AUDUSD’s near 11% fall from late September highs at 0.6942 to the December 31st low at 0.6179 has been an extraordinary, almost one way move, where a series of broader based AUD negative factors and USD positive factors combined to create a perfect downside storm.
Those negative AUD factors include a slowdown in the economy of key trading partner China, the...
After posting a gain of around 23%, 2024 was undoubtably another strong performance for the US 500 index. However, hopes of that much discussed ‘Santa Rally’ failed to materialise. Undermined by hawkish comments from Federal Reserve (Fed) Chairman Jerome Powell on December 18th at the press conference following another 25bps (0.25%) interest rate cut.
His...
In previous posts within this series, we have covered, Bollinger Bands and moving averages, where we’ve shown how each technique can help determine the trending condition of an asset. If you haven’t already, please look back at our timeline to view these posts.
Now we want to look at another trending indicator, which can help to provide a quick and easy read of...
GBPUSD – Can The Rollercoaster Price Action Continue?
What a difference a day can make to market expectations and positioning. GBPUSD was riding high around 1.2720 late Wednesday afternoon on the back of stronger UK wage growth and inflation (CPI) readings from earlier in the week, creating some uncertainty about what its next directional move maybe.
Then,...
Those of you that follow USDJPY and yen crosses in general, know how quickly they can change direction within a short time frame, especially when there are big event drivers like the Federal Reserve (Fed) and Bank of Japan (BoJ) interest rate decisions scheduled within 12 hours of each other.
That is the case tonight, with the Fed interest rate decision released...
The US 100 has been on a roll over the last 2 weeks adding around 800 points or about 3.5% since its opening level of 20,950 on Monday December 2nd.
This week however, the US 100’s December rally faces a tough test on Wednesday in the form of the Federal Reserve Interest Rate Decision (1900 GMT) and the Press Conference led by Chairman Jerome Powell (1930 GMT)....
In a past post, we looked at how you can possibly use Bollinger bands within your trading. So, if you haven’t already read it and would like to, please look at our past posts for details.
Today, we want to cover moving averages, which is another trending indicator. Trending indicators are important because they allow us to confirm activity currently being seen...
It’s only been just under 3 weeks since EURUSD hit two year lows at 1.0331 on November 22nd yet it seems like a lot has happened in that short period, including EURUSD rebounding quite impressively to touch 1.0630 on Friday 6th December.
Now however, that short squeeze from the lows has cooled as the focus shifts to on-going political problems in France and the...
Oil fell 1.7% on Friday to close at 2 week lows of 67.21, as traders digested OPEC+’s decision from the day before, to postpone planned production increases from January to April 2025.
While this OPEC+ move was widely seen as a positive attempt to address the current expected Oil surplus moving into next year, it seems the initial assessment was that it’s...
Growth stocks within the US 100 index have sprung back into life this week, after a period of under performance, when compared to industrials and small cap stocks. The US 100 has added around 3% over the previous 4 trading days, supported by a rally in megacap stocks, led by Nvidia, after Fed Chairman Jerome Powell talked positively about the current state of the...
GBPUSD has experienced some big moves over previous weeks, which have seen it trade from a September 20th high of 1.3433 to a low of 1.2487 on November 22nd.
Recently, GBP has been negatively impacted by a slowdown in economic growth in the third quarter, a disappointing Autumn budget and a clear-out of weak long positioning. This has all been at the same...
The reaction in markets is what interests the most, and on the day, despite US Treasuries finding form, we’ve seen broad USD strength, the S&P500 has pushed to its 55th new all-time high in 2024, while gold and crude are largely unchanged. We also see sizeable dispersions in the daily returns in the crypto space, with XRP and Chainlink arguable the standout plays,...
After closing out the best month of the year so far with a 5.6% gain in November, the US 500 index faces a sterner test in the week ahead. There are several key pieces of tier 1 US economic data and a moderated discussion, which includes the Chairman of the Federal Reserve, Jerome Powell, to consider.
Backdrop for the Week Ahead:
In a sleepy end to...
Few like investing in Europe at present, and while France remains constrained by political risk, the German equity index (GER40) is doing everything right from a technical and price action perspective, and positioning for further upside seems the play.
Having held the 19k support level throughout November, the bulls have built a solid platform to progress,...
The US Thanksgiving holiday usually marks a quieter period for trading, as US financial markets are closed on Thursday and US traders often take the Friday off as a holiday to benefit from a long weekend. This can see both lower volume and volatility, so we thought we’d take this time to outline one of our favourite technical indicators, called Bollinger Bands. ...
Despite the crosscurrents of tariffs, ceasefire agreements and an impending OPEC+ meeting, a certain calm descends over the crude markets and stability is the order of play. The Brent futures price looks quietly content in a $75 to $71 range, and I see these levels as defining the near-term directional risk - where a breakout of either level would offer some...
The initial reaction to the decisive November 5th Donald Trump Presidential election victory led to selling of long gold positions which were being held as a hedge against a delayed or contested result. This selling was strong enough to prompt a more prolonged setback, as over-extended upside conditions were unwound.
The decline saw prices drop by $253 in...
The weekend decision by US President Joe Biden’s administration to allow Ukrainian forces to use Western supplied long-range missiles to strike Russia, surprised markets and pushed the Ukraine war and its knock on impact for Europe, European indices and the Euro back to the forefront of traders minds this week.
Ukrainian forces didn’t wait long to take their...
