News

Technical Analysis – EURGBP narrows inside symmetrical triangle

Posted on October 9, 2020 at 7:28 am GMT

EURGBP turned less volatile within a symmetrical triangle in the four-hour chart, hinting that another breakout may happen soon following Thursday’s failure. The technical indicators are currently painting a neutral picture for the short term as the RSI is testing its 50 neutral mark from the downside, the MACD is attached to its zero line, and the Stochastics seem to be stabilizing. Should the price violate the 0.9100 level and hence exit the triangle on the upside, the bulls may [..]

Technical Analysis – GBPUSD retains bullish bias in very short-term

Posted on October 9, 2020 at 6:47 am GMT

GBPUSD gained some ground above the potential bearish crossover of the 20- and 40-period simple moving averages (SMAs). The momentum indicators are signaling a neutral-to-bearish retracement as the RSI is pointing down in the positive territory, while the MACD is moving horizontally above the zero line. However, in case the price continues to rebound off the 1.2670 support level, it could open the door for the 1.3000-1.3035 resistance area. Above this crucial zone, the bulls could meet resistance at the 1.3170 barrier, taken from the inside swing [..]

Technical Analysis – WTI futures rise above 200-SMA but broader outlook is neutral

Posted on October 8, 2020 at 1:30 pm GMT

WTI crude oil futures continue to rise above the Ichimoku cloud and the 200-period simple moving average (SMA), remaining inside a bullish move over the past five days. According to the RSI, positive momentum could push for further gains in the short-term as the indicator picks up steam above its neutral threshold of 50, while the stochastic oscillator is still gaining ground in the overbought area. In the positive scenario, where the price continues to expand above today’s high, a new top could [..]

Technical Analysis – USDCHF moves horizontally after strong fall around 0.93

Posted on October 8, 2020 at 9:47 am GMT

USDCHF has been moving sideways since the soft rebound off the 0.9132 support level earlier this month but is still unable to recover the losses made at the end of September. In the short-term, the market could shift to the upside if the RSI surpasses the 50 level and the stochastic continues the upside move after it completed a bullish crossover within the %K and %D lines. An extension to the upside and above the 0.9185 resistance and the 40-period [..]

Daily Market Comment – Dollar slides, stocks climb on renewed stimulus hopes

Posted on October 8, 2020 at 8:57 am GMT

Stimulus deal not dead yet but confusion about size and timing keeps risk appetite in check Wall Street closes at one-month high as investors warm up to idea of Biden win Fed minutes lift Treasury yields but dollar sold off on improved sentiment Kiwi stabilizes after plunging on fresh negative rates speculation Markets undeterred by stimulus setback, see a deal in the offing Equities got off to a positive start on Thursday following a strong performance on Wall Street yesterday [..]

Technical Analysis – AUDUSD consolidates, limited between 50- and 100-day SMAs

Posted on October 8, 2020 at 8:10 am GMT

AUDUSD is currently creeping sideways, constricted between the 50- and 100-day simple moving averages (SMAs), after the pullback from the near 25-month peak of 0.7413. The easing negative tones of the Ichimoku lines are aiding the horizontal price action, while the relatively bullish bearing of the 50-and 100-day SMAs defend a neutral-to-bullish structure. Nonetheless, the short-term oscillators reflect mixed signals in directional momentum. The MACD, in the negative region, is strengthening above its red trigger line towards the zero mark, [..]

Technical Analysis – NZDUSD bears remain in favour after double top creation

Posted on October 8, 2020 at 7:33 am GMT

NZDUSD could not sustain strength above 0.6600 as the 20- and 50-day simple moving averages (SMAs) and the blue Kijun-sen line blocked the way towards the 0.6796 peak, with the price registering a lower high in the daily chart instead. Note that the latter is following the creation of a bearish double top pattern. A forceful close below 0.6500 would make the short-term outlook cloudier and the momentum indicators cannot exclude that scenario at the moment. The RSI, although still not far below its [..]

Technical Analysis – EURUSD reverses up; indicators show bullish signal

Posted on October 8, 2020 at 7:18 am GMT

EURUSD has been in a positive tendency in the very short-term, climbing above the 20- and 40-period simple moving averages (SMAs) and the Ichimoku cloud. The momentum indicators are pointing to a neutral to positive bias with the RSI just above 50 and the MACD is trying to complete a bullish crossover with its trigger line in the bullish area. However, the red Tenkan-sen line is heading south, suggesting a downside reversal. Further gains should see the October 6 high [..]

Stimulus deal: Is it dead or is Trump bluffing? – Special Report

Posted on October 7, 2020 at 3:22 pm GMT

The US president threw another monkey wrench into global markets this week, when he halted the negotiations for a new stimulus package until after the election. Stocks fell while the dollar jumped, but the overall market reaction was rather small and soon turned around. This suggests either that investors believe Trump is bluffing, or that this will cost him so much politically that it increases the chances of a ‘Democratic sweep’ and hence of much greater stimulus after the election. [..]

Canada’s jobs report to defy second wave of Covid-19– Forex News Preview

Posted on October 7, 2020 at 2:45 pm GMT

The Canadian dollar is gaining some ground against the US dollar with weak momentum as investors are waiting for the employment report on Friday at 1230 GMT. It’s noteworthy that the currency is moving up despite recording the highest single-day increase in Covid-19 cases since the pandemic began, on Monday. Stronger figures in employment may provide some relief to the domestic currency, helping it surpass the two-week high. A reduction in unemployment is expected In the previous release, the unemployment rate in Canada decreased to 10.2% in August from 10.9% [..]

Legal disclaimer: The material does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instruments. XM accepts no responsibility for any use that may be made of these comments and for any consequences resulting in it. No representation or warranty is given as to the accuracy or completeness of this information. Consequently, any person acting on it does so entirely at their own risk. The research and analysis does not involve any specific investment objectives, financial situation and needs of any specific person who may receive it.

It has not been prepared in accordance with legal requirements designed to promote the independence of research, and as such it is considered to be marketing communication. Although we are not specifically constrained from dealing ahead of the publication of our research, we do not seek to take advantage of it before we provide it to our clients. We aim to establish, maintain and operate effective organisational and administrative arrangements with a view to taking all reasonable steps to prevent conflicts of interest from constituting or giving rise to a material risk of damage to the interests of our clients. We operate a policy of independence, which requires our employees to act in our clients’ best interests and to disregard any conflicts of interest in providing our services.

CFDs are leveraged products. CFD trading may not be suitable for everyone and can result in losing all of your invested capital, so please make sure that you fully understand the risks involved.