Will there be yet more Hawkish Talk from the Fed

12 September, 2016

The Boston Fed Chair Rosengren made a hawkish statement last Friday, mentioning that if rates remain at a low level for long term, will pose risks of overheat to the economy and may result in another recession.

The hawkish statement boosted the market expectations on a September rate hike, and pushed the dollar index up. The major resistance level at 95.00 was broken, followed by 95.20. The bull further tested the next resistance levels at 95.40 and 95.60 then pulled back. A new downtrend line resistance has been formed.

The resistance level is at 95.40, followed by 95.48 and 95.60.
The support line is at 95.20, followed by 95.00 and 94.84.

Be aware of the Fed officials’ speech today as it may influence the strength of the dollar.

EURUSD tested the major downtrend resistance and pulled back on 8th September. The support line at 1.1240 was broken after the hawkish statement, tested the significant support level at 1.1200 then rebounded.

The selling pressure in the price zone between 1.1270 and 1.1300 is heavy.
The resistance level is at 1.1240, followed by 1.1270 and 1.1300.
The support line is at 1.1215, followed by 1.1200 and 1.1167.

Be aware of the Fed officials’ speech today as it may influence the trend of EURUSD.

The Boston Fed’s hawkish statement helped USDCAD surge 1.63% from 9th September to 12th September. The significant resistance level at 1.3000 was broken, followed by 1.3050.

The price is currently testing the next significant resistance zone between 1.3100, which and the major downtrend line resistance at 1.3118. The selling pressure in this price zone is heavy.

In addition, the 4 hourly Stochastic Oscillator is around 90 and the RSI indicator is above 70, suggesting a pullback.

The resistance level is at 1.3118, followed by 1.3140 and 1.3190.
The support line is at 1.3050, followed by 1.3000 and 1.2940.

Be aware of the Fed officials’ speech today as it may influence the trend of USDCAD.

The FTSE 100 index plunged last Friday, broke the downside major uptrend line support. The 8 EMA crossed over 20 EMA. The trend has turned bearish.

Yet the 4 hourly Stochastic Oscillator is below 10, suggesting a rebound.

The resistance level is at 6700, followed by 6750 and 6800.
The support line is at 6650, followed by 6630 and 6600.


Source link  
USD weakens as Supreme Court rules

Markets have maintained the themes from yesterday overnight with the USD showing weakness on the back of poor Philly Fed data. The US Supreme Court...

OPEC meetings in the spotlight today

OPEC, JMMC meetings are taking place today in Vienna with agreement on production levels high on the agenda. This can impact on prices in Oil markets...

Markets are taking a breath right now

Whether this turns into a broader rally or the selloff is resumed remains to be seen. Stock markets are higher after support was found in the European...


Trump wants a further $200 Billion of tariffs

While there was risk yesterday from Central Bankers very little was said to move the market. Instead the Trade War narrative boiled up again with the latest...

Oil down over 4% from Friday's open

OPEC and non- OPEC members are meeting in Vienna on Thursday for the start of a 3 day summit where production cuts are on the agenda...

ECB sparks huge moves in the Euro

The ECB dominated markets yesterday as they shifted their policy stance and signalled their exit from QE. The Bank is looking to reduce its bond buying by...


FOMC meeting results in a weaker dollar

The FOMC raised rates by 0.25 bps yesterday evening to a 1.75% to 2.00% target range in a hawkish move and reaffirmed its expected forecast of 2 more...

Progress made between Trump & Kim

US President Trump and North Korean Leader Kin Jong Un met in Singapore overnight. Progress was made between the two leaders during this first meeting...

Poor British statistics presses on sterling

Britain's statistics continue to indicate a slowdown in the UK economy. Today's data showed a decline in industrial production by 0.8% during April against...


In the past 24 hours Bitcoin has lost -7.98% and reached $6190.94. Open your trading account with the best cryptocurrency brokers on special terms today.

In the past 7 days the EUR/USD pair has gained 0% and is now at $1.1605. Start trading and making money on Forex today.

In the past 7 days Ethereum has lost -4.64% and is now at $476.133. Have the most popular cryptocurrencies compared online 24/7.


Top Brokers offering Daily Forex Market Reviews


Forex Currencies Forecasts


Top 10 Forex Brokers 2018

# Broker Review
1easyMarketseasyMarkets88%
2FXTMFXTM87%
3HYCMHYCM85%
4FIBO GroupFIBO Group80%
5FxProFxPro77%
6FXCMFXCM74%
7Alfa-ForexAlfa-Forex72%
8HotForexHotForex71%
9FP MarketsFP Markets70%
10XMXM69%
  


Share: