Author: FX

US ECONOMY Fed Chair Powell’s Monetary Policy Report and testimony supported widespread expectations for a higher for longer policy stance, as has been the official position since early this year. But Powell came out swinging, like with his Jackson Hole comments, noting that the pace of tightening may be sped up. The markets were surprised, and we saw immediate bearish reactions in bonds and stocks, with Treasury yields spiking and Wall Street slumping. The USDIndex, on the other hand, firmed. A decision regarding an up-shift back to a half point rate hike pace on March 22 is not a done…

It is prudent to ask how traders make money out of forex trading before diving in head on in the world of forex trading. So, how do forex traders make money out of forex trading? Traders make transactions based on the posted bid and offer price. If they would want to buy or sell at market price, they would have to trade based on the price posted on the market. If prices do not move, then traders do not make any money at all. With that said, we could say that traders make money because of price movements or volatility.…

Reversal alert! The U.K. FTSE index is down to the neckline of its head and shoulders pattern. Will we see a breakdown and selloff soon? FTSE Index (UK100) 1-hour Chart by TradingView I’m seeing a complex head and shoulders chart pattern on the hourly time frame of this U.K. stock index, as the FTSE 100 is still moving sideways. The bottom of its short-term range happens to be right on the neckline of the reversal formation, so a breakdown below the 7,880.00 area could confirm that a larger downtrend is underway. Technical indicators are still pointing to the presence of…

The dollar is keeping in a firmer spot after the more hawkish remarks by Fed chair Powell yesterday. As Treasury yields march higher, the dollar is catching a strong tailwind and pushing for key technical breaks since yesterday. EUR/USD nearing its 100-day moving average at 1.0517 and key support near 1.0500 USD/JPY pushing for a break above its 200-day moving average at 137.41 GBP/USD falling below its 200-day moving average of 1.1903 and January low of 1.1840 USD/CHF threatening a push above its 100-day moving average at 0.9412 USD/CAD pushing above its December highs above 1.3700 AUD/USD extending its downfall…

Share: EUR/USD remains depressed for the second consecutive day amid strong yields, renews three-month low of late. ECB policymakers defend hawkish bias but lack economic support to bolster Euro. Fed Chair Jerome Powell renews calls for 50 bps rate hike and propel yields, US Dollar. Eurozone Retail Sales, US ADP Employment Change act as additional catalysts to watch clear directions.   EUR/USD renews a two-month low near 1.0525 as it extends the previous day’s south-run amid the widest yield curve inversion since 1981. It’s worth noting that the Euro pair slumped the most in more than a month…

Dow Jones, S&P 500, Powell Testimony – Asia Pacific Market Open:Dow Jones, S&P 500 plunge after Jerome Powell testimonyThe chair of the Fed offered an increasingly hawkish viewMarkets are starting to favor 50-basis point hike this monthAsia-Pacific markets are bracing for volatility on Wednesday Recommended by Daniel Dubrovsky Get Your Free Equities Forecast Asia-Pacific Market Briefing – Markets Bracing After Wall Street VolatilityWall Street received a reality check on Tuesday as the Dow Jones and S&P 500 sank 1.72% and 1.53%, respectively. The key culprit was what traders were anxiously anticipating, testimony from Federal Reserve Chair Jerome Powell before the…

krblokhin/iStock Editorial via Getty Images Altria’s (NYSE:MO) recent moves to exit its Juul stake and purchase NJOY may mean that the likelihood of selling its stake in Anheuser-Busch InBev (BUD) may be increasing, according to analysts. “We think the probability of a disposal is increasing – but expect any equity placing to be earnings neutral for Altria,” Citi analyst Simon Hales, who has a neutral rating and $49.50 price target on Altria (MO) wrote in a note on Monday. The analysis comes as Altria (MO), which has a 10% stake in AB InBev (BUD), has been allowed to sell down…

© Reuters. FILE PHOTO: Representations of cryptocurrencies Bitcoin, Ethereum and DogeCoin are placed on PC motherboard in this illustration taken, June 29, 2021. REUTERS/Dado Ruvic/File Photo (Clarifies Fineqia is a crypto-focused investor) By Hannah Lang and Lisa Pauline Mattackal (Reuters) -For investors living on the digital edge, bitcoin is starting to look a little old-fashioned. Hooked on high growth, some are turning away from the original cryptocurrency – designed as an alternative to regular cash – in favor of its descendants created as native tokens of blockchain platforms that host smart contracts and apps. MarketVector’s Smart Contract Leaders Index, which…

High risk warning: Foreign exchange trading carries a high level of risk that may not be suitable for all investors. Leverage creates additional risk and loss exposure. Before you decide to trade foreign exchange, carefully consider your investment objectives, experience level, and risk tolerance. You could lose some or all your initial investment; do not invest money that you cannot afford to lose. Educate yourself on the risks associated with foreign exchange trading and seek advice from an independent financial or tax advisor if you have any questions. Advisory warning: FOREXLIVE™ is not an investment advisor, FOREXLIVE™ provides references and…

Share: EUR/CHF popped back above parity last week but slipped below 0.9950 again on Monday. The 0.9840/0.9830 area is crucial support, analysts at Société Générale report. New high for core inflation cements 50 bps at next SNB meeting “CPI again surprised to the upside in February. This could seal another increase in the policy rate of 50 bps at the meeting in two weeks. The headline rate was unchanged at 3.2% YoY but core CPI drifted up to a new high of 2.4% from 2.2%.” “Currently, a pullback is taking shape however 50-DMA at 0.9920 should be first…