Author: FX
The NZDUSD has the biggest change of the major currency pairs with a gain of nearly 1%. That move took the price above its 50% midpoint of the move down from the May high at 0.61838, and also above a swing area between 0.6202 and 0.62059. Close support will now be at the 0.6200 level. Stay above that level and a run toward the 100-day moving average at 0.62235 would be expected. The price has not traded above its 100-day moving average since May 23. Key level.Break back below the 0.6200 level with momentum and a retest of the 50%…
Share: EUR/USD has jumped strongly to near 1.0820 as US PPI has softened significantly inspired by lower gasoline prices. US monthly headline PPI has registered deflation while core PPI has maintained its pace at 0.2%. The ECB is expected to raise interest rates by 25bps to 4% in order to sharpen its quantitative tools in the battle above 6% inflation. The EUR/USD pair has accelerated dramatically to near 1.0820 after the United States Producer Price Index (PPI) data shows wider-than-expectations deflation. Monthly core PPI contracted by 0.3% in May while the street was anticipating a 0.1% contraction. Investors should…
Investors will hear from central banks on both sides of USD/JPY this weekThe Bank of Japan looks set to stick with its ultra-loose policy settingsIf so the Yen will continue to lose out to better yielders Recommended by David Cottle Learn how to prep ahead of major news like FOMC this week The Japanese Yen rose a little against the United States Dollar on Wednesday. However the broader prognosis for USD/JPY remains unremittingly bullish in a week sure to highlight the monetary policy disparities so much in the greenback’s favor.Both the US Federal Reserve and the Bank of Japan will…
I usually encounter a lot of questions regarding the ideal amount of capital you should put in forex trading. On one hand, I recommend risking money that you can afford to lose. On the other hand, there are plenty of risks associated with being undercapitalized. You see, once you step into live forex trading, the way you look at capitalization will never be the same. Forex trading is now a business – YOUR business. This means that you are the manager and just like in any other business, you need to have a business plan. You need to know what you’re going…
tbradford/iStock Unreleased via Getty Images Lenovo (OTCPK:LNVGY) (OTCPK:LNVGF) said it reached an annual AI infrastructure revenue of over $2B and noted that it will invest an additional $1B over three years to boost artificial intelligence (AI) deployment for businesses globally. The investment will expand the company’s AI-ready portfolio of smart devices, infrastructure solutions and services to help boost innovation, enabling the use of generative AI and delivering cognitive decisions at scale across remote locations in financial, manufacturing, healthcare, retail and smart city applications. As part of the investment, Lenovo is committing $100M to grow the Lenovo AI Innovators program, which…
In case you missed it, market players believe that the Fed would “skip” from raising its interest rates in June after deciding on rate hikes every decision day since March 2022. The markets’ dovish bias was further supported by yesterday’s U.S. inflation reports, which showed headline inflation slowing down from 4.9% y/y to a cool 4.0% y/y. Will it mean losses for USD and gains for major counterparts like EUR? EUR/USD 1-hour Forex Chart by TV EUR/USD just turned lower from the R1 (1.0800) of the 1-hour chart’s Standard Pivot Points, and now the pair is heading for a trend…
The OPEC+ seems to be intentioned to maintain oil prices above the $70 mark, but even with the Saudi Arabia additional voluntary production cut of 1 million barrels per day (bpd) beginning in July, with the possibility of extension based on market conditions, and the other members of OPEC+ extending their production cuts throughout 2024, oil prices keep falling. While the OPEC+ supply cuts may generate short-term spikes, it looks more and more evident that we are in a recessionary cycle, and the demand side is influencing heavily the oil market. The last surprising production cut back in April was…
Share: USD/CHF remains sidelined within the key DMA envelope amid pre-Fed inaction. Clear downside break of previous support line, U-turn from multi-day-old resistance underpin bearish bias. Looming bear cross on MACD adds strength to the downside hopes. Swiss Franc bears need acceptance beyond 0.9130 to keep the reins. USD/CHF aptly portrays the pre-Fed anxiety as it makes rounds to 0.9050 heading into Wednesday’s European session. In doing so, the Swiss Franc (CHF) pair dribbles between the 50-DMA and the 100-DMA while paring the weekly gains of late. It should be noted that the impending bear cross on the…
Here’s one for the gold bugs out there! The precious metal is back in consolidation mode, and it looks like a breakout is due soon. On the hourly time frame below, you can see that XAU/USD formed lower highs and found support around $1,940 to create a descending triangle pattern. Gold (XAU/USD) 1-hour Chart by TV Price is currently testing the triangle support once more, still deciding whether to make another bounce to the resistance or go for a break lower. Note that this floor has been holding for more than a couple of weeks already, so gold bulls might…
Market RecapMajor US indices continue to add to recent gains overnight (DJIA +0.43%; S&P 500 +0.69%; Nasdaq +0.83%), as further cooling in US inflation reflects some degree of success in policy moves thus far and provides room for the Federal Reserve (Fed) to put on some wait-and-see at the upcoming Federal Open Market Committee (FOMC) meeting. An almost-certain 90% probability that rates will be put on hold this week is being priced by the Fed Funds futures, although expectations still largely lean towards a 25 basis-point (bp) upward adjustment in rates in July.A 0.4% increase in core inflation from the…