The month of February saw markets make several instinctive moves as well as create opportunities for proper leveraging of fundamental releases. Despite being a leap-year, there wasn’t any real impact on price delivery in the course of the month. As we await the opportunities that lie ahead in the month of March, here are a few thoughts to consider.
2020-04-03 • Updated
Awesome Oscillator: at zero line
What looks like a stopped heartbeat on the GBP/USD H4 is a consolidation of the currency pair with almost 0% fluctuation. Why suddenly?
First, the GBP was losing to the USD due to fueled demand of investors for the USD as a reserve currency. But then, in the second part of March, the reports started growing gloomier for the US. Donald Trump eventually changed the tone at his press conferences from optimistic to quite pessimistic, and +6.5mln applications for the unemployment benefits among the Americans made the US dollar tremble. At the same time, that disappointment did not hit as strong due to hopes on the US-President-suggested scenario for the OPEC+ to cut oil supply by 10mln per day on Thursday.
However, the GBP could not take advantage of none of that because the UK is in a dire situation itself. The Bank of England is pumping more currency into its economy and plans to keep doing so. Hence, both currencies got weaker, although due to a different set of factors.
What will it be next? In the short term, today’s NFP will show. In the long-term, the strength is still on the US dollar’s side.
USD/CHF saw a rebound after declining for two days straight, climbing towards the important psychological level of 0.8800 during Wednesday's early Asian trading session. There's some pressure on the Swiss Franc (CHF) as traders await the Swiss ZEW Survey – Expectations report scheduled for later today. Moreover, investors are keeping...
In the early hours of Tuesday, the US Dollar faces challenges in maintaining its strength against major currencies, with the US Dollar Index struggling to surpass the 104.00 mark. Investors are eagerly anticipating the release of key economic data, including January Durable Goods Orders and the Conference Board's Consumer Confidence Index for February. Additionally, the economic calendar includes reports...
Bullish Scenario: Buys above 17910 with TP:18098.07, TP2:18277, and TP3: 18415 Bearish Scenario: Sells below 17850 with TP1:17730, TP2: 17700
During his program on CNBC on February 28, Jim Cramer expressed frustration with the impact of earnings reports on market behavior, noting how they often prompt rash decisions by average investors. He criticized the short-term focus and lack of attention to nuance in news coverage of earnings. Cramer cited examples of Home Depot and Lowe's, highlighting how investors reacted hastily to headline news without considering the broader context provided in earnings calls.
After creating record highs, Wall Street's main indexes opened on Wednesday and began to edge lower, reflecting cautious sentiment among investors. They're eagerly awaiting crucial inflation data that could impact the U.S. Federal Reserve's interest rate decisions. The upcoming release of the personal consumption expenditures (PCE) price index is expected...