EURUSD

Dollar turns its sights to ISM PMIs – Forex News Preview

Posted on May 31, 2019 at 10:12 am GMT

The next key releases for the dollar will be the ISM manufacturing and non-manufacturing PMIs for May, due on Monday and Wednesday respectively, both at 14:00 GMT. Forecasts point to a rebound in both figures, but considering the escalation in trade conflicts, those seem overoptimistic. Disappointing numbers may hurt the dollar a little, but for the greenback to weaken substantially, some other major currency needs to become attractive again – a condition not satisfied yet. The US economy grew by [..]

European Open Preview – Yen shines bright as Trump slaps tariffs on Mexico

Posted on May 31, 2019 at 7:58 am GMT

Risk aversion engulfs markets after US unleashes more trade havoc Dollar holds its ground even as Fed easing bets grow further US PCE inflation, German preliminary CPIs, and Canadian GDP due today Yen soars, loonie & peso crumble as Trump fires another tariff salvo Following a relatively calm session yesterday, risk aversion returned with a vengeance early on Friday, after the US President announced new tariffs overnight. All goods coming to the US from Mexico after June 10 will be [..]

European Open Preview – Dollar roars higher; Wall Street stabilizes, for now

Posted on May 30, 2019 at 8:20 am GMT

Dollar remains king as major peers continue to lack appeal Stocks calm down after drop, but perhaps only temporarily BoC stands pat, loonie drops as officials keep a lid on optimism Dollar reigns over FX market, nears 2-year highs The world’s reserve currency remains the undisputed king of the FX market, as investors continue to favor dollar-denominated assets amidst worries that the conflict between Washington and Beijing is slowly morphing into a new cold war. The greenback outperformed even the [..]

European Open Preview – Stocks slip as trade worries intensify; BoC decides

Posted on May 29, 2019 at 9:40 am GMT

Equities drop, safe havens soar as trade outlook darkens Bank of Canada meets today – may be a touch more optimistic Aussie resilient despite trade woes & RBA rate cut bets Trade woes return to haunt stocks; yen & dollar cruise higher Risk appetite turned sour again on Tuesday, as British and American traders returned to their desks after a long weekend and were met by more worrisome trade news. Recent reports citing Chinese officials suggest the real reason the [..]

Dollar faces downside risks from upcoming inflation data – Forex News Preview

Posted on May 28, 2019 at 12:12 pm GMT

The second estimate of US GDP for Q1 will hit the markets on Thursday while the Fed’s preferred inflation gauge for April is due on Friday, both at 12:30 GMT. Investors may focus mainly on the PCE inflation numbers, where risks seem tilted towards a disappointment relative to forecasts. If so, that could fuel speculation for a more cautious tone at the Fed’s June 19 meeting and thereby, weigh on the dollar. Although still solid by most metrics, the US [..]

European Open Preview – Euro slips as EU threatens Italy with fine; dollar edges higher

Posted on May 28, 2019 at 8:14 am GMT

Euro slips back below $1.12 on reports the EU could fine Italy with $4 billion penalty over high deficit Dollar supported by risk-off even as Treasury yields fall back towards 19-month lows Stocks buoyed by M&A news, hopes of more Chinese stimulus Euro on the backfoot again as Italy faces EU fine The euro’s bounce from yesterday’s results of the election for the European Parliament proved short-lived as the row over Italy’s high budget deficit came back to haunt the [..]

European Open Preview – Euro and pound steady after European elections

Posted on May 27, 2019 at 8:08 am GMT

Euro holds steady as pro-European parties maintain majority in European Parliament Sterling firmer despite Brexit party’s win at Euro elections as focus turns to Tory leadership race Stocks edge up but remain weighed by ongoing trade frictions as Trump pressures Japan Markets calm as EU populist parties make only limited gains There were significant gains across the European Union for far right and populist parties, with mainstream parties losing ground. However, while the centre-right and centre-left parties were unable to [..]

Technical Analysis – EURUSD flies near 40-SMA after rebound on 2-year low

Posted on May 27, 2019 at 6:32 am GMT

EURUSD is flirting with the 40-day simple moving average (SMA) today, after the aggressive rebound on the two-year low of 1.1106, achieved last Thursday. Currently, the pair has been developing within a narrow range of 1.1110 – 1.1260 as it failed several times to break from these obstacles. The technical structure suggests further upside movement as the MACD surpassed the trigger line and is moving towards the zero line, while the stochastic oscillator entered the overbought zone. Should the price [..]

Week Ahead – US PCE inflation, BoC meeting and Aussie Q1 capex eyed amid rising risk aversion

Posted on May 24, 2019 at 9:58 am GMT

As trade tensions continue to simmer and there’s no end in sight to the Brexit turmoil, risk sentiment will probably remain the biggest driver for forex markets in the coming week. But there will still be several market-moving events for investors to keep a watch on. PCE inflation numbers from the United States, Canadian Q1 GDP estimates and a Bank of Canada meeting, as well as capital expenditure figures from Australia will be the main highlights. Aussie to stay on [..]

European Open Preview – Dollar retreats as rate-cut bets grow; yen soars

Posted on May 24, 2019 at 8:16 am GMT

Wall Street tumbles, yen soars on growth and trade concerns Dollar pulls back on mounting expectations for Fed easing Sterling catches its breath as May prepares to set departure date Risk sentiment takes a hit as soft PMIs revive growth worries Risk aversion dominated markets on Thursday, as alarming PMI data from major economies coupled with deepening US-China trade tensions amplified concerns around global growth. Preliminary Markit PMIs from both the US and Europe disappointed, highlighting that trade worries are [..]

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