2023-07-05 10:14

EUR/GBP has faced pressure around 0.8575 as UK Services PMI has matched expectations. The UK economy is facing issues of labor shortages due to Brexit and early retirements. ECB Nagel has cited that the central bank has not reached the end of policy-tightening yet. (FXStreet) USD/CAD reverses from 50-SMA to renew intraday high. Firmer RSI backs recovery from short-term key SMA, suggesting further upside towards three-week-old resistance line. 200-SMA, mid-June peak holds the key to Loonie pair buyer’s conviction. Downside break of 50-SMA isn’t open invitation for the bears targeting yearly low. (FXStreet) EUR/JPY picks up bids to renew intraday high, consolidates the biggest weekly loss in five. Yields recover as fears of economic slowdown join US-China jitters. Mixed German data, fears of Japan intervention weigh on prices. Eurozone PPI, risk catalysts will be crucial for clear directions. (FXStreet) AUD/JPY has attempted a decent recovery from 96.50 despite discussions about BoJ’s stealth intervention escalation. A poll from Reuters showed that Japanese diplomats could intervene if the Japanese Yen depreciates to 145.00 against the US Dollar. The decision of maintaining the status quo by the RBA could be the outcome of a decline in the monthly CPI. (FXStreet) USD/CHF edges higher within weekly symmetrical triangle, mildly bid for third consecutive day. Firmer RSI suggests upside break of immediate triangle but five-week-old resistance line, 200-SMA will test Swiss pair buyers. Multiple levels to challenge bears before directing them to YTD low marked in June. (FXStreet) USD/JPY struggles within weekly trading range near YTD high amid sluggish sentiment. Cautious mood ahead of Fed Minutes, Japan intervention fears and recession woes prod sentiment. Downbeat RSI suggests Yen pair’s gradual grinding towards the south but 200-HMA appears the key support. Bulls have a bumpy road towards the north to travel even if they cross 144.65 immediate hurdle. (FXStreet) NZD/USD is consolidating around 0.6200 as FOMC minutes have come under spotlight. S&P500 futures have extended losses in Europe, portraying strength in the risk-aversion theme. Thursday’s ADP Employment report is expected to show additions of 180K employees in June. (FXStreet) AUD/USD has dropped to near 0.6680 as the focus shifts to the US labor market and FOMC minutes. Caixin Services PMI has sharply dropped to 53.9 from the former release of 57.1. Investors are hoping that FOMC minutes could provide confident cues that the Fed would raise interest rates two times by year-end. (FXStreet) USD/INR struggles to defend the previous day’s recovery from two-month low. Fresh fears of Sino-American trade war, downbeat China Caixin Services PMI weigh on sentiment along with recession woes. Cautious mood underpins USD/INR rebound but softer US data, downbeat Oil price prod Indian Rupee sellers. Fed Minutes should defend Chairman Powell’s hawkish statements to keep USD/INR bulls hopeful. (FXStreet) WTI Crude Oil prices face rejection near the 50-DMA and drift lower on Wednesday. The formation of a descending triangle on the daily chart favours bearish traders. A sustained strength beyond the $72.00 mark is needed to negate the negative bias. (FXStreet) Gold price reverses an intraday dip on Wednesday, though lacks follow-through. Economic woes and the worsening US-China ties benefit the safe-haven metal. A modest USD strength might cap gains ahead of the FOMC meeting minutes. (FXStreet) Silver meets with some supply on Wednesday and snaps a three-day winning streak. The setup favours bearish traders and supports prospects for further intraday losses. A sustained strength beyond the $23.00 mark is needed to negate the bearish outlook. (FXStreet) Source: FXStreet Disclaimer: This information does not represent a BUY or SELL recommendation on the stock covered. Traders and Investors are encouraged to do their own analysis on stocks instead of blindly following any Trading calls raised by various parties on the Internet.

2023-07-04 09:32

USD/JPY continues with its struggle to make it through 145.00 and edges lower on Tuesday. Intervention fears lend some support to the JPY and seem to be a key factor exerting pressure. The Fed-BoJ policy divergence should lend support ahead of the FOMC minutes on Wednesday. (FXStreet) The index hovers around the 103.00 region on Tuesday. US markets are closed due to the Independence Day holiday. Next salient event in the US docket will be the FOMC Minutes. The greenback, when tracked by the USD Index (DXY), navigates within a tight range in the wake of the opening bell in Euroland on turnaround Tuesday. (FXStreet) USD/CAD takes offers to refresh intraday low as European session begins with firmer Oil price. Supply crunch fears, US Dollar’s failure to stay firmer keep WTI on the front foot. US Dollar Index fades late Monday’s rebound as market sentiment dwindles. Bank of Canada Business Outlook Survey, Canada S&P Global Manufacturing PMI for June will be crucial for intraday directions. (FXStreet) EUR/JPY takes offers to print the first daily loss in three, stays near the highest levels since September 2008. Japan authorities keep showing readiness to defend Yen but haven’t acted of late. Recession woes, US-China jitters and downbeat EU/German PMIs are extra negatives for cross-currency pair. (FXStreet) EUR/USD has dropped to near 1.0900 amid a cautious market mood. S&P earnings could be full of surprises as overall demand is strong in conjunction with higher interest rates by the Fed. US Manufacturing PMI has contracted straight for eight months. (FXStreet) USD/CHF has fallen back from 0.8970 as the USD Index has retreated. S&P500 futures have posted nominal losses as investors have turned cautious amid the holiday in the US. An inflation figure below 2% would allow the SNB to pause the policy-tightening spell. (FXStreet) AUD/USD has shown recovery as the focus has shifted to US labor market data. RBA decided to keep interest rates steady as inflation has decelerated sharply to 5.8%. The US Dollar Index has turned sideways around 103.00 as investors are awaiting the release of the US labor market data. (FXStreet) NZD/USD scales higher for the third straight day and climbs to a one-week high on Tuesday. The uncertainty over the Fed’s rate-hike path undermines the USD and lends some support. The divergent Fed-RBNZ policy outlook to cap gains ahead of FOMC minutes on Wednesday. (FXStreet) USD/TRY remains sidelined near all-time high, snaps three-day downtrend of late. Hopes of higher Turkish inflation leading to higher rates from CBRT tease Turkish Lira bears amid sluggish markets. Lack of strong rate hikes from CBRT failed to inspire Turkish Lira bulls amid broadly firmer US fundamentals. Hawkish signals from CBRT may trigger much-awaited pullback but the US holiday can limit the moves. (FXStreet) AUD/NZD has displayed a vertical fall as RBA left interest rates unchanged. The recent decline in monthly CPI to 5.8% provided strength to RBA policymakers to maintain the status quo. NZ inflation is not showing signs of easing while the economic outlook has dampened extremely. (FXStreet) WTI prices started the week on the back foot and returned to the $70.00 zone following an earlier move to the vicinity of $72.00. The daily pullback was accompanied by shrinking open interest and volume and leaves the door open to the resumption of the recovery in the very near term and with the immediate hurdle at the weekly highs near the $73.00 mark per barrel (June 21). (FXStreet) Prices of natural gas retreated modestly on Monday on the back of increasing open interest. That said, further retracements appear on the cards in the very near term, while the resumption of the uptrend is expected to meet a tough barrier at the March top around the $3.00 mark per MMBtu (March 3). (FXStreet) Prices of the troy ounce of gold extended the rebound from last week’s lows in the sub-$1900 region at the beginning of the week. The decent advance was on the back of rising open interest, which is indicative that further upside remains on the table for the time being. In the meantime, extra gains should meet temporary resistance at the 100-day SMA, today at $1945. (FXStreet) Silver attracts some buyers for the third straight day, though remains below $23.00. The technical setup favours bullish traders and supports prospects for further gains. A convincing break below the $22.70-65 confluence will negate the positive outlook. (FXStreet) Source: FXStreet Disclaimer: This information does not represent a BUY or SELL recommendation on the stock covered. Traders and Investors are encouraged to do their own analysis on stocks instead of blindly following any Trading calls raised by various parties on the Internet.

2023-07-03 09:32

USD/JPY kicks off the new week on positive note and reverses Friday’s retracement slide. The Fed-BoJ policy divergence continues to lend some support amid renewed USD buying. Intervention fears might cap the upside ahead of this week’s important releases from the US. (FXStreet) EUR/JPY is aiming to jump above 157.80 as ECB is expected to tighten policy further. Inflation in Eurozone is turning critical as the headline and core CPI is showing wide deviation. BoJ Himino conveyed that signs of cost-push inflation are easing and demand-driven inflation is taking some place. (FXStreet) Euro kicks in the week on the back foot on US Dollar recovery. Stocks in Europe open the week within tight ranges. EUR/USD slips back below the 1.0900 support on Monday. Final Manufacturing PMIs take centre stage later in the session. in the limelight in NA trading hours. (FXStreet) The index trades with small gains above the 103.00 mark. US markets will be closed due to Independence Day on Tuesday. US ISM Manufacturing PMI takes centre stage later on Monday. The greenback, in terms of the USD Index (DXY), starts the week on the positive foot and looks to reclaim the 103.00 hurdle in convincing fashion on Monday. (FXStreet) EUR/GBP remains pressured, mostly inactive, after two-day downtrend amid sluggish markets. Trader’s wait for Eurozone/UK PMIs for June also restrict immediate EUR/GBP moves. Mixed EU data raise doubts on hawkish ECB talks but fears of UK recession prod EUR/GBP bulls. Hoes of easing British employment crunch, challenges for ECB rate hikes keep sellers hopeful. (FXStreet) USD/CAD struggles for clear directions between 50-EMA and 12-day-old resistance line. Previous resistance line, 200-EMA acts as additional trading filters. Bearish MACD signals challenge recovery from yearly low, lures Loonie pair sellers. (FXStreet) USD/CHF is struggling in keeping its auction above 0.8920 amid weakness in the USD Index. S&P500 futures are showing choppy moves as investors are getting cautious ahead of the quarterly result season. US Manufacturing PMI is expected to continue its seven months contraction further. (FXStreet) AUD/USD oscillates in a narrow trading band through the early European session on Monday. A goodish pickup in the USD demand is seen as a key factor acting as a headwind for the pair. The downside seems limited ahead of the RBA on Tuesday and this week’s key US macro data. (FXStreet) NZD/USD has sensed marginal selling pressure around a three-day high at 0.6160. Investors are awaiting the release of the US ISM Manufacturing PMI data for further guidance. NZD/USD is approaching the downward-sloping trendline plotted from June 15 high at 0.6250. (FXStreet) USD/IDR is looking for stability above 15,000 amid a decline in Indonesian inflation. US equities were heavily bought on Friday as the street is anticipating that the Fed might go with only one interest rate hike. US Manufacturing PMI is expected to continue its contracting spell due to higher interest rates from the Fed. (FXStreet) USD/INR prints the biggest daily loss on a day, so far, since early June on breaking the key support. India reports the biggest FPI inflow of 2023 in June, up for the fourth consecutive month. Firmer Oil price, mixed sentiment and softer US inflation gauge prod Indian Rupee traders. FOMC Minutes, US NFP will be crucial for clear directions. (FXStreet) Prices of the barrel of WTI reclaimed the key $70.00 region on Friday, extending the recovery for the third straight session at the same time. The improvement in prices, however, was amidst shrinking open interest, removing some strength from the continuation of the rebound in the very near term. Immediately to the upside still emerges the weekly high around $72.70 (June 21). (FXStreet) Friday’s uptick in prices of the natural gas was amidst diminishing open interest, which hints at the idea that further upside appears out of favour in the very near term. In the meantime, the $3.00 region per MMBtu (March tops) continues to offer tough resistance to occasional bullish moves in the commodity. (FXStreet) Friday’s marked uptick in gold prices was on the back of rising open interest and a strong drop in volume. That said, while further gains appear on the cards in the very near term, a sustained bounce seems not favoured. On the downside, the yellow metal faces immediate support around the $1890 region per troy ounce. (FXStreet) Silver struggles to preserve its modest intraday gains to a four-day peak. Acceptance above the 100-hour SMA favours bulls and should limit losses. A convincing break below the $22.50 area could negate the positive bias. (FXStreet) Source: FXStreet Disclaimer: This information does not represent a BUY or SELL recommendation on the stock covered. Traders and Investors are encouraged to do their own analysis on stocks instead of blindly following any Trading calls raised by various parties on the Internet.

2023-06-30 09:09

Market Update - 30 June 2023 USD/JPY keeps running the play of refreshing yearly top and then retreating. Japan inflation, Industrial Production ease, Unemployment Rate remains intact. Japanese officials keep suggesting market intervention to defend Yen at multi-month top. Hawkish Fed versus dovish BoJ play favors pair buyers ahead of US Core PCE Price Index. (FXStreet) GBP/USD retreats from intraday high, extends bounce off fortnight low while snapping two-day downtrend. Final reading of UK Q1 GDP confirms 0.1% QoQ, 0.2% YoY figures. Hawkish Fed statements jostle with mixed BoE talks to keep Cable bears hopeful. US Dollar pares weekly gains ahead of Fed’s preferred inflation gauge amid cautious optimism. (FXStreet) EUR/USD takes offers to refresh weekly low, mildly offered of late. Germany’s Retail Sales rose but Import Price Index appears mixed for May. US Dollar regains upside momentum as markets become active after lackluster Asian session. Eurozone, HICP, CPI and US Core PCE Price Index will be crucial considering hawkish ECB, Fed. (FXStreet) USD/INR edges lower on Friday and extends the overnight pullback from a two-week high. The technical setup still favours bearish traders and supports prospects for additional losses. Some follow-through buying beyond the 82.25 area is needed to negate the negative outlook. (FXStreet) AUD/USD clings to mild gains within two-week-old bearish channel. Below 50.0 RSI levels suggest corrective bounce but descending trend channel, sustained trading below 200-SMA favor Aussie sellers. Intraday sellers may wait for 0.6600 breakdown for fresh entry. (FXStreet) USD/CAD remains confined in a narrow trading range through the Asian session on Friday. An uptick in Crude Oil prices underpins the Loonie and acts as a headwind amid a softer USD. Investors now look forward to the US Core PCE Price Index for a fresh directional impetus. (FXStreet) USD/CHF pares weekly gains amid pre-data anxiety, stays above the key support lines. 200-SMA, monthly resistance line challenge buyers even as MACD prints bullish signals. Sellers need validation from 0.8900 to retake control. Swiss Real Retail Sales, US Core PCE Price Index eyed for clear directions. (FXStreet) WTI crude oil grinds higher around weekly top amid dicey markets. Mixed China data weigh on market’s cautious optimism as demand depletion looms. Firmer US Dollar, hawkish central banks keep energy bears hopeful. OPEC+ seminar in Vienna, US NFP eyed for clear directions. (FXStreet) Gold Price remains dicey as bears attack the key support while seeking confirmation of hawkish Fed bias. Fed’s preferred inflation, FOMC Minutes and NFP will be crucial to watch for clear XAU/USD directions. US-China headlines, central bankers’ speeches may entertain the Gold sellers. (FXStreet) Source: FXStreet Disclaimer: This information does not represent a BUY or SELL recommendation on the stock covered. Traders and Investors are encouraged to do their own analysis on stocks instead of blindly following any Trading calls raised by various parties on the Internet.

2023-06-28 10:12

Market Update - 28 June 2023 GBP/USD remains on the back foot amid market’s cautious mood ahead of key speeches from BoE, Fed leaders. UK two-year Gilts jump to 15-year high, markets place 20% bets on 6.5% BoE rate peak. Upbeat US data, fears emanating from China allow US Dollar to consolidate weekly gains. Fed’s Powell has a tough task convincing bulls than BoE’s Bailey but British recession may lure Cable bears. (FXStreet) GBP/JPY has corrected to near 183.00 as investors are awaiting the speech from BoE Bailey. Hawkish interest rate guidance is anticipated from Andrew Bailey as UK’s May inflation turned out highly persistent. Broader weakness in the Japanese Yen has propelled chances of a stealth intervention. (FXStreet) EUR/GBP consolidates weekly gains ahead of key central bankers’ speeches. Bullish chart formation, upbeat MACD signals keep pair buyers hopeful. 200-SMA adds to the upside filters as ECB versus BoE play appears less interesting. (FXStreet) AUD/USD retreats towards three-week low marked after Aussie inflation release amid dicey markets. Australia Monthly CPI flags concerns about RBA’s rate hike pause while US data underpins hawkish Fed bets. Lack of economic/political clarity about Australia’s biggest customer China also weighs on risk-barometer pair. Fed Chair Jerome Powell’s speech at ECB Forum will be crucial for clear directions. (FXStreet) The USD Index (DXY), which tracks the greenback vs. a bundle of its main rival currencies, managed to set aside part of the weekly bearish note and advance to the 102.70 region on Wednesday. (FXStreet) USD/CAD has refreshed its weekly high at 1.3230 as BoC might skip the interest rate hike ahead. The US Dollar Index has sensed fragile barricades around 102.70 as the focus is on the speech from Fed Powell. USD/CAD has delivered a breakout of the Bearish Wedge chart pattern, which indicates a bullish reversal. (FXStreet) USD/JPY reverses modest intraday slide and climbs to a fresh YTD peak on Wednesday. The Fed-BoJ policy divergence continues to act as a tailwind despite intervention fears. Traders look to Fed Chair Powell and BoJ Governor Ueda for some meaningful impetus. (FXStreet) EUR/JPY reverses modest intraday dip and climbs back closer to a nearly 15-year peak. Hawkish remarks by ECB officials underpin the shared currency and lend some support. Intervention fears hold back bulls from placing aggressive bets and cap gains the upside. (FXStreet) Gold price is declining towards the $1,900.00 support ahead of Fed Powell’s speech. Investors are cautious that hawkish remarks from Jerome Powell would propel fears of a recession in the US economy. Gold price has tumbled to near the 61.8% Fibonacci retracement at $1,909.00. (FXStreet) Silver meets with some supply in the vicinity of the $23.00 mark, albeit lacks follow-through. The setup seems tilted in favour of bearish traders and supports prospects for further losses. A move beyond the 200-hour SMA/50% Fibo. confluence might offset the negative outlook. (FXStreet) Source: FXStreet Disclaimer: This information does not represent a BUY or SELL recommendation on the stock covered. Traders and Investors are encouraged to do their own analysis on stocks instead of blindly following any Trading calls raised by various parties on the Internet.

2023-06-27 08:59

Market Update - 27 June 2023 USD/JPY is making efforts for a range expansion as BoJ to remain dovish. S&P500 futures have added significant gains as investors are digesting fears associated with expectations of higher interest rates from the Fed. The US Dollar Index is oscillating around the immediate support of 102.60 ahead of US Durable Goods Orders. (FXStreet) EUR/USD grinds near intraday high, extends week-start recovery ahead of key catalysts. Risk-on mood, China market intervention weigh on US Dollar and favor Euro buyers. Hawkish comments from ECB’s Kazaks, Bundesbank’s optimism can help Lagarde to defend rate hikes. US Durable Goods Orders, CB Consumer Confidence also eyed for clear directions. (FXStreet) GBP/USD is showing signs of volatility contraction despite the risk-on mood. Cable’s upside is restricted as UK’s high inflation has dampened its outlook while the downside is supported due to USD Index’s correction. BoE Bailey is expected to remain hawkish as UK’s core inflation has printed a fresh high of 7.1%. (FXStreet) EUR/JPY regains upside momentum around the highest levels since September 2008, ECB President Christine Lagarde speech eyed. Rising trend channel since early March sustained trading below immediate DMA lures buyers. Pullback remains elusive until the quote breaks 151.00 support confluence. Overbought RSI conditions may trigger pullback from 157.40 hurdle, if not then 160.00 will be in the spotlight. (FXStreet) AUD/USD is aiming to extend its recovery above 0.6720 as the market sentiment is upbeat. Investors are hoping that the Fed could pause its policy-tightening spell after hiking interest rates in July. Australia’s monthly inflation is seen softening to 6.1% from the prior release of 6.8%. (FXStreet) The index loses further momentum and tests 102.50. US yields extend the decline in the short end of the curve. CB Consumer Confidence, Durable Goods Orders next on tap. The greenback extends the pessimism seen at the beginning of the week and drops to 2-day lows in the 102.50 when tracked by the USD Index (DXY) on turnaround Tuesday. (FXStreet) GBP/JPY touches a fresh multi-year top on Tuesday, albeit lacks follow-through. The BoJ’s dovish stance, a positive risk tone undermine the JPY and lends support. Looming recession risks act as a headwind for the GBP and cap gains for the cross. (FXStreet) EUR/GBP has jumped to near 0.8600 after hawkish commentary from ECB Lagarde at the ECB forum of Central Banking. ECB Kazaks cleared that there are strong risks of persistence in inflation and that expectations of rate cuts in early 2024 are wrong. The Pound Sterling is facing pressure as elevated inflation in the UK is threatening their economic outlook. (FXStreet) USD/CAD drifts lower for the second straight day and is pressured by a combination of actors. An uptick in Oil prices underpins the Loonie and exerts pressure amid a modest USD weakness. Investors now look to the Canadian CPI and the US macro data for some meaningful impetus. (FXStreet) USD/CHF is trading back and forth in a limited range as investors are mixed about Fed’s monetary outlook. S&P500 futures have surrendered some gains, however, the overall market mood is quite bullish. USD/CHF is making efforts for keeping itself above the 61.8% Fibonacci retracement at 0.8946. (FXStreet) USD/INR prints the first daily loss in three, stays pressured around intraday low of late. China induces Asia-Pacific markets’ risk-on mood and weighs on US Dollar. Firmer Oil Price, anxiety ahead of ECB Forum and US data prod Indian Rupee buyers. (FXStreet) Gold price is anticipating a range expansion amid a further decline in the US Dollar Index. Mixed responses from Fed policymakers have kept investors on their toes. Gold price is auctioning in a Symmetrical Triangle chart pattern, which indicates a decline in volatility. (FXStreet) Source: FXStreet Disclaimer: This information does not represent a BUY or SELL recommendation on the stock covered. Traders and Investors are encouraged to do their own analysis on stocks instead of blindly following any Trading calls raised by various parties on the Internet.