|Day's range||1.108 - 1.111|
|52-week range||1.1028 - 1.1815|
It’s a busy day ahead as the markets react further to the FOMC meeting minutes. Chatter from Jackson Hole may overshadow the stats…
The Euro has gone back and forth during the trading session on Wednesday, as we continue to hang around the 1.11 EUR level, which of course is an area that has attracted a lot of attention recently, as we await the Federal Reserve Meeting Minutes, and then of course the speech from Jerome Powell on Friday.
Based on the early price action and the current price at 1.1104, the direction of the EUR/USD on Wednesday is likely to be determined by trader reaction to the uptrending Gann angle at 1.1097.
EUR/USD caught a bid from support on Tuesday to end a 5-day consecutive decline. Volatility is expected in the session ahead as the Fed will release minutes from their latest meeting.
Apologies for the essay, but I was writing to a client about things that keep me up at night, other than an 11-month old, and it got a little out of hand. The central theme is that the big issue is that the global economy is bearing the impact of nine Fed hikes and $730b in balance sheet normalisation.
The S&P500; fell Tuesday, down 0.8%, and U.S. 10-year Treasury yields fell 5bps to 1.55%. The market seems to have paid little attention to the U.S. president indicating he would explore” various tax reductions” to help stimulate growth, for example. Instead, investors succumbed to apprehension in rates and trade talks.
Investing.com - The U.S. dollar was hovering just below three-week highs in subdued trade on Wednesday as investors looked ahead to the minutes of the Federal Reserve’s July meeting later in the day for fresh clues on the monetary policy outlook.
The upward-facing USD/CHF pair was aiming to breach above the overhead red Ichimoku Clouds. After displaying three consecutive positive sessions in a row, the Japanese Yen pair was attempting to breach above the 106.742 resistance.
The Euro is staging a modest recovery against the Dollar despite Italy’s Prime Minister Guiseppe Conte confirming that he will resign ahead of a no-confidence vote.
The Euro fell again during the trading session on Tuesday, as we continue to see a lot of selling pressure. At this point, I think it makes sense that you can’t buy this pair, because quite frankly not only do we have very negative technical analysis, we have no fundamental reason to think things are changing anytime soon either.
Based on the early price action and the current price at 1.1077, the direction of the EUR/USD the rest of the session is likely to be determined by trader reaction to the uptrending Gann angle at 1.1092.
Investing.com - The euro recovered from earlier lows after Italy’s Prime Minister Giuseppe Conte said he is resigning ahead of no-confidence vote, putting the future of the Italian government in jeopardy.
A recovery attempt on Monday was short-lived as sellers took the exchange rate into negative territory late in the day to close for a fifth consecutive daily loss.
The RBA looks set to hold on rates near-term. For the day ahead, a lack of stats will leave the markets exposed to any trade war chatter.
Fiber continued to slip for the fifth consecutive session today. The Ninja continued to stay within the lower vicinity of the Bollinger Bands, sustaining adverse price actions throughout the day.
The Euro tried to rally during the trading session on Monday but has continue to find resistance just above. By selling off after trying to rally, it shows just how soft the Euro truly is.
Based on the early price action, the direction of the EUR/USD the rest of the session is likely to be determined by trader reaction to the short-term Fibonacci level at 1.1112.
The European currency got under significant pressure last week and reminded market players that European problems may be much more complicated than meets the eye.
After Friday’s close, Traders were not putting much weight behind current price action thinking it was little more than profit-taking going through from a variety of overextended risk-off bets or as we call it on the desk “a predictable short-covering rally into the weekend.” But risk assets have opened up on stable footings this morning on the back of positive trade comments from President Trump as investors continue to view each sliver of trade optimism in an extremely positive light. This, despite the domino effect from Argentina plus China and the Eurozone economic woes with triggering the U.S. curve inversion panicking investors while sounding the recessionary alarm bells.
Markets are growing at the start of trading on Monday, supported by policy easing and hopes for stimulus. The People’s Bank of China announced an interest rate reform, which should ease credit conditions for companies.
EUR/USD was under pressure last week and closed on Friday near yearly lows. The pair is showing some signs of a recovery after catching a bid from support.