HotForex

HotForex

No policy changes or surprises are expected with today’s announcement (19:00 GMT) and Chair Powell’s press conference 30 minutes later. It will be interesting to see if, as expected, the voting is unanimous this time round. The FOMC members have expressed significant differences of opinion during 2019 as three rate cuts were implemented. The apparent paradox of...

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The markets are likely to consolidate around current levels given the recent volatility on the ebbs and flows of trade and tariff prospects. Hence Risk-On was back in play Wednesday as renewed trade hopes overshadowed another batch of weak headline data on ISM services and ADP private payrolls. Indications that a Phase One deal is likely to be struck before the...

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By Andria Pichidi -October 7, 2019 The growth outlook continues to deteriorate. While German officials await confirmation that the economy is not just experiencing a short correction that will leave capacity utilisation still at relatively high levels, markets are positioning for a prolonged and serious decline in German and Eurozone growth. Today’s data...

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AUDJPY declined as a risk appetite waned, with the good vibes of Friday failing to transfer to Asian markets today, where stock markets continued a sputtering price action (note, Chinese markets are still closed, will reopen tomorrow). A Bloomberg report cited Chinese officials saying that they are increasingly reluctant to agree to a broad trade deal,...

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The Dollar has given some of the gains seen yesterday, tracking the US 10-year Treasury yield, which has deflated by a few basis points after rising notably yesterday. The narrow trade-weighted USDIndex (DXY) has ebbed back to around 98.95, off from yesterday’s two-week peak at 99.05. EURUSD concurrently lifted to around 1.0960-64 from its lows around 1.0937-40,...

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Consumer confidence is expected to ease to 134.0 in September from 135.1 in August and an 8-month high of 135.8 in July, versus a 16-month low of 121.7 seen as recently as January, and an 18-year high of 137.9 in October. Market expectations are for a drop-back in the current conditions reading to 173.0 from a 19-year high of 177.2 in August. The expectations...

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The Euro has dropped along with Bund yields following disappointing preliminary PMI data out of the Eurozone. EURUSD, EURJPY and EURCHF have all hit 11-day lows . Eurozone PMI readings for September failed to show the expected improvement and instead showed a marked contraction in manufacturing activity and a sharp slowdown in services sector growth that left the...

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Political wranglings continue over the ruling of a Scottish court that Prime Minister Johnston’s “proroguing” (shutting down of Parliament for a period) was illegal, with opposition parties demanding that Parliament be reopened and with Johnson insisting that it won’t. The UK Supreme court will make a final ruling on Tuesday and its is suspected that the...

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XAGUSD, By Andria Pichidi -September 12, 2019 By completing its best month since 2016 due to the firmer US Dollar and due to the positive sentiment seen in the markets this week, Silver along with other commodities such as Palladium have been well supported at record highs after they have been corrected sharply in the first week of September. Commodity currencies...

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EURUSD has drifted below the 1.1050 mark so far today after rising during the latter part of last week, which left an 11-day high at 1.1084. Last Friday's August US jobs report generated some chop, although the combination of a softer than anticipated job gain but otherwise strong report left markets without a strong sense of direction. Fed Chair Powell left the...

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USDCAD has remained heavy after posting a 24-day low at 1.3191 yesterday, which extended the correction from the two-and-a-half month high that was printed on Tuesday at 1.3382. The recouperation in risk appetite in global markets, with the U.S. and China headed back to the negotiating table, has been a positive for the Canadian Dollar, and other commodity...

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By Andria Pichidi Yesterday’s contraction signal from the disappointing US Manufacturing PMI rekindled concerns about the fallout from ongoing geopolitical trade tensions, while this adds further pressure on the upcoming Jobs report on Friday. The reading was an indication that trade and tariff turmoil continues to cast a dark shadow over the global economy....

HotForex

By Andria Pichidi The Pound has racked up a second day of losses, presently showing a 0.6% decline and is now down by 2.4% from week-ago levels versus the Dollar. Markets look to be hedging more on there being on a no-deal Brexit than a Brexit with a deal and transition period, or even a Brexit cancelled scenario, even though these remain possibilities. The...

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Mid-summer and BTCUSD charged to $13,825, within 3 trading days it was trading below $10,000 again and had collapsed over 30% from high to low. Volatility was back. Since then the volatility has cooled, but the key levels remain the key levels. The 38.2 Fibonacci  ( $9,400 ) and psychological $10,000 have provided a support zone and the 50.0 Fibonacci  ($11,400)...

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WTI crude rallied to $54.46 highs from $53.73 lows seen in London morning trade. The move higher came following a report from OPEC saying compliance in the OPEC+ production caps in place since the end of last year, has reached 150%. The contract remains near the lower end of its 1-week trading band though, and will continue to be susceptible to trade headlines,...

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The NZDUSD has fallen significantly in the last month (over 5.5%) from 0.6780 down to test 0.6400 today and a 44-month low. Although the RSI has been in the oversold territory for two weeks, the momentum remains biased to the downside. Below 0.6400 support could be found at 0.6350. Next Leg ? - All depends on the FOMC Minutes tonight, the tone of Jay...

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The Australian Dollar has been under duress from expectations of more action from the RBA later in the year. Currently, AUDUSD is locked in a 50 pip range between Support around 0.6750 and Resistance at the 20-day moving average and the psychological 0.6800 . The break of the range all depends on the FOMC Minutes tonight and the tone of Jay Powell’s speech ...

HotForex

By Andria Pichidi - August 21, 2019 USD-CAD fell to 1.3250 from near 1.3300, matching Monday's low, following the warmer Canada CPI figures. The pairing had been on the decline from the 1.3315 level seen in London morning trade, taking its cue from WTI crude, which rallied to seven-session highs of $56.94 from post-close lows of $55.91. Between firm oil and...