The EURGBP pair has managed to hold above the 0.89000 level, which adds to the confidence that resistance above can be tested in order to achieve a breakout above 0.90000. Resistance, for now, is found at 0.89274, followed by trend line resistance at 0.89365. Major resistance is seen at 0.89550, with a falling trend line […]
The Market has shrugged off any fears of Trade Wars arising from the proposals that were released by the White House last week, with the consensus that they are being used as a threat to force trading partners to accept the demands of the US and strengthen its hand at the negotiating table. However, this […]
Global stock markets saw frenetic trading last week, amid concerns of a trade war and a more aggressive Federal Reserve. A broad sell-off began on Thursday after Trump announced that his administration would impose tariffs on steel and aluminium imports. Although the Dow (US30) initially fell nearly 400 points on Friday, most of the losses […]
The Italian Election over the weekend has added a spark to Euro FX markets this morning, with volatility driving price as the market digests the implications. In the EURUSD pair, price has tested support in the form of the 4-Hour moving averages, breaking through all of the major ones, e.g. the 50, 100 and 200-period […]
German Retail Sales (YoY) (Jan) was released coming in at 2.3% v an expected 3.3%, from -1.9% previously, which was revised to -0.2%. Retail Sales (MoM) (Jan) was -0.7% v an expected 0.8%, from -1.9% previously, which was revised to -1.1%. This data is usually volatile but on this occasion, it has surprised to the […]
On Thursday, President Trump said that the U.S will impose tariffs of 25% for steel and 10% for aluminium and that these tariffs will be implemented without targeting specific countries. The main trading partners of the U.S. have reacted by declaring they will take retaliatory steps. U.S. equity markets fell on worries that this action […]
Bitcoin is currently fluctuating near $11,000. At the time of writing, the benchmark cryptocurrency pushes below $11,000, with the most popular altcoins following the same trend. For the past week, cryptocurrencies have traded sideways. The market was under pressure at the start of this week, following news that the Chinese government keeps trying to evict […]
Risk-off sentiment returned to the markets yesterday, as the White House’s announcement of tariffs on industrial metals sent US stocks falling, creating lower lows. The US 30 Index broke below the 24589.00 level, which was the low of the 22nd of February. However, the price is currently finding support at the Blue supporting trend line […]
Yesterday, the US announced Tariffs on Steel and Aluminium, which prompted an outcry from various global leaders and an acceleration in the risk-off bias affecting markets this week. The White House signalled a 25% tariff on Steel and a 10% tariff on Aluminium, starting next week. EU’s Junker said that he strongly regrets US restrictions […]
The latest data from the U.S. regarding jobs and income exceeded expectations, boosting the markets after a weak start this week. Following the release, the S&P500 index went up, while the USD reversed downwards. Weekly Initial Unemployment Claims in the U.S. fell to 210K, renewing 40+ year lows once more. Continued Claims is also at […]
The new Federal Reserve Chairman, Jerome Powell, has recently hinted that the Fed could raise interest rates more quickly this year, causing the U.S. Dollar to surge. The Fed is now projected to overtake the Reserve Bank of New Zealand (RBNZ), which currently has one of the highest interest rates at 1.5%, by year-end. Furthermore, […]
The EURGBP pair has recovered somewhat from its most recent drop lower and found support at 0.87714. It has formed a red supportive trend line with three touches and rallied back into the top half of the range. Support closer to the current price level is found at 0.88477 and the 100 DMA. The 50 […]
German Gfk Consumer Confidence Survey (Mar) was 10.8 v an expected 10.9, from a prior number of 11.0. French Consumer Price Index (EU norm) (YoY) (Feb) was 1.4% v an expected 1.5%, from a prior number of 1.5%. EURUSD moved lower from 1.22370 to a low of 1.22000. Swiss KOF Leading Indicator (Feb) was 108.0 […]
Gold dropped back lower yesterday, with a loss of the 1330.00 area. It is currently trading around 1317.00, with yesterday’s low at 1312.90. Further support comes at 1311.14 and the 13000.00 level. Below is 1289.50 and 1276.40. The chart shows that, so far, a higher low has been created above the support levels reached in […]
Wednesday morning saw stocks predominantly in the red, as Powell’s recent comments seem to have pushed the USD higher and led to a sell-off of risky assets. Yesterday, the Fed’s new chairman said that strong economic data is fuelling confidence in accelerating inflation, which could force the Central Bank to restrain the economy to prevent […]
In his first public appearance, the new Federal Reserve Chairman Jerome Powell, yesterday hinted that the Fed could raise interest rates more quickly this year, as the U.S. economy grows along with a pickup in inflation and wages. The U.S Dollar surged to the upside in reaction to these hawkish comments. The stronger U.S Dollar, […]
German Buba President Weidmann spoke about the Bundesbank’s Annual Report, in Frankfurt, with the following comments made: policy normalisation will take a long time and if the economic upswing continues and prices rise, there is no reason to not end QE this year. He said it is important to “gradually and dependably” reduce ECB stimulus. […]
The British Pound (GBP) has come under renewed pressure amid the ongoing Brexit drama. Hopes of an orderly Brexit, supported by the main opposition Labour Party, were dashed on Monday as the party took a different stance. Labour is seeking a completely different Brexit deal involving a new customs union with the E.U., which raises […]
In the 4-hour timeframe, USDJPY has managed to hold above the 106.000 level and is this morning in a range between the 50-period MA at 107.112 and the supporting blue trend line at 106.353. Below the supporting trend line, the 106.30 level comes into play, with a move below targeting the 105.623 trend line and […]
The ECB’s Coeure spoke in Frankfurt at a working group meeting regarding euro risk-free rates. He said that a reform of reference interest rate will help to underpin good functioning euro area money markets and trust in its related products. He also added that it is vital since monetary policy is initially transmitted through financial […]
The S&P 500 (SPX) rallied strongly on Friday, finishing the week in positive territory. U.S. Treasury yields and Federal Reserve interest rate hike expectations remain a key factor. After the Federal Reserve released minutes of the meeting of its decision-making Federal Open Market Committee (FOMC), U.S 10-year yield hit a fresh four-year high of 2.95% […]
The EURUSD pair has consolidated between its moving averages over the recent sessions. The top of the range is marked out with the 50 and 100 moving averages at 1.23425 and the bottom with the 200-period moving average at 1.22814. While this range is narrow, price action is building energy here for an eventual breakout. […]
EU European Council Meetings took place on Friday and EU Council President Donald Tusk made the following comments: EU leaders agreed to spend more on migration, defence and security and all EU leaders are ready to work to modernize the budget, some ready to contribute more. Reaching an agreement on the budget this year appears […]
Silver has been trading in a triangle pattern on the daily timeframe, which has pinched price into a tighter range between 17.500 and 16.200. Price has dropped to the bottom half of this range below the moving averages. The market is now building energy while it remains undecided on what direction follow. Support can be […]
The crypto market entered a new correction phase in the middle of the current week, a phase associated with investor doubts regarding the market’s future. The total market capitalisation fell to $434 billion, down from the $500 billion levels it had reached earlier. Many Bitcoin investors were observed selling the cryptocurrency as it faced resistance […]
Cryptocurrencies continued their recovery from deep losses experienced over the last month but have seen a retracement over recent sessions. The positive sentiment has been helped by new developments in South Korea, where the regulator changed its tough stance on cryptocurrency trade and indicated that they plan to normalize the virtual coin business in a […]
The US Secretary of Defence says he supports the Commerce Department’s actions on steel and aluminium trade. He also said that targeted tariffs are preferable to a global quota or a global tariff. This would impact EU based steel companies as well as those based in China. French Consumer Price Index (EU norm) (YoY) (Feb) […]
The New Zealand Dollar has been strengthening on improving inflation expectations, as reported in a recent Reserve Bank of New Zealand (RBNZ) survey. Earlier this week, a government-commissioned report on the economic impact of the Comprehensive and Progressive Trans-Pacific Partnership (CPTPP) estimated the economy would grow between 0.3 percent and 1 percent, with exporters having […]
The reaction to the FOMC Minutes in the US30 index was to initially rally on the positive tones coming from the Fed. However, as we have seen recently, fears about inflation took hold, sending the price tumbling lower through strong support around 25000.00 and 24876.70. The low created so far is 24589.00. A break lower […]
German Markit Manufacturing PMI (Feb) was 60.3 v an expected 60.6, from 61.1 previously. Markit Services PMI (Feb) was 55.3 v an expected 57.0, from 57.3 previously. Markit PMI Composite (Feb) was 57.4 v an expected 58.5, from 59.0 prior. EURUSD moved lower from 1.23318 to 1.23168 following this data release. Eurozone Markit Manufacturing PMI […]
