The Aussie is showing more signs that it is, at least in the short term, done with its slide. It has remained steady this morning even though the RBA has cut its benchmark rate overnight. It is a very strong bullish indication when the market doesn't react to significant negative news. The CHF has outperformed in the month of May and is due a correction. The...
The Kiwi is coming off of oversold conditions against most of the major currencies and the Euro continues to be under economic and political pressure. The break of the ascending channel and the neckline of the head and shoulders pattern this morning is confirmation that this pair has some room to drop.
Entry at 1.70550, Stop loss 1.71550
The political tensions in the Euro zone, plus Brexit, plus the continued weakness of the German economy are all adding a lot of pressure on the Euro. On the other hand the Aussie seems to have absorbed most, if not all of the pressure from the US-China trade war and is showing signs of strength against most other major currencies. The EURAUD is the most appealing...
The NZD is likely to lose some ground against most, if not all major currencies now after the overnight rate cut by RBNZ. The Swiss Franc on the other hand is showing strong resistance against both the USD and Eur after the recent sell off which means it's now likely to gain some strength.
Entry at 0.67135, stop loss at 0.67753
The US government just announced that it will raise tariffs on $200 billion Chinese imports from 10% to 25% and that it is looking at taxing another $325 billion Chinese imports. This trade escalation will give more and more strength to Japanese Yen. On the other hand the Canadian dollar will be under more pressure as the oil prices are starting to drift lower....
The dollar has enjoyed a very strong rally recently, but with yet another weak PCE figure and more and more talk of rate cuts by the Feds the dollar could start pulling back. If you add a bit of risk aversion to the mix the JPY could and will gain significant ground on the green back.
The USDJPY broke below its 2019 ascending trendline last week and is now...
In recent weeks the Swiss Franc has dropped significantly and for no good reason. The Canadian dollar on the other hand has held relatively steady as oil prices
surged. Oil is now coming up against some resistance and is likely to pull back. To add to that a dovish tone from the bank of Canada tomorrow will provide more catalyst for this pair to drop. This will...
If you look at the global equities you'd think that the global synchronised growth narrative of 2017 is back in full force - this is very far from the truth of course. In particular, the performance of the CAC40 in the last 4 months, given the uncertainties in the Euro area, is nothing short of remarkable and baffling at the same time. But the question is how...
With equities showing signs of topping up and weak PMIs in Europe, the Japanese Yen may gain some strength in the next couple of weeks. Entry at 80.320 and stop loss at 80.800
