EURUSD

European PMIs: More good news for the euro? – Forex News Preview

Posted on July 23, 2020 at 12:23 pm GMT

With the EU recovery fund deal now in the rear-view mirror, euro traders will turn their sights to the Eurozone’s preliminary PMIs for July, due at 08:00 GMT Friday. Forecasts point to an uptick in all indices, reflecting the smooth re-opening process in Europe. If so, this would be another piece of good news for the high-flying euro, whose rally may still have room to run, especially if the Fed hurts the dollar next week. Europe vs America? It’s [..]

Daily Market Comment – Euro takes no prisoners, dollar falls apart

Posted on July 23, 2020 at 9:03 am GMT

Dollar slide accelerates despite escalating US-China tussle, euro takes flight Markets generally in a cheerful mood, helped by signs Congress is moving closer to a compromise Gold trades like a rocket amid tanking dollar, geopolitical unrest, and stimulus hopes Euro unchained The currency market continues to be dominated by the resurgent euro, which has been liberated from its fiscal shackles after EU leaders took a step closer towards risk sharing this week. Since FX is a zero-sum game in the [..]

Technical Analysis – EURUSD advances to almost 2-year peak near 1.1600

Posted on July 23, 2020 at 7:15 am GMT

EURUSD extended its bullish rally towards a fresh almost two-year high around the 1.1600 psychological mark on Wednesday before it lost some gains. From the technical viewpoint, the MACD oscillator is losing some momentum, but is still standing above its trigger line and well above its zero line in the short-term timeframe. The stochastic oscillator despite the drop from the overbought zone – which indicates downside retracement – is now creating a bullish crossover with its trigger and zero lines, [..]

Daily Market Comment – Soaring euro eyes EU fiscal boost; stocks mixed

Posted on July 22, 2020 at 12:22 pm GMT

Euro scales 4-month peak as EU leaders close in on virus rescue deal More restrictions as virus cases continue to surge globally Stocks get off to a mixed start as earnings season set to heat up Hopes rise for EU fiscal stimulus; euro flies No deal yet but the euro is soaring on positive signs that European Union leaders are close to reaching a compromise on how to allocate a €750 billion recovery fund to assist virus-stricken member states. In [..]

Daily Market Comment – Euro flatlines but stocks lifted by vaccine and stimulus progress

Posted on July 22, 2020 at 12:20 pm GMT

EU strikes compromise deal on a virus recovery fund but euro pares gains Positive vaccine headlines drive Nasdaq to record close as key earnings loom Win-win situation for gold as it climbs to 9-year highs Focus turns to talks on US fiscal package and Brexit; dollar sags but pound upbeat Europe gets its fiscal bazooka; euro pauses for breath European Union leaders ended a marathon summit on Tuesday with a classic fudge as a compromise deal that significantly waters down [..]

EU recovery fund done; what’s next for euro rally? – Forex News Preview

Posted on July 22, 2020 at 12:18 pm GMT

EUR/USD is poised to re-activate the bullish cycle that was interrupted by Covid-19 in early March after the EU recovery fund finally took shape. Fundamentally and technically, the pair has several reasons to hope for better days, but the euro may need to win the data competition against the dollar during the summer break in order to reach fresh highs. Recovery fund deal accomplished It was an intense four-day summit in Brussels as EU leaders struggled to agree on a recovery fund that [..]

Daily Market Comment – US dollar clubbed as euro cruises higher, gold glitters

Posted on July 22, 2020 at 12:17 pm GMT

Euro ascends after landmark EU deal, mostly to the detriment of the dollar Sinking dollar lifts all other boats – pound, commodity currencies, gold But some discouraging signals from the US Senate upset stocks Euro takes to the skies Global markets remained in a risk-on mood after the marathon-like negotiations between EU leaders finally bore fruit yesterday, resulting in a deal that will see substantial sums being funneled into the economies most devastated by the crisis. Even though the deal [..]

Technical Analysis – EURUSD hovers near 4-month highs as EU summit extends

Posted on July 20, 2020 at 5:57 am GMT

EURUSD continued to trade near four-month highs as EU leaders extended their recovery fund talks for another day on Monday. Previously, the pair shot northwards after breaking a bullish flag pattern on the upside, signaling the continuation of the positive trend. But resistance around 1.1450 is currently looking like a hurdle. Technically, there is some room for improvement as the upward-sloping RSI and the fast-Stochastics have yet to confirm an overbought market. The MACD is also providing encouraging signals as the indicator keeps positive momentum above [..]

Week Ahead – Vaccine enthusiasm vs faltering recovery

Posted on July 17, 2020 at 11:30 am GMT

It’s a quiet week as far as scheduled events go, with the main highlight being the EU summit about the recovery fund, which exposes the euro to weekend risk. What will truly drive markets though, is the ongoing clash between hopes for a virus vaccine and worries that the economic recovery is ‘levelling off’. It’s a close call, but the market’s inability to really push higher even after promising vaccine news, combined with the Fed’s balance sheet shrinking, are ominous [..]

Market Comment – Fears grow about virus surge but stimulus hopes put a lid on risk-off

Posted on July 17, 2020 at 8:41 am GMT

US daily virus tally tops 77,000; escalation in Australia and Japan also worries investors Stocks tread water but stimulus and vaccine hopes keep bull market alive Euro on the backfoot ahead of EU stimulus decision No letup in new virus cases yet A continued surge in the number of new coronavirus cases being reported in hotspots around the world has taken the steam out of the risk rally this week, with not even robust data out of China and the [..]

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