The GBPUSD pair is breaking higher today, after managing to close above the 1.41000 level yesterday. This move gives long positions a bit of confidence, with the falling blue trend line at 1.42162 the main obstacle on the way to the high of 1.43450. There is also a band of resistance between the 1.42445 and […]
With US Producer Prices data on the way this afternoon, and predicted to be largely as expected, the morning session will be dominated by central bankers, as FOMC Member Kaplan and MPC Member Haldane are due to make separate speeches. The US/China Trade War has been dominating headlines, with Chinese President Xi speaking overnight and […]
The ruble has lost 3.8% in one day against the euro and the dollar. The dollar has already exceeded 60 (+1.83p) rubles while the euro has risen to 73.70 (+2.32p). In total, the ruble has lost 5.4% since the announcement of sanctions on Friday. Despite the shocking growth rates today, the major short-term mark of […]
U.S. equities had another turbulent day on Friday with a deep selloff. However, yet another tweet from President Trump over the weekend, signalling a possible softening in his approach to a trade war with China, has been improving sentiment. Traders should be aware of a speech by Chinese President Xi Jinping at the Boao Forum […]
The AUDUSD pair has settled into a range over the last couple of weeks and remains supported above 0.76400. Further losses can arise if this level is broken, with traders currently closely watching the 0.76600 level for early signs of a break down. The 0.76000 area contains two trend lines and should provide some strong […]
The UK Halifax House Price Index had recovered last month from a reading of -0.6% in January and February up to 0.4% in March. A weaker number here can be attributed in part to the recent spell of winter weather. The Year over Year figure is still robust and is expected to come in around […]
The latest U.S. labor market report turned out to be very weak in terms of the number of jobs created but salaries were in line with expectations. Payrolls increased by only 103K in March, the smallest growth since September, when the statistics were affected by destructive hurricanes. However, the previous readings were revised upward and […]
The U.S. Dollar strengthened on Friday in response to an escalation in trade tensions and ahead of non-farm payrolls (NFP) and wage data. President Donald Trump issued a statement that he was considering $100 billion in extra tariffs, with China quickly responding that it “will take them on until the end at any cost”. However, […]
The UK 100 Index has rebounded higher after testing support and forming a new low at 6835.7. The price is currently around the 50 DMA at 7194.0 and has retested the red trend line as support. Resistance is now found at the 7300.0 level and the 100 DMA, with the 200 DMA at 7327.0, which […]
Friday’s session is expected to be volatile, with Non-Farm Payrolls (13:30 UK Time) ahead and President Trump’s proposal for an additional $100B of trade tariffs for China affecting markets. The President instructed Treasury to consider the move, which would bring tariffs against China to $150B. This sent US stock markets lower and USDJPY from 107.430 […]
The British Pound (GBP) declined this morning after a major survey showed that British services slowed sharply to the slowest rate since the EU referendum in June 2016. The Purchasing Managers’ Index (PMI) was reported to be worse-than-expected at 51.7, from February’s reading of 54.5. This was attributed to unusually bad weather conditions and weak […]
EURGBP is remaining in a down trend in the 4-hour time frame. The trend line is intact after its 3rd test last week and is currently forming resistance at 0.87574. The Moving averages are falling in line with the trend line, with the 50 MA at 0.87500 and the 100 MA at 0.87718. A previous […]
US Unemployment data will be released this afternoon, ahead of NFP data on Friday. This is expected to show a slight rise in Initial Jobless Claims from the low reached last month. The trend here is for claims to continue to move lower, with the Fed highlighting concerns that the economy is running out of […]
Employment in the U.S. private sector increased more than expected in March, according to the ADP. However, the dollar defiantly ignored the news, failing to register significant movement against most of the key currencies. Stock exchanges were somewhat lost during the initial reaction. However, selling had prevailed in the markets earlier in the day. ADP […]
The Canadian Dollar (CAD) has been in focus after a report that U.S. President Trump was pushing for a preliminary North American Free Trade Agreement (NAFTA) deal to announce at a summit in Peru next week. The White House wants leaders from Canada and Mexico to join in unveiling a deal in principle at the […]
The US30 Index has retested its 200 DMA once again, after breaking down from its bearish rising wedge. It has moved back up to resistance at 24000.00 and remains in this vicinity. Traders are eying the chart for a potential break out, citing 24200.00 as a resistance level to overcome, and a break above 24500.00 […]
ADP Employment Change will be released later in the US, with an expectation for an additional 205K jobs added to the economy. This comes in a series of releases over the last three months showing strong additions since January’s 250K, with 234K and 235K following. It is interesting to note that, on these three occasions, […]
The crypto market, including Bitcoin, has started the week on the front foot. According to CoinMarketCap, Bitcoin has surged 6% in the last 24 hours. It has overcome the threshold at $7K to trade around $7,400. It is worth noting, however, that Bitcoin’s growth may be short-term. It has been learned that 10,000 BTC were […]
U.S. Equity markets dropped sharply on Monday as investors sold technology shares amid resurgent worries over a trade war. The sell-off started after China retaliated against Trump’s tariffs on steel and aluminium with their own tariffs of 25% on $3bn in food imports from the U.S., raising the prospect of a trade war between the […]
The gold chart is showing what appears to be a bull flag forming, with yesterday’s strong rally giving hope to gold bulls that we may see a move higher in the near future. To achieve this they would need to take price above the falling trend line top at 1355.50 and force a breakout above […]
The UK Markit Manufacturing PMI is one of the data releases that will give traders a look into the performance of the European Manufacturing sector today. Most of the PMIs from across the continent are expected to show a softening. This is due to supply chain constraints and shortages of inputs, which have caused a […]
The cryptocurrency market capitalisation has lost over $100 billion over the past week, with leading cryptocurrencies falling over 13% in the last 24 hours alone. What has played a major part in this decline is regulator pressure, as well as the high sell volumes on the CBOE and CME futures markets. Bitcoin’s bulls support that […]
The total market capitalisation of cryptocurrencies dropped below $282bn, as broad-based selling saw major digital currencies reach multi-month lows. The vice governor of the People’s Bank of China (PBOC) has commented that they will launch a crackdown on cryptocurrencies this year. Also, it is reported that two Japanese cryptocurrency exchanges are set to cease operating, […]
Canadian GDP will be released later today showing slight growth. The USDCAD pair has slipped into a sideways pattern below the area of the red trend line, shown here on the 4-hour chart. This trend line currently represents resistance and is located at the 1.29395. The 50-period MA is at 1.29148, with the 100-period below […]
With US Personal Consumption Expenditures – Price Index on the way later today, as well as US Jobless data, traders will be watching the USD, which is showing strength as we approach the last trading days of March. USDJPY was up to 107.00 at one point overnight, helped by easing tensions with North Korea. Gold […]
According to CoinMarketCap, Bitcoin failed to recover after experiencing a 6.5% drop on Tuesday, now trading below $8,000. It is very likely that a global risk-off sentiment in the markets continues to put pressure on cryptocurrencies. It is worth looking at how the market is likely to react, should BTC reach the recent low of […]
Crude Oil prices declined on Wednesday, with West Texas Intermediate (WTI) trading below $65 and Brent back below $70 per barrel. The drop came in response to a surprise inventory build in the American Petroleum Institute (API) data released on Tuesday, that reported a 5.3-million-barrel rise in crude stocks. Last week, crude had seen an […]
The GBPUSD pair broke out of its broadening wedge pattern on the 13th of March and retested the trend line in Blue on the 16th, setting up a move higher to 1.42445. This level was tested twice on Monday, with the price falling back to the 1.40675 level. The pair moved higher yesterday, helped by […]
US GDP will be released later today, with analysts waiting to see if the figure confirms the strength seen over the last two quarters. The expectation is for an increase but looking over the trend longer-term shows that the US economy has been ticking along above 2% since the financial crisis. The recent risk-off mood […]
S&P/Case-Shiller Home Price Indices (YoY) (Jan) was released earlier today, at 14.00 GMT, by Standard & Poor. This report examines changes in the value of the residential real estate market in 20 regions across the US and serves as an indicator for the health of the US housing market. Generally speaking, a high reading is […]
