EUR/USD hit 1.20 on the last trading day before bouncing off the strong psychological resistance level. This is due to further dollar weakness alongside investors pricing in aggressive quantitative easing from the Fed outpacing the European Central bank. The EUR/USD is up around 2.3% this month.
EUR/USD will be boosted once a Vaccine is passed
Moderna is...
The oil markets have been seeing the light as of late. Oil prices have reached an eight-month high, with WTI and Brent Crude trading around $45 and $48. This is from the recent positive vaccine news, alongside better than expected EIA data and geopolitical supply-side tensions.
Oil supply and demand fundamentals are getting brighter
Peter McNally, global head...
Gold continues to fall on positive vaccine news, as both Pfizer and Moderna reveal trials that show 90%+ efficacy vaccines against the Coronavirus.
Gold breaking key technical factors
Gold breached a fundamental Fib level at $1,835, looking for a next internal support/resistance level at $1,800 and the 50% retracement level at $1,761.
Gold flowing out of...
There’s a saying the markets have adopted over time: “Buy the rumor, sell the news.” And the cryptocurrency market is no exception. Bitcoin has recently propelled itself to $18,000 – with minimal coverage on the news if we compared its coverage in 2019. However, another rule that I personally go by – If your mum is talking about it, it’s a strong signal to sell....
Two main fundamental factors depressed the GBPUSD for the past couple of years—Brexit, and now recently, the Coronavirus.
The trade is relatively simple – once there is a vaccine for the Coronavirus, alongside certainty on Brexit talks, a good case can be made for the pair to reach its Pre Brexit/Pre Coronavirus levels around 1.45
Pound needs to meet two...
Dollar is going one way once the vaccine is out
The dollar has fallen from grace from the peak of the Coronavirus. The dollar index is down 10% from its yearly high in March, where traders and investors went to cash.
However, with two strong positive results from two vaccine makers Pfizer and Moderns with their 90% efficacy with their vaccine trial, solid news on...
Oil is currently hovering at two-month highs. Brent, the global benchmark of Oil, now sits comfortably above $44 a barrel, approaching a strong resistance area of $45 and $46 a barrel.
Oil has retested this resistance level multiple times in the past couple of months, with price rejecting the area firmly due to weak fundamentals.
Oil and it’s past weak...
Are we going to see the NZD/USD at 0.74? With Joe Biden most likely to be the next President, many predict a de-dollarization to occur as the opportunity cost of investing in the United States is expected to decrease, placing pressure on the greenback downwards.
NZD/USD – Countries are polar opposites
This pair is interesting, as both countries are on the...
When all is well and good, Joe Biden is most likely to be the 50th President of the United States. We can finally put the election behind us and focus on the recovery of the economy stemming from the effects of the Coronavirus. Here is your week ahead.
Monday, 9th and Tuesday 10th November – Bank of England’s Governor Andrew Bailey Speech
The elections drew our...
Gold has rallied as the election has slowly been unfolding. Currently, Gold has been hovering at $1,950. However, is this because it’s a safe haven? Or is it because Gold has a “risk-on” sentiment associated with it?
Barrick Gold seems to think it’s the former. The company, which Warren Buffet recently invested $600 Million in, recorded an almost threefold...
As predicted by many analysts, the Reserve Bank of Australia has slashed rates from 0.25% to 0.1%, a 15-point cut. Furthermore, they’ve decided to buy back over $100 Billion government bonds of maturities around 5 to 10 years over the next six months.
The Australian Dollar again, the U.S dollar was down slightly at 0.44%. The ASX 200 was up around 1.88% on the...
Week ahead – United States Election!
With over 93 Million US Citizens voting early, surpassing two-thirds of all 2016 and consisting of 43% of registered voters, the United States election is finally two days away this week ahead. Many regard this as one of the most important Presidential Elections in history, possibly changing society’s fabric in the United...
Earlier this year, I talked about a “perfect portfolio idea,” which included buying the NASDAQ and Gold. The basic idea was based on a positive correlation between the two assets on an uptrend, with Gold staying relatively flat if the NASDAQ fell. Gold fell alongside equities today, falling around 1.67% to $1,877 an ounce.
However, the correlation has broken down...
It is no surprise that Oil has had a rough couple of patches this year, with the Coronavirus shattering oil demand. What will it take for Oil to push back past $45?
There has only been a couple of times where Oil has made strong moves to the upside, notably today and a couple of weeks ago when hurricanes approached the Gulf coast, forcing oil rigs to shut down...
Stimulus, or lack of, has been the talk of the markets recently. The main indexes are showing its most substantial decline since the start of September. Dow Jones, the worst performer of the US session, is down around 3.2%. At the same time, the S&P 500 and NASDAQ are down around 3%, respectively.
With the last full week away from the election, alongside stimulus...
Gold is looking for an excuse to go higher…
…And that excuse is the devaluation of the dollar. Gold is not immune to fundamental events. However, recently has been sideways for the most part of two months.
Gold and the election
A theme revolving around Biden’s win is the dollar’s devaluation, with many banks calling a drop in the dollar if Biden is elected....
We are 13 days away from the election. Many polls state that Biden is winning the votes – however that’s what happened in the 2016 election. With big banks citing a decline in the Dollar over a Biden win, what will happen to commodity currencies such as the Australian Dollar and the Canadian Dollar against the US Dollar?
The Australian Dollar against the US...
Elimination vs. suppression – What’s the difference?
In short, Elimination and Suppression can be categorized by “Hard and Fast” and “Low and Slow.” Elimination is akin to ripping the band-aid off, in which one hopes the intense pain is short and quick and can be over and done with. Suppression is akin to slowly ripping off the band-aid in hopes of spreading out...
