The euro is likely to remain stuck in a $1.110-$1.1250 range for the time being
as the European Central Bank kicks off a review of its monetary policy strategy,
BMO Capital Markets says. The ECB's inflation target is one of the key areas of
its strategic review starting January, meaning investors "should look through
upside misses" on core consumer price inflation data, BMO FX strategist Stephen
Gallo says. "Though alterations to the ECB's reaction function could further
inflame intra-euro political tensions, we can't help but think that [Fabio]
Schnabel's appointment to the executive board will initially push the central
bank in the direction of tolerating higher rates of inflation for longer."
EUR/USD rises 0.3% to 1.1188.(
Forex and stock traders are looking for the consistently wrong investor, trader and take the opposite position. This will obviously lead to winning trades for them. All traders have read trading books that point out that increasing volume is good for the continuation of the trend. Many new stock traders will try and fight the trend.
Monday, January 6, 2020
Sunday, January 5, 2020
US30USD Daily Chart
US indices tumbled Friday following the US airstrike that killed a top
Iranian commander. Iran has since said it will no longer abide by the nuclear
agreement signed with overseas powers and oil prices pushed higher on supply
concerns. Japan markets re-open after an extended holiday.
US30USD Daily Chart
US30USD Daily Chart
Thursday, January 2, 2020
Gold 2/2
Gold
The dollar is softening and that was just what was needed for gold to get its groove back. Gold’s bullish trend has reasserted itself despite fresh record highs with US stocks, a calm on the trade front, and no hints of recession concerns. If gold easily takes out the 2019 high of $1,566.20 over the next couple weeks, we could see prices initially target $1,640 this quarter. The breakout could easily $1,750 by year end if the dollar continues to stumble.
The dollar is softening and that was just what was needed for gold to get its groove back. Gold’s bullish trend has reasserted itself despite fresh record highs with US stocks, a calm on the trade front, and no hints of recession concerns. If gold easily takes out the 2019 high of $1,566.20 over the next couple weeks, we could see prices initially target $1,640 this quarter. The breakout could easily $1,750 by year end if the dollar continues to stumble.
Forex trading service
Australian dollar
Australian dollar could rise further in coming weeks but it will likely run out
of steam by the spring, Rabobank says. The banking and financial services
company favors selling rallies above $0.70 and anticipates a fall to $0.67 in
the next three months. The Australian dollar has performed well recently,
reaching its highest value since mid-July over the holiday period at $0.7043,
according to FactSet. It drops back on Thursday, last down 0.3% at 0.6994. "Weak
wage growth, drought and forest fires are significant headwinds for the
[Australian] economy," raising the risk of the Reserve Bank of Australia cutting
interest rates on Feb. 4, Rabobank says. Slowing Chinese growth and
deterioration in U.S.-China trade relations would also weigh on the currency
Professional Techniques For Short-Term Currency Trading
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