Author: FX

Keysight Technologies (KEYS) delivered a masterclass in fundamental performance yesterday, reporting a “double beat” that exceeded Earnings Per Share (EPS) expectations by 8.75% and revenue estimates by 3.89%.However, the real fuel for the 20% single-day surge wasn’t just the past quarter’s performance, it was the future. Management provided exceptionally strong forward guidance, citing a massive demand inflection point from AI data centers. As AI clusters become increasingly complex, Keysight’s testing equipment has become essential for validating the high-performance chips, high-speed networking, and optical interconnects that serve as the backbone of the AI revolution.A historic technical shiftWhile the AI narrative is…

The USDCAD is pushing higher in early North American trading and is now testing the February high at 1.37241. A sustained break above that level would strengthen the bullish bias and open the door toward the late-January high at 1.37383, followed by the 61.8% retracement of the 2026 trading range at 1.37572.Yesterday, the pair initially moved lower following weekend tariff headlines. However, as traders reassessed the broader implications — particularly the risk that renewed U.S. trade pressure could extend toward Canada — the selling faded. At the same time, weaker equities contributed to a more cautious risk tone, weighing on…

BNY’s Head of Markets Macro Strategy Bob Savage highlights renewed Japanese Yen weakness after Prime Minister Sanae Takaichi expressed reservations about further Bank of Japan rate hikes. The report notes emerging tension between the government and central bank, with markets still pricing another BoJ increase by June. USD/JPY is bid as investors reassess policy risks and FX intervention remains a constraint near 160.Government-BoJ tension pressures Yen”The biggest FX mover overnight was JPY. It shed 1% of its value and 10y JGB yields slid 2.5bp after Prime Minister Sanae Takaichi voiced apprehension over more rate hikes in her meeting with BoJ…

Well, you can certainly bet that Beijing is smirking and if not laughing with glee over the whole situation. Their hard line stance against Trump looks to be paying off now as the US administration is forced to back down on the high tariffs applied against China. And one can reasonably assume that this will continue to be their tactic in dealing with the US president until his term ends. That is to be patient and ride out the storm.The Chinese commerce ministry is out with some remarks now, in responding to the tariffs change:Closely monitoring relevant measures by the…

The Liquidity Sweep Indicator for MT5 addresses this by identifying when price deliberately hunts stop clusters before reversing. Instead of trading every break, traders gain context about which breaks might snap back. This doesn’t eliminate losses trading never works that way but it adds a filter that experienced institutional traders have used for years. What Makes Liquidity Sweeps Different From Regular Breakouts A liquidity sweep occurs when price briefly penetrates a known level support, resistance, previous swing high or low where stops cluster, then rapidly reverses direction. The key word is “briefly.” While genuine breakouts hold and extend, sweeps dart…

Commerzbank’s Michael Pfister notes that the initial weakness of the US Dollar after the Supreme Court tariff ruling has reversed, leaving USD pairs near pre-ruling levels. He stresses that the reaction is not clear-cut, with fiscal concerns offset by swift new tariffs. Ongoing legal challenges, trade negotiations and potential tariff hikes suggest persistent uncertainty for the Dollar.Tariff ruling leaves Dollar unsettled”The weakness of the USD following the Supreme Court’s ruling on tariffs was short-lived. Yesterday morning, the movement gradually reversed, and most USD exchange rates are now trading at roughly the same level as before the ruling.””However, uncertainty is likely…

The U.S. and Canada are taking their rivalry off the ice and straight into the charts. USD/CAD is pressing up against a major resistance zone. Will the dollar keep its weeks-long rally alive? Or will Loonie traders strike back and defend this ceiling like it is Finals overtime? USD/CAD 4-hour Forex Chart Faster with TradingView Stronger-than-expected mid-tier and labor-related data have nudged traders back toward the U.S. dollar, restoring some of its safe-haven appeal as geopolitical tensions linger. At the same time, firm crude oil prices are putting a floor under the Canadian dollar, helping cap USD/CAD’s upside and keeping…

Australia is set to publish its latest inflation report, and this release could go a long way in shaping short-term expectations for the RBA’s next move. Our Event Guide for Australia’s CPI Report already flagged the possibility of slightly cooler numbers in January. At the same time, it pointed out that rising commodity prices could keep pressure on consumer prices and reinforce already elevated expectations for further RBA tightening. If the numbers come in stronger than expected and tilt hawkish for the Australian dollar, we could see traders focus on AUD/USD and EUR/AUD as markets quickly adjust rate expectations. Source…

Australia’s upcoming CPI release could make or break March RBA tightening expectations. Our Event Guide for the Australian Inflation Report points out that the previous release contained outsized gains due to one-off factors, possibly resulting to a much weaker January reading by comparison. Here’s what I’m watching on AUD/NZD and AUD/JPY in case the numbers disappoint. Source link

China moved to restrict dual-use exports to 20 Japanese entities, a fresh escalation in trade frictions amid already strained bilateral ties.Summary:China’s Commerce Ministry adds 20 Japanese entities to an export control “watch list”Measures ban exports of dual-use items to listed entities without licencesOverseas parties also barred from re-transferring China-origin dual-use items to themBeijing cites inability to verify end-users/end-uses, and frames move as curbing Japan “remilitarisation”Includes names such as Subaru, Mitsubishi Materials, Sumitomo Heavy Industries and aerospace trading unitsChina’s Commerce Ministry said it will place 20 Japanese entities on its export control list, tightening restrictions on shipments of dual-use items in…