forex

US Open Preview – Dollar inches up as Fed takes center stage

Posted on August 1, 2018 at 11:05 am GMT

Here are the latest developments in global markets: FOREX: The US dollar continued the bullish movement today against the Japanese yen (+0.05%), near 112.00, while tariffs returned to the spotlight as the US and China were reportedly seeking to resume talks to find common ground on trade. The main event of the day will be the FOMC monetary policy decision later in the day. In the Eurozone, the final IHS Markit manufacturing PMI posted a reading of 55.1 in July, unchanged from [..]

Technical analysis – CADJPY unlocks 2-month highs; could be overbought

Posted on August 1, 2018 at 10:01 am GMT

CADJPY is back in bullish mode in the four-hour chart as Tuesday’s rally helped the market to break the range-bound trading started in mid-July and peak at a two-month high of 86.11 early today. While the MACD suggests that the market could maintain bullish momentum in the short-term as the indicator continues to gain strength above its red signal line in positive territory, the RSI, which moves in overbought territory above 70, warns that downside corrections are possible. Should the price head [..]

Technical Analysis – EURJPY turns bullish in short term after strong sell-off

Posted on August 1, 2018 at 8:54 am GMT

EURJPY has enjoyed an aggressive buying interest over the last two consecutive days following the rebound on the 129.10 support level, which stands near the 38.2% Fibonacci retracement level of the upleg from 124.60 to 131.97. Having a look at the 20- and 40- simple moving averages (SMAs) in the 4-hour chart, they are indicating further upside pressure as they posted a bullish crossover earlier today. Also, the RSI indicator is approaching the overbought levels and the MACD oscillator is rising above its [..]

Technical Analysis – AUDUSD still consolidating; builds base around SMAs in short term

Posted on August 1, 2018 at 6:28 am GMT

AUDUSD has been trading within a sideways channel over the last six weeks with upper boundary the 0.7475 resistance level and lower boundary the 18-month low of 0.7310. Moreover, the price holds within the 20- and 40-simple moving averages (SMAs) today and is ready to set a bearish session in the daily timeframe. Technically, momentum indicators are endorsing the neutral to bearish weakness in the market. The RSI indicator is flattening and stands below the threshold of 50, however, the [..]

Fed to hold rates but will Trump criticism constrain a more hawkish message? – Forex News Preview

Posted on July 31, 2018 at 3:11 pm GMT

The US Federal Reserve will announce its latest rate decision on Wednesday at 18:00 GMT when the Federal Open Market Committee (FOMC) concludes a two-day policy meeting. After the move in June when the Fed lifted rates to a range of 1.75-2.00%, no change in policy is expected this month. The absence of a press conference and new economic projections also make the July meeting a less eventful one. However, following President Trump’s recent remarks questioning the need to raise [..]

Technical Analysis – GBPUSD rebounds on 10-month low but remains bearish in medium-term

Posted on July 31, 2018 at 6:41 am GMT

GBPUSD has eased a bit after its downfall from the 1.4375 resistance barrier, finding support at the 10-month low of 1.2960 on July 19. Since the previous week the price is trading slightly higher, however, it remains below the mid-level of the Bollinger Band (20-SMA) and the 40-day simple moving average (SMA). In the short-term, the neutral to bearish bias is likely to be continued as the RSI has flattened slightly below its threshold of 50 and the MACD has paused its downward move as [..]

US consumption data to attract less attention after GDP report; inflation to remain at 2% – Forex News Preview

Posted on July 30, 2018 at 1:57 pm GMT

Data on US personal income and spending is not anticipated to attract the usual level of attention on Tuesday (due at 12:30 GMT) as the June figures were already incorporated in last week’s robust GDP stats. The focus will therefore be on core PCE inflation, which the Fed puts the most emphasis on when setting monetary policy. That is not to say that another solid set of numbers tomorrow would not be positive for the US dollar, helping it gain [..]

Technical Analysis – EURUSD struggles below 23.6% Fibonacci mark; remains neutral in short-term

Posted on July 30, 2018 at 6:40 am GMT

EURUSD has been remaining below the strong resistance obstacle of the 23.6% Fibonacci retracement level near 1.1760 of the downleg from 1.2550 to 1.1510, since June 14. Moreover, the pair trades around the 20- and 40-simple moving averages (SMAs) in the daily timeframe, indicating a possible sideways channel. Having a look at the technical indicators, the RSI is flattening slightly below the threshold of 50, while the MACD oscillator failed to jump into the positive territory but still stands above [..]

Week Ahead – BoJ, Fed, BoE policy decisions awaited; Eurozone GDP and US jobs report also in focus

Posted on July 27, 2018 at 1:11 pm GMT

It’s going to be a big week for central banks as the Federal Reserve, the Bank of Japan and the Bank of England hold policy meetings in the next seven days. Economic data will also be at the forefront with plenty of major releases, including the US jobs report and the first look at Eurozone growth in the second quarter. However, as has been the case in recent weeks, the underlying market sentiment may be determined by US trade policy [..]

Technical Analysis – GBPJPY in small upside retracement but outlook remains bearish

Posted on July 27, 2018 at 11:38 am GMT

GBPJPY is trading slightly higher over the past few hours after the rebound on the 145.32 support level. The price is trying to pare some ground of the previous red sessions, however, it is still developing below the short-term moving averages in the 4-hour chart. The Relative Strength Index (RSI) is currently increasing positive momentum towards its neutral threshold of 50, while the stochastic oscillator posted a bullish crossover within the %K and %D lines in the oversold levels, both hinting that the next move in [..]

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