Category: Technial Analysis
AUDUSD is trying to keep its positive momentum. The Australian Dollar continues growing against the USD on Tuesday. The current quote for the instrument is 0.7080. The Reserve Bank of Australia had another meeting today and decided to keep the benchmark interest rate intact at 0.1%, the same as expected. However, something did happen. The […]
Equities Rebound As Dollar Tanks On Softer Fed CommentaryBenchmark global equities indices are starting February on the front foot with risk assets rebounding firmly this week following the heavy sell off seen over the prior fortnight. Equities appear to have taken some solace in the dialling back of hawkish Fed commentary following comments from Fed’s […]
CitiEuropean OpenLunar new year holidays ensured that it was quiet overnight, with just AUD markets in focus. This gave market participants some time to digest Monday moves, which saw US equities rally into the close. We suspect this was driven by a combination of short covering, month end flow, and slightly dovish Fedspeak relative to […]
Weak China Data Weighs On YuanThe latest set of Chinese PMI data sets released overnight have revealed the impact of fresh COVID lockdowns as the country battles omicron. The Caixin manufacturing PMI was seen falling to 49.1 in January, marking a decline from the prior month’s 50.9 reading and a fresh contraction in the factory […]
Metals In Meltdown As USD ReboundsThe uptick in the US Dollar over the last fortnight has taken a heavy toll on the metals complex with both gold and silver prices sinking. With the Fed having lad the groundwork for a March rate hike, and the market now keenly focused on gauging the likelihood of any […]
EURUSD, “Euro vs US Dollar” As we can see in the H4 chart, EURUSD is trading within the “oversold area”. In this case, the price is expected to break -1/8 and then continue growing to reach the resistance at 1/8. Still, this scenario may no longer be valid if the price breaks -2/8 to the […]
EURUSD, “Euro vs US Dollar” As we can see in the H4 chart, the asset has formed a Hammer reversal pattern close to the support level. At the moment, EURUSD is reversing and may form a new rising impulse. In this case, the upside target may be at 1.1205. However, an alternative scenario implies that […]
The yield curve for US Treasury bonds is expected to flatten and perhaps invert this year, according to Standard Chartered. The U.S. Treasury yield curve is likely to be totally flat by mid-year as the Federal Reserve raises interest rates, although growth is questioned, and may invert by year’s end, Standard Chartered bank strategists stated […]
Gold prices are rising and heading for the largest monthly decline since September Gold prices rose in trading on Monday, but the precious metal is heading for the largest monthly decline since last September. This comes amid market expectations that the US Federal Reserve will raise interest rates on the back of key economic data, […]
Potentially downbeat US macro surprises in January should be a key test of the strength of the dollar rally post-FOMC meeting. However, a possible disappointment, in my opinion, will be short-lived, since the Fed shouldn’t be spooked with one or bad reports. In addition, the driver of the slack is known, and it is also […]