Author: FX

There is unusual potential for a new shock, a new disruption due to Trump policiesGeopolitical risks are elevated and attacks on the Fed’s independence is another key riskThere is no easy way to manage this uncertaintyA Fed that is not delivering predictability is not going to be good for anybodyUnpredictability of US policy has dented dollar as the global safe assetUSD/CAD exchange rate has not been a big preoccupation for us in recent yearsBut if USD/CAD exchange rate changes a lot, that will affect our projectionsAnd we will have to take that into accountWe are feeling like there are more…

Gold prices surged to an all-time high above $5,500/oz, driven by US dollar weakness and expectations of further monetary easing from the Federal Reserve. The precious metal extended its rally, marking significant gains in recent sessions, notes UOB Global Economics & Markets Research.Gold prices hit record highs”Gold surged to an all-time high above $5,500/oz, extending a breakneck rally fueled by US dollar weakness and expectations the next Fed Chair will pursue further monetary easing.””Bullion surged as much as 3.2% in early trading on Thu, building on a 4.6% gain in the previous session, to see its biggest one-day gain since…

The Golden Line MT4 Indicator plots dynamic price levels derived from Fibonacci ratios and moving average calculations. At its core, it identifies the golden ratio (1.618 and its inverse 0.618) applied to recent price swings, then smooths these levels using a weighted moving average. The result? Support and resistance zones that shift as market conditions change. The indicator displays two primary lines on your chart—an upper golden line and a lower golden line. When price trades between these boundaries, the market is considered range-bound. Breaks above or below these lines signal potential trend continuation or reversal, depending on additional confirmation…

Reports that Trump and Schumer are approaching a possible deal to avert shut downXi and Starmer signal thaw as China and UK seek steadier bilateral tiesChina property shares jump on report of easing “three red lines” rulesGoldman Sachs and Deutsche Bank forecast Reserve Bank of Australia on hold next weekReuters poll: RBI seen holding rates at 5.25% as focus shifts to liquidity and rupeeMUFG, CBA see February RBA rate hike as inflation lifts and AUD finds supportBanks lift gold forecasts as $6,000/oz targets emerge after record rallyPBOC sets USD/ CNY mid-point today at 6.9771 (vs. estimate at 6.9521)ICYMI – Tesla…

CAD/CHF just bounced from a major support zone! Will the area continue to drive away Loonie sellers? Or will the 4th time be the charm for the bears? CAD/CHF 4-hour Forex Chart Faster with TradingView The Canadian dollar picked up some pips on Wednesday after the Bank of Canada kept policy unchanged, as expected. That support faded soon after, though, as traders appeared to price in signals that the March meeting is still live for a possible rate cut. Meanwhile, the Swiss franc gave up a pip or two against majors like the U.S. dollar as greenback demand firmed following…

EUR/CAD is testing a confluence of technical levels on its 4-hour time frame, and these candlestick patterns appear to be hinting at a bounce. How high can it go if the uptrend resumes? Take a look at these inflection points! EUR/CAD 4-hour Forex –  Chart Faster with TradingView Geopolitical headlines have caused quite a ruckus on oil prices lately, sparking huge price swings for oil-related Loonie pairs. EUR/CAD, in particular, has surged above the 1.6200 major psychological ceiling earlier this month on fading Venezuela-related oil supply concerns. The pair has since turned upon hitting resistance at R2 (1.6350) on Trump’s…

The Bank of Canada (BOC) kept its policy rate unchanged at 2.25% in their January decision as widely expected while acknowledging heightened uncertainty from U.S. trade restrictions. During the press conference, BOC Governor Tiff Macklem emphasized the bank remains content with current monetary policy settings, though officials stressed they are prepared to adjust if conditions change. Key Takeaways Policy rate held steady at 2.25%, with the Bank Rate at 2.5% and deposit rate at 2.20% Growth outlook remains modest at 1.1% for 2026 and 1.5% for 2027, broadly unchanged from October projections Inflation expected to stay close to 2% target,…

The Federal Reserve kicked off 2026 by keeping interest rates unchanged at 3.50-3.75%, breaking a three-meeting cutting streak as policymakers signaled growing confidence that monetary policy is now close to neutral. Despite two dovish dissents from Governors Stephen Miran and Christopher Waller—both favoring an additional quarter-point cut—the majority of the committee upgraded their assessment of economic growth and removed previous warnings about rising employment risks. Key Takeaways The Fed kept interest rates unchanged at 3.50-3.75%, pausing after three consecutive cuts in the final months of 2025 Split vote: The decision passed 10-2, with Governors Stephen Miran and Christopher Waller both…

The Japanese Yen (JPY) regains some positive traction against a broadly weaker US Dollar (USD) during the Asian session on Thursday and reverses a part of the previous day’s retracement slide from a nearly three-month low. Speculation that Japanese authorities would step in to stem further weakness in the domestic currency and the Bank of Japan’s (BoJ) hawkish stance turned out to be key factors underpinning the JPY. The USD, on the other hand, remains close to a four-year low, touched on Tuesday, amid bets for further policy easing by the US Federal Reserve (Fed), and exerts some downward pressure…

The Average Directional Index (ADX) is a momentum oscillator that quantifies trend strength on a scale from 0 to 100. Developed by J. Welles Wilder in 1978, it’s one of the few indicators that doesn’t care whether the market’s going up or down—it only cares how forcefully it’s moving. Here’s what makes it different: While RSI tells you if something’s overbought and MACD signals momentum shifts, ADX answers a simpler question: “Is this trend worth trading?” A reading below 20 suggests weak, choppy price action. Above 25 indicates a developing trend. Anything north of 50 signals a strong trend that…