All Articles Tagged - GBPUSD

Weekly Comment – US inflation and Fed’s Chair testimony in the spotlight

Posted on January 7, 2022 at 2:34 pm GMT

Stocks staged a mid-week selloff in the aftermath of the FOMC minutes release, which revealed policymakers’ discussions for faster rate hikes and policy normalization in terms of balance sheet reduction. In the upcoming week, Fed Chair Jerome Powell’s testimony and US inflation take center stage, together with US retail sales and Chinese inflation data. Highlights: In America, three FOMC voting members are due to speak next week, while Fed Chair Jerome Powell is expected to testify before the Congress on [..]

US Open Note – Dollar eases ahead of FOMC minutes

Posted on January 5, 2022 at 1:27 pm GMT

Investors are expecting the release of the FOMC minutes and, more crucially, the release of non-farm payrolls in the US later this week. Following a robust surge in government bond yields, the yen has remained the currency with the worst performance for the time being. The pound has managed to outperform the euro. Although the dollar is the second strongest currency, it is still stuck in a range, except against the yen. FX market view and FOMC minutes expectation The dollar is weakening ahead of the ADP employment [..]

US Open Note – Dollar hits five-year high against yen; OPEC next on the radar

Posted on January 4, 2022 at 1:45 pm GMT

Omicron virus does not affect economic recovery Despite concerns about the extremely contagious omicron virus subtype, investors are focusing on the economic recovery from the pandemic and central bank’s plans for stimulus reduction at this time. In the FX market, the focus today is on dollar/yen, which surged to a new five-year high of 116.33 as risk-on sentiment pressed safe-haven currencies such as the yen. It may be difficult for sellers to reverse the trend. The BOJ will stay the most dovish, so the weak [..]

Technical Analysis – GBPUSD maintains some foothold after bearish start to 2022

Posted on January 4, 2022 at 8:14 am GMT

GBPUSD tiptoed to the downside after its two-week rally peaked at a seven-week high of 1.3549 on Friday, with the price falling as low as 1.3429 on the first trading day of 2022. The pair is currently oscillating between gains and losses, creating doubts about whether it could stage a breakout above the upper boundary of the bearish channel, last tested back in October. Both the RSI and the Stochastics are endorsing the negative momentum in the price as the indicators drift southwards. That [..]

Technical Analysis – GBPUSD returns to losses after hitting 7-week high

Posted on January 3, 2022 at 3:32 pm GMT

GBPUSD turned red on the first trading day of 2022, pulling back from Friday’s seven-week high of 1.3549 to a low of 1.3450. The technical picture is mixed as the negative slope in the RSI and the falling Stochastics, which are set to exit the overbought territory, point to weaker sessions ahead, whereas the strength in the MACD and the positive intersection between the red Tenkan-sen and Kijun-sen lines signal that any downside correction could be temporary. Failure to reach the topline [..]

Week Ahead – NFP report to kick off New Year, inject life into muted FX market

Posted on December 30, 2021 at 4:18 pm GMT

Markets have been dead quiet during the holiday period but the upcoming week is guaranteed to bring increased volatility. The nonfarm payrolls report along with the FOMC minutes and a host of other US data are bound to wake markets up, while employment and inflation numbers out of Canada and the Eurozone, respectively, should also liven things a little. Although several major pairs have been rebounding against the US dollar and Wall Street has been notching up one record high [..]

US Open Note – US stock futures at record highs, dollar ticks slightly higher

Posted on December 30, 2021 at 2:28 pm GMT

Positive sentiment supported by strong US jobless claims US stock futures have managed to remain near record highs, while trading volumes have narrowed and liquidity is drying up as the trading doors near closure for 2021. The question at year end is what effects from the rapidly spreading Omicron variant will rollover into the new year, especially as infections have been hot. Also, how will economies start to fare in the new year with an environment where stimulus is diminishing, [..]

Daily Market Comment – Wall Street hits another record but trading remains slow, dollar oscillates

Posted on December 30, 2021 at 10:16 am GMT

Stocks mixed after more US all-time highs as trading volumes thin out further Investor optimism put to the test amid surging Covid cases globally Dollar rebounds from lows as Treasury yields spike Surging virus cases put investors on edge Markets stuck to the mildly positive tone on Thursday as investors constantly reassessed the risks from the latest wave of Covid-19 cases that is gripping most nations around the world. The shrinking liquidity during this slow holiday week has brought about [..]

Daily Market Comment – Santa Claus rally takes a breather, dollar firms

Posted on December 29, 2021 at 9:37 am GMT

Stocks mixed after Wall Street rally fizzles out, but futures point up Dollar inches higher, yen firms too amid some Omicron worries Oil extends gains, gold pulls back despite soft Treasury yields Wall Street falters but party not over Equity markets were feeling somewhat less joyous on Wednesday after the S&P 500 failed in its bid to close above the 4,800 level for the first time and as Chinese tech stocks came under renewed selling pressure. The S&P 500 ended [..]

US Open Note – Stocks imply a risk-on tone, greenback stabilizes around 96 mark

Posted on December 28, 2021 at 2:46 pm GMT

Dollar’s shine dulls in forex arena; are Omicron risks set to rise? The chaotic 2021 period is soon coming to an end and the lack of market driving news on today’s economic calendar is unlikely to help this year to leave with a bang. That said, major US index futures are persisting around their all-time highs suggesting that positive market sentiment may roll over into the new year. It seems that markets have become robust against fresh threats from the [..]

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