Market sentiment is leaning towards three more rate cuts from the European Central Bank (ECB) this year, while economists are more cautious, expecting just two. Should the economists be correct, 2023’s high for the EUR/USD pair could be back in play. The market's confidence in ECB rate cuts outpaces that in the Federal Reserve. The Fed, facing closer scrutiny,...
Traders will next hear from Federal Reserve Chair Jerome Powell during his highly anticipated address at the Jackson Hole Economic Symposium. The key question hanging over the market: Will Powell use this speech to pave the way for a potential interest rate cut in September? Scott Helfstein, head of investment strategy at Global X, argues that Powell should take...
The threat on the long term chart is unpleasant for GBP, 1.15xx and 1.05xx have been set up. Just at the right moment, because BOE cannot now recapture the short-end of the rate curve with inflation still to reach his goal. To open things up, a simple test below 1.175x is all that is needed with Jackson to unlock the flow; a textbook swing ever since we saw...
Sequences and corrections illustrating waves for those who are not holding any live positions from below the long-term swing is becoming increasingly expensive, invalidation is clearly defined below the 'B' at 101.4x, while taking October 2018 highs 'D' should be enough to "trip the fuse" and trigger momentum towards 125 and 149.3x a multi-decade ABC...
Here in this position, it is clear that intensive work has gone into supporting the entire global recovery. Moreover, we could already count the resilience in credit as ideal results from the covid siege. But now I want to focus on the US and small caps in particular are getting to work and the advance is leading to a more palpable exhaustion leg and opening...
The positional struggle, or put simple the slow siege from sellers back to the base is finally exhausting. Powell has attacked with a move several times the strength of the surrounding defence. USD will now maintain the pressure and birth of fresh strength will unlock the next leg higher in USDMXN. Since 2018 we have been tracking the explosion higher. The...