fibonacci retracement level of the upward [..]

Technical Analysis – AUDUSD’s bigger positive bias struggles, as current neutral phase extends

Posted on June 22, 2020 at 12:47 pm GMT

AUDUSD in the near-term is looking mostly directionless as it drifts sideways restricted by the Ichimoku cloud. While the 100- and 200-period simple moving averages (SMAs) back the bigger positive picture, the downward sloping 50-period SMA – which is about to complete a bearish crossover of the 100-period one – promotes upcoming losses. Furthermore, conflicting signals in directional momentum can be observed by glancing at the short-term oscillators. The MACD, in the negative region, is improving above its red trigger [..]

Daily Market Comment – Investors grapple with the virus blues

Posted on June 22, 2020 at 10:50 am GMT

Markets struggle for direction as second wave worries intensify WHO reports record increase in global cases, Apple re-closes some US stores Gold spikes higher but FX and stocks still not overly concerned Looking ahead, the battle between stimulus-fueled optimism vs second wave concerns will drive sentiment Emotional rollercoaster continues With the correlation between FX and stock markets going through the roof in recent months as the dollar reclaimed its safe-haven throne, risk sentiment has become the dominant force in the [..]

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