EURUSD

‘King dollar’ falls from grace, growth concerns to blame? – Special Report

Posted on July 30, 2020 at 11:34 am GMT

The world’s reserve currency took a beating lately, as the resurgence of infections in the US painted a darker outlook for the nation’s economic recovery and sparked expectations for more action by the Fed. But FX is a two-way game, and the dollar’s downfall wouldn’t have been so sharp without better news out of Europe bolstering the euro. Is this just the beginning of a larger rally in euro/dollar that is predicated on Europe outperforming the US? It seems so, [..]

Technical Analysis – EURUSD revisits 20-SMA after meeting 2-year top

Posted on July 30, 2020 at 10:04 am GMT

EURUSD is testing the 20-period simple moving average (SMA) on the downside in the 4-hour chart following the bounce off the more than a two-year high of 1.1805. Immediate support is likely to come from the 1.1695 barrier, which overlaps with the flat blue Kijun-sen line, as the technical indicators are endorsing a negative mode. Below that, the 40-period SMA at 1.1660 and the 1.1625 support could be in the spotlight. The MACD is weakening beneath its trigger line in the positive territory, and the stochastic is moving sharply lower, approaching the 20 level after the reversal [..]

Daily Market Comment – Fed soothes stimulus anxiety; dollar pares losses

Posted on July 30, 2020 at 8:53 am GMT

Fed tight lipped on new forward guidance but reaffirms pledge on easy policy Stocks buoyed but cautious ahead of tech earnings, US GDP and jobs data Dollar falls on Powell remarks, then bounces back; gold slips Fed maintains course, ups pressure on Congress The Federal Reserve left monetary policy unchanged on Wednesday but warned of a “slowing in the pace of the recovery”. Having already implemented a full range of tools in its fight against the coronavirus, the Fed’s decision [..]

Euro to shrug off grim GDP data as outlook brightens on recovery plan – Forex News Preview

Posted on July 29, 2020 at 10:55 am GMT

GDP data out of the Eurozone on Thursday and Friday are expected to show the continent is facing its worst economic crisis since the second world war. Yet, the euro is looking the most bullish against the US dollar in a very long time. A strong stimulus response, combined with relative success in bringing the COVID-19 outbreak under control, has raised confidence in Europe’s ability to not only fight the crisis but to come out of it stronger. Hence, worse-than-expected [..]

Daily Market Comment – Tough stimulus talks weigh on markets; dovish Fed might help

Posted on July 29, 2020 at 8:32 am GMT

Dollar finds support from stalled stimulus talks amid splits in Congress Stocks struggle on poor earnings, stimulus delay; gold pauses rally Fed might bring some cheer if it reinforces dovish message Fiscal cliff worries mount as talks drag on Fears that the United States could be headed for a fiscal cliff undermined investor sentiment on Wednesday as Congress was no closer to reaching a deal on a new virus relief bill. An agreement before the month-end deadline is looking increasingly [..]

Daily Market Comment – Dollar selloff eases; gold pulls back after setting fresh record

Posted on July 28, 2020 at 8:52 am GMT

Dollar crawls higher as Republicans finally unveil new stimulus proposal Gold touches $1,980/oz before pulling back, eyes dovish Fed Wall Street turns positive ahead of key earnings, likes weaker dollar Dollar attempts to end losing streak There was some respite for the US dollar on Tuesday as the heavy selling that has sunk the currency to more than two-year lows eased a little. The dollar index fell for the seventh straight session on Monday as signs of a faltering recovery [..]

Fed meeting: A more cautious message – Forex News Preview

Posted on July 27, 2020 at 11:56 am GMT

The Federal Reserve will wrap up its latest meeting at 18:00 GMT Wednesday. No change in policy is expected, so the focus will be on Chairman Powell’s press conference at 18:30 GMT. With signs that the US recovery has flattened lately, Powell could adopt a more cautious tone, opening the door for more action in September. If so, that might be enough to accelerate the dollar’s freefall, though Thursday’s GDP numbers could provide some support. Under pressure The US [..]

Daily Market Comment – Gold reaches for the sky, euro soars too as dollar sags

Posted on July 27, 2020 at 8:51 am GMT

Uncertainty about US outlook pushes dollar to 22-month low, lifting gold and euro Precious metal hits all-time high as Sino-US tensions boost haven demand Stocks steadier after selloff; earnings and FOMC meeting in focus US virus cases could be slowing but dollar still rattled The US dollar plumbed fresh lows on Monday, slumping to the lowest in nearly two years against a basket of currencies, as investors shunned the world’s number one reserve currency in favour of the traditional safety [..]

Week Ahead – Fed meets as virus storm worsens; US and Eurozone set for historic GDP collapse

Posted on July 24, 2020 at 12:26 pm GMT

As US politicians squabble over the next fiscal stimulus bill and the country’s virus death toll ticks up again, markets may lean on the Federal Reserve next week for a quick fix. The Federal Open Market Committee (FOMC) meeting will undoubtedly be the most eagerly awaited event of the week. But second quarter GDP prints out of the United States and the euro area will not be far behind as the full extent of the economic shock from COVID-19 is [..]

Daily Market Comment – Concerns the US recovery is stalling ripple through markets

Posted on July 24, 2020 at 8:47 am GMT

Investors push the ‘risk off’ button amid faltering US recovery and monopoly probes into big tech Stocks pull back alongside commodity currencies, yen and gold climb But dollar can’t catch a break – strong euro and Fed expectations in play? Overall, this seems like a correction, not a trend reversal Risk aversion makes a rare comeback Global markets finally took note of the many risks around them on Thursday, amidst clearer signs that the US recovery is stalling, seething US-China [..]

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