|Day's Range||1.115 - 1.118|
|52 Week Range||1.1122 - 1.1842|
Based on the early price action and the current price at 97.900, the direction of the June U.S. Dollar Index the rest of the session is likely to be determined by trader reaction to the downtrending Gann angle at 97.950.
Economic Calendar stays lighter amid lack of EUR-specific events. Meanwhile, Greenback traders staying bullish over the upcoming US Housing Data.
May is definitely an interesting month on the market. It is hard to generally say if this is a month of a USD, or safe heavens or for example Bitcoin.
The RBA talks of rate cuts to pin back the Aussie Dollar as trade war jitters linger. Another quiet day on the stats leaves geopolitical risk in focus.
The Australian dollar rallied as much as 1% on Monday after the incumbent Liberal-National government retained power in a surprise election result defeating the favored Labor party.
The Safe-haven pair dropped from last week’s high amid positive Japanese data and plunging USD Index. Iran Foreign Minister commented on Trump’s tweets against Iran as “genocidal taunts”.
The Euro went back and forth during trading on Monday, as we continue to question global growth and the entire US/China trade situation. Overall though, I think that this sets up some choppy trading in the short term.
Atlanta Fed President Raphael Bostic on Monday said he wasn't sure what direction the next interest-rate move would be, because there are risks that go in both directions. Speaking to CNBC, Bostic said trade policy uncertainty is keeping businesses on the sidelines with investment. He expects "solid growth" of 2.25%-2.5% this year but less than the 3% recorded last year. "In general, my view is as long as we don't see inflation running away, that would be the sign that our policy is basically at a neutral level. We can sustain that for a long period of time, and we don't have to move." Bostic won't have a vote on the Federal Open Market Committee until 2021.
Based on the early price action, the direction of the EUR/USD the rest of the session is likely to be determined by trader reaction to the downtrending Gann angle at 1.1164 and the uptrending Gann angle at 1.1152.
June U.S. Dollar Index traders should keep an eye on the Euro since it is heavily weighted in the index. The Dollar Index could weaken if the EUR/USD takes out 1.1164 and strengthen if the EUR/USD breaks through 1.1152.
Pessimism around trade talks may further worsen the market sentiment. All the SMAs hovered just above the EUR/USD pair marking an overall bearish outlook.
EU Parliamentary Elections kick off on Thursday, with Britain and the Netherlands going to the polls first. Will the far-right finally find their voice?
It’s a mixed start to the day, support for the Aussie Dollar kicked in, while the EUR and the Pound could be under pressure. EU elections loom…
Investing.com -- The dollar is pushing toward the two-year high it hit in April in early trading in Europe on Monday, after election victories for business-friendly incumbents in Australia and India offset ongoing worries over trade relations between the U.S. and China.
Based on last week’s price action and the close at 1.1157, the direction of the EUR/USD this week is likely to be determined by trader reaction to the major Fibonacci level at 1.1185. Watch the price action and read the order flow on a test of 1.1235 this week because strong buying volume on a rally through this level could launch the start of a very strong rally.
Australian Federal Elections go the way of the Aussie Dollar, with Brexit, EU elections, stats, and trade war chatter in focus in the week ahead.
Investing.com - After a week dominated by escalating trade tensions between the U.S. and China the trade war looks likely to remain to the forefront of investors’ minds, but this week will also feature Federal Reserve minutes, U.S. retail earnings and economic data as well as European Union elections.
Robust growing USD Index pushed down all its major rivals. Hence, EUR/USD pair plunged despite positive Euro-specific data. Meanwhile, the Cable continued to douse in fall amid Brexit chaos.
The Euro drifted a bit lower during the week, after initially trying to rally. That being the case, it looks as if the negativity continues in this market, as the Euro has been beaten down a bit over the last several months. That being said, it’s been a real grind so collapses that necessarily in the cards.
The Euro went back and forth during the trading session on Friday, as we simply have no idea where we are going to go. At this point, it looks like the market is testing the 1.1150 level, and we could see some type of significant move once we make a decision.
Based on the early price action, the direction of the EUR/USD on Friday is likely to be determined by trader reaction to the price cluster at 1.1184, 1.1185 and 1.1187. So far, this area is holding as resistance.
The British pound remains under pressure as talks between the U.K.’s Conservative and Labour parties collapse without an agreement on how to pursue Brexit. Meanwhile, the Japanese yen finds support as trade-war concerns put renewed pressure on global equities.
Asian markets are worried about the increase in anti-American rhetoric in the Chinese media against the background of escalating trade conflicts. However, this hurts Chinese markets, which have re-emerged to decline and are losing more than 1.2%.