All Articles Tagged - GBPUSD

Daily Market Comment – Stock markets refuse to retreat, FX arena quiet

Posted on February 12, 2021 at 9:49 am GMT

Equity markets stage a late comeback after Biden boosts semiconductors Euro/dollar caught between conflicting narratives, currencies quiet overall Most of Asia off for Lunar New Year week – thin liquidity implies risks Biden halts stock market retreat Equities were headed for a red session yesterday before news broke that the Biden administration will try to alleviate the shortage in chips, lighting a fire under semiconductor stocks that ultimately saw the whole market close higher. Soaring consumer demand for electronics during [..]

Technical Analysis – GBPUSD’s bullish picture not threatened by pullback

Posted on February 12, 2021 at 9:32 am GMT

GBPUSD is retreating from its fresh 33½-month high of 1.3865 but the move is looking unconvincing in denting the bullish tone above the tentative trend line, drawn from the 1.2854 low. The red Tenkan-sen line is conveying a drop in upside momentum, while the stalling blue Kijun-sen line is protecting the positively skewed picture. Furthermore, the predominantly bullish simple moving averages (SMAs) appear unintimidated by the withdrawal in the price. The short-term oscillators are reflecting persisting negative momentum. The MACD, [..]

US Open Note – Dollar fade continues; stocks hold around record highs

Posted on February 11, 2021 at 1:56 pm GMT

Dollar recoups losses; Biden-Xi Jinping have their first call With stocks holding around their record highs, the Biden Administration making progress on finalizing the stimulus deal and more Americans getting vaccinated, some Fed officials have been talking about earlier tapering. During yesterday’s speech, Chair Jerome Powell mentioned that employment remains far away from full recovery and asked lawmakers and the private sector to support workers. President Joe Biden had his first conversation with China’s President Xi Jinping late on Wednesday, according to a [..]

Is the global vaccination race the new force in FX markets? – Special Report

Posted on February 11, 2021 at 1:31 pm GMT

The global campaign to vaccinate people against Covid-19 began in earnest in December, marking a historic milestone in the fight to bring an end to the pandemic. However, as governments scramble to get their hands on a limited supply of Covid vaccines, the disparity in the immunization rate between different nations is not going unnoticed in the FX world. Countries that are pulling out all the stops to vaccinate their population are seeing comparative strength in their currencies, whilst those [..]

US Open Note – Dollar moves south after soft CPI; euro rises above 1.21

Posted on February 10, 2021 at 2:34 pm GMT

Dollar eases after US CPI; US stocks still up The selling interest in the US dollar is continuing, with its index against a basket of currencies flirting with the fourth consecutive red day after the release of the US CPI data. The annual inflation rate remained unchanged at 1.4% for January, the same as in December and marginally below expectations of 1.5%. Month-on-month, consumer prices went up 0.3%, in line with forecasts from 0.2% before. Powell and other policymakers at the Fed have suggested that [..]

UK GDP unlikely to bruise the roaring pound – Forex News Preview

Posted on February 10, 2021 at 1:42 pm GMT

British economic growth numbers for Q4 will hit the markets early on Friday, at 07:00 GMT. The forecast is not inspiring, but still, even a disappointment is unlikely to inflict much damage on the high-flying British pound. Everyone already knows this quarter was dismal as the economy was locked down, and investors are instead focusing on the future, which seems bright as the UK is leading the developed world in the vaccination race. The risks surrounding euro/sterling in particular seem [..]

Daily Market Comment – US inflation and Powell speech could spice things up

Posted on February 10, 2021 at 9:23 am GMT

Dollar remains under pressure, stocks hover near records in a quiet session Markets still driving in risk-on gear as stimulus hopes grow stronger But US inflation data and Powell’s remarks could spark volatility today Risk-taking still the dominant force It was a quiet session in global markets, without any real news to drive the action. The same old stimulus stories continued to circulate, encouraging investors to take on more risk. The overarching theme lately is that the Democrats will push [..]

US Open Note – Dollar extends losses; pound near 3-year high

Posted on February 9, 2021 at 3:35 pm GMT

Dollar eases as reflation trade returns The dollar is tumbling over the last couple of sessions as the reflation trade strengthened. President Joe Biden will probably push his aid proposal forward without Republican support. Some comments from government suggest that the stimulus negotiations act as a cautionary tale. The Republican Congress did the same thing to push through President Trump’s tax cuts back in 2017. The relief package is likely to be closer to $2 trillion rather than $1 trillion. The dollar index is registering the third straight day of [..]

Daily Market Comment – Stimulus euphoria floods global markets

Posted on February 9, 2021 at 9:24 am GMT

Stock markets conquer new heights as usual themes remain in play Dollar continues to retreat, unable to draw power from rising yields UK turns into the G10 vaccine champion, Cable breaks higher Gold gets its feet under it as inflation whispers depress real rates The party that never stops The stock market has gone on an absolute rampage. All of the major US indices continued their incredible bullish run to reach new record heights on Monday, with stimulus hopes and [..]

Technical Analysis – GBPUSD chops higher; bullish fuel might be running out

Posted on February 9, 2021 at 8:18 am GMT

GBPUSD found new buyers near the supportive 20-day simple moving average (SMA), extending its rally to a fresh 33-month high of 1.3786 on Tuesday. The new peak is again registered near the almost one-year-old resistance line, raising speculation that the price may give up some ground in the short term. The narrowing distance between the Bollinger bands is another sign that the current bullish appetite could change, although the RSI and the Stochastics continue to strengthen towards overbought levels, endorsing [..]

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