EURUSD

Technical Analysis – EURUSD capped by 20-day SMA; lacks clear direction in medium term

Posted on June 22, 2020 at 7:31 am GMT

EURUSD has been in a declining move over the last two weeks after the pullback off the 1.1420 resistance level. Currently, the pair is lacking direction in the medium-term, however, the 40-day simple moving average (SMA) posted a bullish cross with the 200-day SMA. The RSI is marginally sloping up near the neutral threshold of 50, while the MACD is still losing ground below its trigger line. The price is capped by the 20-day SMA and looks ready to find [..]

Week Ahead – Juiced up markets wrestle with the virus blues

Posted on June 19, 2020 at 12:55 pm GMT

Markets will remain tuned to virus news in the coming week, as the battle between stimulus-fueled optimism and second wave fears rages on. The US virus count might be what tips the scales, not just for stocks but for currencies also, as risk appetite has become the dominant force in the FX arena now that the dollar is acting like a haven. Elsewhere, the RBNZ is unlikely to do or say much, while PMIs from around the globe will tell [..]

After EU stimulus delay, euro sets sights on flash PMIs as rally falters – Forex News Preview

Posted on June 19, 2020 at 12:43 pm GMT

Eurozone PMIs bounced back strongly in May, fuelling hopes of economic recovery in the world’s largest trading block. But with EU solidarity once again being tested as leaders are split on a virus rescue plan, all eyes will be on the preliminary PMI indicators for June due on Tuesday (08:00 GMT) for signs that the recovery remains on track. The data could set the euro’s next direction as the currency consolidates after coming close to fully retracing its March fall. [..]

Daily Market Comment – Stocks drift, dollar holds firm amid growth, second wave worries

Posted on June 19, 2020 at 8:53 am GMT

Markets struggle for direction as persisting second wave fears weigh on sentiment US-China relations back in spotlight as Trump threatens to ‘decouple’ Pound steadier after hawkish surprise from BoE sends currency spinning lower Markets dogged by virus spike, recovery doubts Risk appetite is looking increasingly on borrowed time as stocks turn sideways, having lost momentum after last week’s sell-off. Global shares on Friday could only manage a tepid rebound from yesterday’s dip while gold headed higher amid ongoing worries about [..]

Technical Analysis – EURUSD negative signals increase downside risks

Posted on June 18, 2020 at 1:24 pm GMT

EURUSD has come under intensifying negative stress, which may see selling threats materialize. Even though the price had found a foothold on the 100-period simple moving average (SMA), the lower bound of the Ichimoku cloud at 1.1268 has capped upside moves – the level also being the 23.6% Fibonacci retracement of the up leg from 1.0773 to 1.1421. The convergence in the rising 100-period SMA and the slipping 40-period SMA, plus the stall in the negatively charged Ichimoku lines could [..]

Technical Analysis – EURUSD negative signals increase downside dangers

Posted on June 18, 2020 at 12:46 pm GMT

EURUSD has come under intensifying negative stresses, which may see selling threats materialize. Even though the price had found a foothold on the 100-period simple moving average (SMA), the lower bound of the Ichimoku cloud at 1.1268 has capped upside moves – the level being the 23.6% Fibonacci retracement of the up leg from 1.0773 to 1.1421. The convergence in the rising 100-period SMA and the slipping 50-period SMA, plus the stall in the negatively charged Ichimoku lines could force [..]

Daily Market Comment – Dollar firms, stocks slip as spike in virus cases begins to cause worry

Posted on June 18, 2020 at 8:50 am GMT

Risk appetite wanes as markets start to take second wave fears more seriously Surge in cases in Beijing and US drive up dollar demand, weigh on stocks Pound weaker ahead of BoE decision; aussie and kiwi stumble on poor data Risk rally on pause as second wave threatens recovery A worrying increase in the number of new COVID-19 cases in several locations around the world appears to have put the brakes on the risk rally that just a few days [..]

EU to debate long-term budget: Could euro bulls get the green light? – Forex News Preview

Posted on June 17, 2020 at 3:32 pm GMT

The euro was in the doldrums during the lockdown period until the two largest EU economies came together in support of a new recovery fund which would give out grants, sending the common currency to a three-month high. The amount announced is not significant but perhaps is considered enough to lead to more integration if it is finally approved at the EU virtual summit this Friday which will also discuss the long-term EU budget. Expectations are for the debate to [..]

Daily Market Comment – Risk-on back in play as Fed goes overkill with stimulus

Posted on June 16, 2020 at 8:28 am GMT

Sell-off cut short as markets reminded Fed not done yet with stimulus Possible $1 trillion infrastructure plan by Trump further fuels stocks But will Powell spoil the party again as softer dollar eyes Fed chief’s testimony Pound outperforms after UK and EU agree to intensify Brexit talks Second wave, what second wave? It was a dramatic turnaround for Wall Street on Monday, with all three main indices wiping out earlier sharp losses to close with solid gains, as investors brushed [..]

Powell testimonies and US retail sales to set market tone – Forex News Preview

Posted on June 15, 2020 at 2:20 pm GMT

In America, important events begin early this week. On Tuesday, we get retail sales data for May (12:30 GMT), ahead of Fed Chairman Powell’s semi-annual testimony before the Senate (14:00 GMT). Powell will also appear before the House of Representatives on Wednesday (16:00 GMT) and his Q&A sessions with lawmakers on both occasions could be crucial for the dollar and risk sentiment. In the bigger picture, the main driver for markets will be how quickly US virus cases keep rising. [..]

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