Author: FX

Fundamental OverviewLast Friday, Fed Chair Powell delivered a more dovish than expected speech at the Jackson Hole Symposium as he basically kept the door open for a 50 bps cut at the September meeting. The line saying that they will do everything they can to support a strong labour market was key. That is a positive driver for the precious metal as in the big picture, gold should remain supported as real yields fall as we head into the Fed’s easing cycle, but in the short-term strong US data might provide pullbacks along the way. Gold Technical Analysis – Daily…

Gold price edges lower in Monday’s early European session.  Fed’s rate cut expectation and ongoing geopolitical tensions continue to underpin Gold price.  The US July Durable Goods Orders are due later on Monday.  The Gold price (XAU/USD) trades with mild losses near the $2,500 psychological support on Monday. However, the downside of the precious metal might be limited amid rising expectations that the US Federal Reserve (Fed) will begin lowering borrowing costs in September. Lower interest rates are generally positive for Gold as it reduces the opportunity cost of holding the non-interest paying asset.  Furthermore, the escalating geopolitical tensions in…

U.S. crude oil prices continue to recover after revisiting its August lows last week. How high can WTI crude fly before sellers gather enough bearish momentum? We’re taking a closer look at a possible resistance area: WTI Crude Oil (USOIL) 4-hour Chart by TradingView In case you missed it, a lack of progress on Gaza ceasefire talks helped pull U.S. (WTI) crude oil up from its August lows near $71.75. It may have also helped the commodity that U.S. data releases and FOMC member speeches are pointing to a rate cut as early as September. WTI not only bounced from…

This forex pair recently busted out of its daily triangle consolidation pattern, hinting at the start of a long-term trend. Is the rally fading or is this merely a retest? Take a look at these inflection points on the long-term chart! EUR/NZD Daily Forex Chart by TradingView After consolidating inside a descending triangle formation for almost a year already, EUR/NZD busted through the resistance last month to hint that a longer-term uptrend may be in the cards. However, the pair hit another major roadblock around the 1.8640 mark, forcing euro bulls to retreat from their charge. Is this merely a…

The market spotlight is on inflation updates from major economies this week, with the U.S. core PCE price index potentially being the star of the show. What are number crunchers expecting for the July CPI readings? This Article Is For Premium Members Only Become a Premium member for full website access, plus get: Ad-free experience Daily actionable short-term strategies High-impact economic event trading guides Access to exclusive MarketMilk™ sections Plus More! Source link

The People’s Bank of China set the onshore yuan (CNY) reference rate for the trading session ahead.USD/CNY is the onshore yuan. Its permitted to trade plus or minus 2% from this daily reference rate.CNH is the offshore yuan. USD /CNH has no restrictions on its trading range.A significantly stronger or weaker rate than expected is typically considered a signal from the PBOC.The previous close was 7.1210This was the strongest level since June 13In open market operations:PBOC injects 300 billion Yuan via 1- year MLF at 2.30% versus prior 2.30%Injects CNY 471B via 7-day reverse repo at maintained 1.70% This article…

Combining Smoothed Smart Money Pressure (SSMP) with Moving Average Convergence Divergence (MACD) signals creates a potent forex trading strategy that merges advanced market analysis with practical application. SSMP acts as a nuanced gauge of market sentiment, smoothing out price and volume fluctuations to uncover underlying trends and potential turning points. Unlike conventional volume indicators, SSMP focuses on how institutional investors and experienced traders position themselves, providing traders with valuable insights into market dynamics. MACD complements SSMP by analyzing the relationship between two moving averages of price, signaling changes in momentum and trend strength. This indicator is pivotal for traders seeking…

The RSI (Relative Strength Index) is a widely used momentum oscillator that measures the strength of price movements. It oscillates between 0 and 100, with readings above 70 generally indicating overbought conditions (where prices might be due for a pullback), and readings below 30 suggesting oversold territories (where a potential price rebound could be imminent). However, the standard RSI has limitations. Its output can be somewhat sluggish, making it challenging to pinpoint precise entry and exit points, especially in volatile markets. This mathematical technique essentially reshapes the distribution of data, making it more statistically efficient. When applied to the RSI,…

IMF chief economist Pierre-Olivier Gourinchas spoke at the Jackson Hole annual economic symposium on Friday. Gourinchas said that the Japanese central bank can continue to raise rates gradually, at a data-dependent pace, per Reuters.  Key quotes Inflation is higher than the bank’s 2% target.Inflation expectations have started to move “maybe even a little bit above” that targetBOJ’s beginning to normalize monetary policy is “certainly something that we think is a good development for Japan. Market reaction At the time of writing, USD/JPY is trading 0.40% lower on the day to trade at 143.78. Japanese Yen FAQs The Japanese Yen (JPY) is one of…

Here's the major earnings before the open tomorrow Source link