Author: FX

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

KYIV (Reuters) -Russia launched attacks on northern, eastern and southern Ukraine, killing at least four people and injuring 37, Ukrainian military and local authorities said on Sunday. Overnight attacks targeted Ukraine’s frontline regions of Chernihiv, Sumy, Kharkiv and Donetsk, Ukraine’s air force said on the Telegram messaging app. Russia has been pummelling Ukrainian border regions with strikes, and Kyiv said its surprise incursion earlier this month into Russia’s Kursk region aimed to hinder Moscow’s ability to stage such attacks. “Most of the missiles did not reach their targets,” the air force said, adding that Russia launched an Iskander-M ballistic missile,…

S&P 500 recovered from weak Thursday close, and there were subtle clues (shared with clients) as to why interest rate sensitive plays (beyond Russell 2000) would do better than largecaps Friday – the whole week slated to be a strong one. Little wonder – rates were not protesting, and confidence in soft landing growing. All at the expense of the dollar – and the precious metals upleg I also called on to continue as this linked to premium analysis talking first a pullback below $2,500 proves. Powell didn‘t disappoint the doves – I though personally wonder why such a degree…

Makhbubakhon Ismatova/iStock via Getty Images The Organization of the Petroleum Exporting Countries, its allies and major energy companies face a risk of falling crude prices that may lead to output cuts. After reaching about $90 a barrel in early July, oil declined more than 10% on China’s weakening economy and a forecast of more supply from the Americas that overshadowed demand during the summer driving season and strife in the Middle East, according to Bloomberg News. The next direction for prices may be determined by the OPEC+ cartel, whose decisions are heavily influenced by Saudi Arabia and Russia. They have…

This week our currency strategists focused on inflation and flash business survey data, specifically from Canada and the Euro area for potential high quality setups. Out of the four scenario/price outlook discussions this week, only one discussion arguably saw both fundie & technical arguments triggered to become a potential candidate for a trade & risk management overlay.  Check out our review on those discussions to see what happened! Watchlists are price outlook & strategy discussions supported by both fundamental & technical analysis, a crucial step towards creating a high quality discretionary trade idea before working on a risk & trade…

U.Today – Pavel Durov, a 39-year-old entrepreneur known for creating the instant messaging service Telegram, was arrested Saturday night at Le Bourget airport. According to the charges, which include terrorism, drugs, complicity, fraud, money laundering, he faces up to 20 years in prison. The native token TON, actively used in Telegram, has already reacted, falling 15% in price and 61.3% in total value locked in the blockchain. The reaction, of course, stirred social media, and in particular the crypto space. Among those who weighed in was Max Keiser, known for his maximalist views on (BTC) and as an advisor to…