Watching yen crosses

October 21, 2015

As I talked about yesterday, one of the factors that has been crushing FX volatility recently has been the removal of near-term rate move expectations, principally from the Fed, but also from other central banks. We’re going to have more indication on this over the next couple of days with the Bank of Canada decision today and the ECB tomorrow. Overnight, we’ve also seen the Reserve Bank of Australia strike a relatively bullish tone in their latest set of minutes, which gave some further legs to the Aussie rally. There are some residual thoughts of one further easing, but this is looking less likely at the present moment in time.

Looking to today’s decision from the BoC, recall that they have cut rates twice this year, being one of the first to cut rates during the global easing phase earlier in the year, anticipating the weakness in the economy in the first half of the year. There have been signs of recovery since then, so the focus today is more with the accompanying statement, rather than chance of a cut in rates, which looks pretty slim. The ECB was also sounding more confident yesterday in its latest Bank Lending Survey, which suggested that QE was having an effect. Today’s data releases are going to take a back seat in relation to the central bank events. EURJPY continues to look the most interesting cross for the time being, having bounced off trendline support for the past several days, which comes in at 135.34 today.

Publication source
FxPro information  FxPro reviews

January 20, 2017
Advance in inflation across the Eurozone
Euro holds gains against the US Dollar ahead of the ECB rate decision, as majority of economists expect no major updates in the policy, while investors will be taking stock of Draghi rhetoric’s to foresee the timeframe of the next big move by the policymakers...
January 20, 2017
US oil inventory draw gave a temporally support for oil prices
Oil prices remained in red figures after Wednesday's bearish acceleration. Brent a little changed on the day and remained prone to more weakness on Thursday. The benchmark stayed neutral around 54.50 dollars per barrel flirting with the level during the European session...
January 20, 2017
Pound gives up gains
The British pound has pulled back sharply today after making its biggest 1day gain in nearly 20 years’ yesterday, as fears once again crept in about where Brexit will lead to...

Orbex Rating
FIBO Group Rating
EXNESS Rating
Trade360 Rating
OANDA Rating
FxPro Rating

OptionBit Rating
Banc De Binary Rating
Anyoption Rating
24option Rating
99Binary Rating
TropicalTrade Rating