BackgroundUSDJPY continues to trade in line with the yield on the 10-year US Treasury bond and that market has found its feet after large short positions were squeezed out. The way is now clear for yields to move higher, if the “hard” economic data starts matching “soft” (survey results) data. The main data points due…
Read moreToday the losses in the banking sector weighed on the broader index, yet the relative strength between the two leave the potential for ASX to outperform and move towards 6k without it. Banks weigh on ASX yet another attempt at 6k is possible Banking has dragged the ASX200 lower by the ‘big four banks’ who stated…
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During the early Monday Asian session, EUR/JPY hit a high of 124.49, last seen on May 12 of 2016, helped by Macron’s victory in the French presidential election. However, it saw a subsequent retracement, due to profit-taking, falling back below the psychological level at 124.00. On the 4-hourly chart, EUR/JPY broke through the near-term major…
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The short and long-term bias are now bearish after sellers re-emerged on Friday. Here is the outlook and the prime short entry level for Monday. Monthly: We are holding onto the slightly disjointed bearish Gartley formation. The next downside long-term support and an area that has been pivotal is 1.2000 (bearish). Weekly: For the last…
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DAX futures (JUNE 2017 contract is FDXM7, continuation contract is FDXc1) Is the DAX set once more for a consolidation following a strong breakout? It seems that time and time again throughout this trend higher, the breakouts are followed by consolidation, with the trend struggling to retain traction. This continues to give renewed chance to…
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Nonfarm payrolls are realised alongside Canadian employment later today, which could make USDCAD of interest. The fall in oil prices also provided added interest as both currencies are linked to oil in one way or another. - NFP is forecast to rebound to 185k from last month’s disappointing 98k - A further fall of unemployment…
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Richard Perry appeared on Tip TV again this morning to discuss the impact of last night’s Fed announcement and how the French election could impact on markets. Richard’s key focus was on the technical analysis of charts such as EUR/USD which has a big base pattern, USD/JPY which appears to be breaking higher and Gold…
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The crucial US labour market data for April will be released this Friday May 5, at 13:30 BST. It includes non-farm payrolls, unemployment rate and average hourly earnings. Please note that the release of US labour market data will likely cause volatility for USD, USD crosses and commodities. Spot gold has retraced around 3.6% since…
Read moreThe FOMC kept rates on hold on Wednesday which was in line with market expectations. The FOMC stated that the weak Q1 GDP is transitory and business investment firmed. The FOMC left the door open to a June rate hike in the statement. Per the CME’s FedWatch tool, the probability for a June rate hike…
Read moreThe British pound has come under pressure late in the European trading session today as the market awaits the latest interest rate decision from the US Federal Reserve. At 4.06pm (GMT) the British currency was trading at $1.29000 against its US counterpart, down from $1.2937 in yesterday’s trading. The Sterling strengthened earlier in the day…
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