7 June, 2017
The markets seem to be especially jittery today with the announcement of Banco Polpular Espanol SA taking over Santanders SA after Europe’s regulators feared of its failure. To compound issues, yesterday Germany announced a 7.4% slide of factory orders - of course this could also be considered a slight hiccup in an otherwise long-term trend of growth.
Trading on Tuesday ended with a decrease of the US dollar opposite other major currencies.
Due to the lack of macroeconomic data the markets are moving on limited information regarding the US labor market and speculation that the FOMC might not raise interest rates. Today’s economic calendar lacks significant releases that could affect currency pairs involving the dollar.
Trading on Tuesday saw the EUR/USD gain 0.20%, bringing the pair’s price up to 1.1276 at market closing.
GBP/USD moved nominally at 0.05% and opened today at 1.2913. It seems that the market is following the same pattern it did before the Brexit Referendum and enacting of Article 50, with a skeptical and uneasy holding of positions. Of course, historically prices dropped sharply with the outcome of the aforementioned events.
USD/JPY slipped slightly to 109.42 or -0.95%.
AUD/USD saw a slight increase yesterday and is expected by many to continue to grow today. Australian GDP exceeding expectations largely bolstered this rise.
Gold garnished a 1.12% raise and closed yesterday at 1293.72.
Oil prices continued its upward swing, Brent going up by 0.54% to 50.00 WTI increased by 1.11% and is pushing towards the resistance line at 48.41.
American and European stock markets finished in the red. The Dow Jones is trading at 21136.5 or -0.20%. NQ slipped slightly by 0.30% and closed at 5857.4. S&P also fell, to 0.17% overall closing at 2429.1.
The FTSE fell to 7522.2 by 0.21%. The CAC also slipped by 0.74% and to 5267.2. The DAX saw a bit of a drop its price finally closing at 12666.5.
The H4 the price was unable to consolidate below 1.1400 (or see a 23.6% correction) of course this doesn’t mean that the currency pair won’t see a correction soon. If the pair surpasses 1.1400 near the intersection with the limit of the upper fan...
Compounding the effect was a slip in retail sales fell continuing last month’s trend. Estimates gauge the possibility of another rate hike at under 50%., of course this is a disparate position from FOMC’s plan to commit 4 increases by 2018...
The currency strengthened opposite the JPY and EUR, but slipped opposite AUD and GBP. Janet Yellen head of the FRS went on record in front of Congress pointing out the US economy’s positive trend which in turn will affect the Fed’s interest rate stance...
The US Dollar floundered against most other FOREX currencies yesterday. The only currency that fared worse than the dollar (resulted in the USD strengthening against it) was the EUR...
This week, the dollar is starting off on a strong note as US interest rates continue their increase from Friday. For example, 10-year yields...
Our four-hour chart is showing Tenkan-sen under the Kijun-sen, both while being horizontal. Chikou Span confirmative line bisects the chart from below, indicating a descending cloud reversing into ascension. XAU seems to be trading over both the Tenkan-sen and Kijun-sen...
Mario Draghi shook up markets on Tuesday by announcing victory against deflation and stating that policy needs to gradually normalize...
It seems that investors confidence in commodity currencies were renewed as their prices grew while the safe-havens...
The four-hour chart above clearly shows the Tenkan-sen line crossing the Kijun-sen from the bottom of the chart, we also see the blue line moving downwards, while the red is holding horizontally. The Chikou Span confirmative line is moving towards the bottom of the chart, indicating a descending cloud...