Author: FX

DXY trades near 107.90 on Friday on a tight range. Trading desks remain short-staffed contributing to a muted trading. Holiday momentum keeps Dollar elevated as 2025 comes to an end. The US Dollar Index, which measures the value of the USD against a basket of currencies, is trading within a very tight range on Friday, holding near 108.00 mark. Markets remain cautious, and thin year-end trading conditions limit volatility. Incoming data from Japan and China hinted at further industrial slowdown, but the Greenback’s buoyancy persists. Despite profit-taking after last week’s gains, the US Dollar continues its climb as traders return…

The Canadian Dollar tested back into recent lows and struggled to find gains. Canada’s economic data docket remains incredibly thin in the near term. Policy rate divergence is set to be the Loonie’s primary driver heading into 2025. The Canadian Dollar (CAD) continued its soft stance on Friday, easing into familiar near-term lows and shedding one-quarter of one percent against the US Dollar. The Loonie is entering a lull period with functionally no releases on the data docket in the immediate future, leaving CAD traders to battle it out near multi-year lows. Following the midweek market closure for the Christmas…

The USDJPY moved lower in the US session but after getting within 11 pips of the rising 100 hour MA. THe price has since bounced back to 157.84 currently as the buyers remain in firm control. THe last time the price tested the 100 hour MA was back on December 17 adn Deceember 18 before the FOMC rate decision. That decision helped to subsequently push the price higher . Yesterday a new high going back to July 17 was reached. The price also moved into a swing area on the daily chart between 157.66 and 158.86. The area is wide…

The European major indices are closing higher on the day. That runs counter to the moves seen in the US stock indices which are down sharply as money rebalances out of US and into Europe (at least today).The final numbers are showing: German DAX, +0.68%France’s CAC, +1.0%UK’s FTSE 100, +0.16%Spain’s Ibex, +0.5%Italy’s FTSE MIBFor the trading year with two more days left in the year:German DAX, +19.3%France’s CAC, -2.49%UK’s FTSE 100, +5.39%Spain’s Ibex, +14.1%Italy’s FTSE MIB, +12.55%Meanwhile, the US major indices are getting hammered with the NASDAQ index down -2.22% real away Dow industrial average -1.23%S&P index -1.65%NASDAQ index -2.22%Russell…

EUR/CHF has shown renewed bullish momentum in recent sessions, pushing up from the 0.9300 area to test a significant technical resistance confluence around the 0.9400 handle. Check out these key inflection points we’re watching on the 4-hour time frame: EUR/CHF 4-hour Forex Chart by TradingView EUR/CHF has been caught in a wide consolidation pattern through December, following a grinding downtrend that began in September 2024. The pair is now challenging a critical technical junction as it approaches the convergence of multiple resistance factors. Remember that directional biases and volatility conditions in market price are typically driven by fundamentals. If you…

The EURUSD moved higher in the early European market and in doing so, extended above the falling 200-hour MA (green line currently at 1.04286). The high price reached 1.04433 which was short of the highs from earlier this week and the high from last Friday near 1.0448. Those highs stalled ahead of a swing area between 1.0448 and 1.0461 (see red numbered circles on the chart above). The rise above the 200-hour MA could not be sustained with the last few hours seeing the pair move lower. That move lower (higher USD) comes despite US yields rotating off the highs.…

The major US stock indices are continuing their slide with NASDAQ now down -2.10% at 19,600. S&P is down -1.40% at 5952.00Dow industrial average is down -0.98% at 42900.29The Russell 2000 is down -40 24 points or -1.85% at 2239.20 US yields have started to move back to the lower after the sharp fall in stocks.2-year yield 4.307%, -2.4 basis points5-year 4.422%, -1.0 basis points10 year 4.582%, +0.4 basis points30 year 4.779%, +1.7 basis pointsThe NASDAQ index reached a low price of 19572.32. It 200 hour moving averages at 19488.03. In trading on December 18 and again on December 20,…

Pound Sterling gains as investors ignore mild acceleration in BoE dovish bets The Pound Sterling (GBP) gains against its major peers on Friday, with investors looking for fresh cues about how the Bank of England (BoE) will follow the interest rate cut path in 2025. The latest BoE policy announcement in mid-December indicated a dovish buildup as the nine Monetary Policy Committee (MPC) voted 6-3 to keep interest rates on hold, a bigger split than the 8-1 economists had predicted. Read More… GBP/USD Price Forecast: The bearish outlook remains in place below 1.2550 The GBP/USD pair posts modest gains to near 1.2520 during the early European session on…

EUR/USD registers a minor uptick on Friday, trading near 1.0430 after recent losses. RSI climbs to 44 in negative territory, indicating a tepid recovery but still suggesting sellers hold the upper hand. MACD histogram shows flat green bars, hinting at fading bearish momentum while the 20-day SMA remains a key hurdle. The EUR/USD pair ended a shortened week with a modest bounce, inching up to around 1.0430 on Friday. While this uptick offers brief respite from recent declines, the pair continues to trade below the 20-day Simple Moving Average (SMA), highlighting the prevailing downtrend. The SMA, parked above current price…

Natural gas prices have been a recent winner and there is talk of longer-range forecasts showing a particularly-cold January in the northeastern United States. Today’s number is something of a disappointment though after last week’s 125 bcf draw.As for oil, it’s holding up today despite the ugly mood in markets and the EIA weekly crude data is at 1 pm ET. This article was written by Adam Button at www.forexlive.com. Source link