EURUSD

ECB meeting: Sinking the euro won’t be easy – Forex News Preview

Posted on December 9, 2020 at 1:53 pm GMT

The European Central Bank will conclude its meeting at 12:45 GMT Thursday. Markets widely expect an easing package of around €500bn in QE purchases, likely complemented by more ultra-generous loans to banks. Yet, this move has already been telegraphed and priced in, so if policymakers want to sink the supercharged euro, they need to deliver something larger – which may be difficult. In the bigger picture, the euro will be driven mostly by Brexit and the US stimulus game. Houston, [..]

Daily Market Comment – Investors on alert as California shuts down, gold glitters

Posted on December 8, 2020 at 10:28 am GMT

Markets revert to old pandemic playbook amid new US restrictions Nasdaq hits new highs, but other stock indices drop alongside oil Gold stages heroic comeback, bigger picture still encouraging Sterling on the back foot as PM Johnson heads to Brussels Big tech shines as pandemic concerns resurface A sense of caution has crept back into global markets, as investors try to balance the prospect of more government stimulus and central bank liquidity against the grim pandemic reality, with California announcing [..]

Daily Market Comment – Wall Street hits new records as ‘bad news’ is good news

Posted on December 7, 2020 at 10:29 am GMT

Disappointing US jobs report fuels hopes for Congressional stimulus deal Stocks hit new highs, dollar stabilizes, big week ahead for markets Sterling suffers amid reports of insufficient Brexit progress Why has the dollar been ravaged lately? Short answer is inflation Bad news is good news in stimulus game Wall Street sailed to a new record high on Friday despite a disappointing US employment report, as investors bet that the soft numbers would put pressure on politicians in Congress to deliver [..]

Technical Analysis – EURUSD takes a hit; upside risks remain alive

Posted on December 7, 2020 at 9:27 am GMT

EURUSD appears to be fading somewhat from its recently logged 31-month high of 1.2177. That said the rising simple moving averages (SMAs) are defending the dictating bullish structure, keeping additional advances on the table. The short-term oscillators reveal the pause in bullish momentum. The MACD, deep in the positive region, is marginally easing above its red trigger line, while the RSI, although dipping under the 70 mark, is persisting above the supportive trend line. Yet, the stochastic oscillator’s %K line [..]

Week Ahead – Can the ECB clip the euro’s wings?

Posted on December 4, 2020 at 12:54 pm GMT

It will be another action-packed week in global markets, with two central bank meetings, a potential US stimulus agreement, and a flurry of economic data. The European Central Bank is certain to shower investors with more liquidity. Yet, this move has already been telegraphed and priced in, so if policymakers want to sink the supercharged euro, they need to over-deliver. The political arena will continue to excite as well, with the Brexit talks now in their final stage. All markets [..]

Daily Market Comment – US stimulus deal moves closer, Brexit talks ‘go backwards’

Posted on December 4, 2020 at 9:49 am GMT

Stocks at records or near highs as US Republicans change tune on new stimulus Brexit talks go down to the wire, but will France cause a last-minute upset? Dollar slide pauses ahead of NFP report Oil jumps to 9-month high despite OPEC+ raising production early Fresh hopes for US stimulus deal before Christmas Support for a bipartisan stimulus proposal of up to $908 billion gained unexpected traction yesterday as more and more Republicans threw their weight behind the plan. The [..]

Technical Analysis – EURUSD upside risks remain, regardless of slight ebbing

Posted on December 3, 2020 at 10:24 am GMT

EURUSD is conveying a strong bullish tone rocketing above the Ichimoku lines and the simple moving averages (SMAs), despite currently receding from seven-month high levels. The soaring Ichimoku lines are promoting positive price action while the advancing SMAs are defending positive sentiment. The short-term oscillators are reflecting some waning in positive momentum. The MACD, quite some distance in the positive region, is stalling ever so slightly above its red trigger line, while the RSI is making efforts to remain in [..]

Daily Market Comment – Dollar sinks again on rising optimism but stock rally cools

Posted on December 3, 2020 at 10:03 am GMT

Dollar slide deepens as stimulus and vaccine hopes drive positive theme But vaccine-led rally may have run its course in equity markets as stocks mixed today Tense Brexit talks keep pound on edge, euro roars past $1.21 Oil slips ahead of OPEC+ decision; gold extends rebound The US dollar slipped further on Thursday, slumping to fresh 31-month lows against a basket of currencies, as investors dumped the world’s reserve currency in the face of increased optimism about the global economic [..]

NFP report could flag slowing jobs recovery; may accelerate dollar slide – Forex News Preview

Posted on December 2, 2020 at 2:18 pm GMT

The November nonfarm payrolls report will take centre stage on Friday (13:30 GMT) as cracks begin to appear in America’s economic recovery from the pandemic. If recent weekly jobless claims are any indication, the US labour market slowed notably during November. An expected cooling in jobs growth is likely to add pressure on the Federal Reserve to inject more monetary stimulus. But as the dollar goes into freefall in anticipation of a December move, are investors underestimating the risk of [..]

Daily Market Comment – Stimulus, vaccine euphoria push stocks to new highs, dollar sags

Posted on December 2, 2020 at 9:52 am GMT

US stimulus hopes revived after fresh efforts to kickstart talks Vaccine rollouts edge closer after UK approval Stocks scale new heights, but signs of exhausted rally Dollar slump deepens even as Treasury yields jump Brexit jitters take steam out of pound rally Optimism soars as stimulus talks back on Markets had plenty to cheer about on Wednesday as reports of renewed efforts by US lawmakers to kickstart the stalled stimulus talks were followed by news that Pfizer-BioNTech’s vaccine has won [..]

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