All Articles Tagged - EURUSD

Daily Market Comment – Euro/dollar slices below parity, stocks worried about Fed

Posted on August 23, 2022 at 8:47 am GMT

Deepening European energy crisis sends euro/dollar beneath parity Stronger US dollar helps the move amid bets for more assertive Fed Wall Street keeps sinking, tech leads the retreat as yields climb back Parity cracks A perfect storm has engulfed euro/dollar, which cracked below the famous parity level to trade at a new two-decade low thanks to a deepening energy crisis in Europe and a US dollar that has been supercharged by bets that the Fed might wrestle back control of [..]

Technical Analysis – EURUSD plunges below parity level; what is next?

Posted on August 22, 2022 at 12:20 pm GMT

EURUSD is breaking the parity level once again, and the question is if the daily session will end below it. The recent drop is supported by the momentum indicators. In particular, the RSI is falling towards the oversold zone, and the MACD has crossed below its red trigger line in the negative region. The 20- and 40-day simple moving averages (SMAs) are changing direction and are heading south as well. If the decline continues, 0.9950 may provide short-term support. If the pair [..]

Daily Market Comment – Dollar powers up, stocks slip, China cuts rates

Posted on August 22, 2022 at 8:33 am GMT

Mighty US dollar flexes its muscles ahead of Jackson Hole China cuts interest rates to deal with unfolding property crisis Equity markets rediscover gravity, gold loses altitude too Dollar steamroller The relentless rally in the US dollar is gathering momentum as market participants seek refuge from the troubles in other major currencies and brace for a more forceful tone from a Federal Reserve trying to wrestle back control of financial conditions. A deepening energy shortage has torched the euro, with [..]

Technical Analysis – EURUSD looks unfortunate as sell-off nears parity again

Posted on August 22, 2022 at 7:27 am GMT

EURUSD was sliding towards the critical 1.0000 level during Monday’s early European trading hours, which the bears could not successfully claim in mid-July. The move comes after the failure to climb above the 20-day simple moving average (SMA) and the 1.0200 number last week. Previously, the pair could not find enough buyers to exit the 2022 downward-sloping channel either, with the momentum indicators currently foreseeing more bearish episodes ahead. Although the price closed marginally below the lower Bollinger band on Friday, signaling oversold conditions, the stochastics have [..]

Eurozone flash PMIs to highlight recession risks as energy crisis worsens – Forex News Preview

Posted on August 19, 2022 at 12:48 pm GMT

The Eurozone economy may have notched up impressive growth in the second quarter, but conditions have started to deteriorate rapidly in the third quarter. The flash PMI estimates by S&P Global due on Tuesday will reveal whether business activity improved or slumped in August. Investors will likely be paying particularly close attention to Germany – Europe’s largest economy – as it is the most vulnerable from the energy crunch, which is showing no sign of easing. The euro, meanwhile, is [..]

Week Ahead – Will the Fed fire back at Jackson Hole?

Posted on August 19, 2022 at 10:34 am GMT

With the summer coming to a close, Fed officials will head to Jackson Hole for their annual symposium. Financial conditions have loosened lately despite the forceful rate increases, which is counterproductive for the central bank. If they push back, that could spell trouble for risk assets but good news for the dollar. Fed summer camp The top brass of the Federal Reserve will head to the central bank’s summer retreat in Jackson Hole, Wyoming on Thursday to discuss monetary policy. [..]

Daily Market Comment – Dollar roars higher, stocks muted amid Fed uncertainty, recession risks

Posted on August 19, 2022 at 9:27 am GMT

Dollar stretches weekly gains, hits 1-month high, on Fed talk, dimming outlook Wall Street headed for flat week as growth worries keep optimism in check Gold and oil set to end week on the backfoot, but gas prices hold near highs Markets look to Jackson Hole as Fed rate path gets blurred Sentiment was subdued on Friday as investors struggled to get an accurate reading on the US economy as well as on the Fed’s intentions about the pace of [..]

Technical Analysis – EURUSD remains beneath 20-day SMA; indicators are still bearish

Posted on August 18, 2022 at 1:25 pm GMT

EURUSD has turned down once more after testing resistance at the 1.0355 level and the declining trend line. Also, the pair remains below its 20-day and 40-day simple moving averages (SMAs), with technical indications pointing to a neutral to negative bias in the near term. The RSI is stable below the 50 level, while the MACD is attempting to build momentum to the downside by holding further below zero. The 1.0090 level is a crucial support point, just above the 20-year low of 0.9950 [..]

Daily Market Comment – Markets struggle for direction as Fed keeps its options open

Posted on August 18, 2022 at 8:59 am GMT

Fed minutes lean hawkish, signal ‘restrictive’ policy, but open door to slower pace Dollar stays on the front foot, Wall Street bounces off lows but then starts drifting Euro holds within range as European gas prices surge to record highs Fed pushes back on rate cut bets, markets don’t listen The Federal Reserve warned that moving to a “restrictive stance of policy” was essential in the minutes of the July meeting, as it fights to get inflation down to its [..]

Daily Market Comment – Dollar steady ahead of US retail sales, Fed minutes as stocks stay buoyant

Posted on August 17, 2022 at 8:50 am GMT

US retail giants lift recession gloom, as Dow Jones and S&P 500 extend gains But FX market focused on US data and Fed minutes, dollar stays firm Pound and kiwi reverse gains from UK inflation surprise and hawkish RBNZ Stocks stay on the bright side Equity traders continue to shrug off persisting recession worries, choosing to bet instead that a severe downturn will be avoided, at least when it comes to earnings. Walmart and Home Depot were the latest to [..]

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