ECB Governor Draghi will make a speech in the Dutch Parliament at 12:00 BST today. It will be Draghi’s first speech after the French election so traders should be aware of any comments on the Eurozone’s economic outlook or hints of a possible gradual removal of QE. Thursday May 11th is a crucial day for…
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DAX futures (JUNE 2017 contract is FDXM7, continuation chart is FDXc1) Consolidation in the wake of the latest upside break continues. A second successive inside day reflects a market settling down. Although the market managed to complete an all-time closing high last night, there are now lower daily highs in place as the market has…
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We are looking to take a counter-trend trade in EURUSD this morning. Please note that European Central Bank head Mario Draghi speaks this afternoon Monthly: The move lower has been mixed and volatile, common in corrective sequences. We have seen a prolonged period of consolidation. Not a lot to take away from this timeframe; bearish…
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Market Overview It has been a while since Donald Trump did something controversial, so perhaps he got an itch that he just needed to scratch? Trump fired FBI Director James Comey by letter last night in a surprise move that shocked the markets. This was significant as Comey was investigating the claims of the Russian…
Read moreThe US Dollar Index (DXY) climbed to a 12-session high overnight, helped by weaker commodities, softer Euro and hawkish comments from the Fed. Kaplan thinks the Fed could trim their balance sheet this year without it affecting his anticipated three hikes. DXY came close to breaking the 2014 bullish trendline following Macron’s victory on Monday,…
Read moreThe close of VIX gathered a lot of attention from the media as it passed another milestone of eerily low volatility, despite being another action-packed year. Whilst at some point it is poised to break sharply higher, we note the relationship between good data and low volatility. Everyone is paying attention to the fear index…
Read moreWTI's strong rejection of the lows takes us back inside the lower bollinger band whilst USDCAD struggles to re-test the highs, leaving potential for a counter-trend trade to be considered.
Read moreRBNZ find themselves in a renewed tricky spot; Whilst fundamentals have improved they still have an irritatingly high currency at a time when select trade partners appear on the brink of further depreciation. Electronic card retail sales expanded 1.1% in April compared with -0.3% prior, whilst expanded a respectable 4.5% YoY versus 5.6% prior.…
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