|Day's Range||0.009 - 0.009|
|52 Week Range||0.0087 - 0.0096|
The pair is currently stationed around the 1.1350 level as there are a lot of developments around the market and is also looking for clarity on the future momentum. The weak momentum around the USD is likely to support the EURO to reach higher, and if it breaks above 1.15 level, it will be extremely bullish and will attract many buyers.
It’s hard to explain today’s weakness because the reports are bearish for Japan’s economy, which means the Bank of Japan is going to have to continue to be accommodative. This should be bullish for the USD/JPY. Furthermore, the Fed minutes were supportive for higher risk assets, which should’ve also made the Japanese Yen a less-desirable asset.
Economic data out of Japan spells more trouble, with a particularly busy economic calendar placing focus on the EUR and USD.
The US dollar went back and forth during the trading session on Wednesday, as we continue to see a lot of indecision in this pair. We are at major technical levels, so this should not be a major surprise.
Based on the dovish comments from Fed Chairman Jerome Powell and the other policymakers, traders have reason to believe that the Fed is going to pause raising interest rates, however, they are less certain about what the central bank is going to do with the $4 trillion of bonds left on its balance sheet.
The Euro initially pulled back during Tuesday’s session but received strong support around the 1.13 area, which helped to rally higher. The pair is likely to continue its long-term consolidation which now ranges between the 1.12 and 1.15 level. If the pair can clear above the 1.1350 level, then it will be a bit positive for the market and could reach another 100 pips higher. …Read MoreGBP/USD
Trade data out of Japan suggests more doom and gloom as trade negotiations. Brexit chatter and the FED minutes will be in focus through the day.
Based on the early price action, the direction of the USD/JPY on Wednesday is likely to be determined by trader reaction to 110.693.
Negative sentiment towards the global economic outlook weighed on the commodity currencies, with economic data and Brexit putting the Pound in Focus.
The US dollar pulled back a little bit during the trading session on Monday, but then rallied to show signs of life again. The market has been very bullish as of late, but the last couple of days showed a bit of weakness. Now that we are starting to show signs of life, it looks likely that we continue to see buyers.
The pair is getting hammered due to ECB’s dovish attitude and weak economic numbers from the European Union. The pair is likely to continue consolidating between the 1.12 and 1.15 level and will also remain volatile.
The direction of the USD/JPY the rest of the week is likely to be determined once again by Treasury yields and the stock market. These market are likely to be largely influenced by U.S.-China trade negotiations. However, investors will also get a chance to react to the latest Federal Open Market Committee Meeting Minutes and the U.S. Durable Goods Orders.
Judging from the way the dollar index is weighted, the best bet for another surge to the upside will be a weaker Euro, Japanese Yen and British Pound.
The U.S. dollar loses its strength in late Friday trading amid President Donald Trump’s signing of a spending bill that will avoid a renewed partial government shutdown and his declaration of a national emergency on border security.
The US dollar rallied again during the week, breaking towards the 61.8% Fibonacci retracement level. However, we are starting to run into a bit of resistance, which of course makes sense as the Japanese yen is a bit of a safety currency.
The US dollar fell a bit during the trading session on Friday, as we continue to see a lot of resistance above at the 200 day EMA. At this point, the 61.8% Fibonacci retracement level has offered significant resistance as well, but as we go into the weekend it looks like we are trying to find some type of footing.
With the poor economic numbers from the US, the market is likely to favour a move to the upside and try moving towards the top of the consolidation phase to the 1.15 handle. The pair is now testing support at the 50% Fibonacci scale, and next major support is at the 1.27 level, which is the 61.8% Fibonacci retracement level. The market is likely to remain choppy and with poor economic numbers from the US, AUD is likely to gain a bit of momentum.
Theresa May’s troubles continue to pin back the Pound and the stats have provided little help. More swings on the cards later today.
The US dollar rolled over during trading on Thursday as poor economic numbers came out of the United States. Beyond that, we were at the 200 day EMA, which of course is something that you are paying attention to.
The pair pulled back significantly during the Wednesday’s session, breaching the 1.13 level again to reach down towards the 1.1280 level. The pair is witnessing a lot of issues above the 1.13 level and until unless it breaks above 1.1350 level, the market will continue to struggle rallying higher. Going ahead, the pair will continue to consolidate, trading between 1.12 and 1.15 level. …Read MoreGBP/USD
Brexit and Trade talks are on the political agenda, while Germany’s GDP numbers and retail sales figures out of the U.S will be in focus on the data front.
The primary market drivers of the rally in the USD/JPY will continue to be rising Treasury yields and increasing appetite for risky assets. The main catalyst will be optimism over U.S.-China trade negotiations.
The U.S. dollar inches higher against many of its rivals early Wednesday after a brief period of jerky trading, as market participants make sense of rumors surrounding Brexit, central bank updates and myriad economic data including inflation in the U.S.
The US dollar continues to rally during the day on Wednesday, testing a major moving average in the process. That being the case, I believe that we are starting to get a bit overdone at this point.