Investing.com - This week precious metals traders will be focusing on Wednesday’s Federal Reserve monetary policy meeting for its impact on the U.S. dollar, which heavily influences gold’s performance.
Investing.com - This week investors will have their attention firmly focused on monetary policy as the Federal Reserve, the Bank of England and the Bank of Japan issue updates at a time of increased market volatility.
Bitcoin Weekend News The rundown: Bitcoin and all major currencies are up Sunday; Hong Kong based blockchain technology firm Alphaslot closes a multimillion USD investment round; Phore Blockchain partners with blockchain telecom firm World Mobile; Coincheck parent company Monex Group launches a crypto exchange in the U.S.; A French member of parliament recommends investing €500 […] The post Bitcoin Weekend News Crypto Currency Roundup December 16 appeared first on Market Exclusive.
Based on last week’s price action and the close at .7175, the direction of the AUD/USD on Monday is likely to be determined by trader reaction to the Fibonacci level at .7163. Basically, look for an upside bias to develop on a sustained move over .7207 and for the downside bias to continue on a sustained move under .7163.
Friday’s inside trading range suggests investor indecision and impending volatility. Basically, a sustained move over 113.710 will indicate the presence of buyers. If this creates enough upside momentum then the rally could extend into the next main top at 114.036. Taking out Friday’s low at 113.191 will signal the presence of sellers. If this move creates enough downside momentum then look for the selling to possibly extend into the 50% level at 112.975 to 112.973. Look for a technical bounce on the first test of this zone.
Based on the weak close near the low of the session, we’re expecting the downside momentum to continue on Monday. We could see some counter-trend buying due to position-squaring ahead of the Fed’s interest rate and monetary policy decisions on Wednesday as well as Thursday’s New Zealand GDP report. However, these events are not likely to lead to a change in trend to up.
Ahead of the meeting, investors are expressing concerns about the U.S. economy and whether the Fed would hike further after December. As recent as September, the Fed came out as a little too optimistic about the economy next year. At this meeting, they may come down a little on their assessment of future economic growth. Investors aren’t expecting anything new from the Bank of Japan (BOJ). Look for policymakers to leave its benchmark rate unchanged at -0.1%. Japan is also scheduled to release its latest inflation data. The Bank of England (BOE) is expected to keep interest rates unchanged at Thursday’s meeting. Policymakers are holding back on raising rates at this meeting because of recent mixed economic data and fears over Brexit.
It’s an action packed week ahead, with Brexit, the FED, the BoE, China’s CEWC and a slew of economic data to drive the markets and let’s not forget Trump…
Last week, the U.S. government reported on producer and consumer inflation, two factors the Fed will consider this week when deciding on future monetary policy. Investors also had the opportunity to respond to last month’s retail sales data. The dollar’s gains last week may have been limited by increased bets the Federal Reserve might reduce the number of interest rate hikes after a widely expected 25-basis point rate increase next week.
Investing.com - Litecoin was trading at $26.406 by 21:14 (02:14 GMT) on the Investing.com Index on Sunday, up 10.65% on the day. It was the largest one-day percentage gain since December 16.
The Australian Dollar is likely to remain under pressure throughout 2019. The on-going trade dispute is likely to continue to weaken exports which should force the RBA to keep policy unchanged because lower rates are helping to keep the economy afloat as it rides out the storm. However, an escalation of the trade dispute combined with a faster pace of declines in housing prices could force the central bank to lower rates. This would keep the downside pressure on the Aussie Dollar.
At 4:12 p.m. (2112 GMT), the Canadian dollar was trading 0.2 percent lower at 1.3382 to the greenback, or 74.73 U.S. cents. "It has been a risk-off day for sure and that ties into the weaker-than-expected Chinese data that we had overnight," said Bipan Rai, North America head of FX strategy at CIBC Capital Markets. The Fed decision will help determine the direction of the Canadian dollar next week but the currency will also take its cue from domestic inflation and gross domestic product data, Rai said.
Bitcoin slid to yet another 15-month low, putting the world’s largest digital currency on track for consecutive losing weeks.
Currency markets attract flows into perceived havens on Friday, as risk appetite weakens on the back of weaker-than-expected data from the eurozone and China.
Investing.com - It had to be one safe-haven or the other and the dollar triumphed at the expense of gold on Friday as signs of slowing growth in China sparked risk aversion across the globe.
LONDON MARKETS London markets ended lower on Friday, as slow Chinese business activity in November rebooted refreshed worries over global economic growth. Meanwhile, Brexit uncertainty continues to hang in the air amid a lack of signals U.
Gold markets fell during the week, showing the $1250 level as resistance yet again. The 50 weekly EMA is just above, but at this point I think that thing to pay the most attention to is whether or not the US dollar rallies.
The US dollar rallied during the week, reaching towards the highs again near ¥114. However, the uptrend line underneath continues offer support while massive resistance offers travel. In other words, this is a very tight market looking for some type of momentum.
The British pound broke down during the week, slicing through the 1.27 level as there was a “no confidence vote” for Teresa May. She did survive it, so that was a brief reprieve for the British pound, but as you can see the trajectory continues lower.
The British pound continues to grind lower during the week against the Japanese yen, even after having a massive bounce from a reaction to Teresa May surviving a no-confidence vote. That being the case, we got a bit of positivity and the British pound, but we have since seen the thing turn around again.
The Euro fell during the week, reaching towards the bottom of the consolidation that we are currently in. However, what you don’t see on this chart, and you do see on the daily chart, is that we broke down below the bottom of a symmetrical triangle. That of course is a negative sign.
The Australian dollar initially tried to rally during the week but found enough resistance at the 0.7250 level to turn around and fall. Not only did it fall though, it ended up forming an inverted hammer.
Gold markets pulled back a bit during the trading session on Friday, reaching down towards the 50 day EMA, an area that of course attract a lot of attention from a technical analysis point of view.
The US dollar did very little during the Friday session, as we are getting relatively close to the significant resistance. That resistance starts around the ¥114 level, so a pullback is likely.
The British pound continues to slide during trading on Friday, as the relief rally after Teresa May avoided a no-confidence vote has been completely wiped out. She went to Brussels, and they offered her nothing in return. The odds of a hard Brexit are increasing by the day.