As you must already know, the direction of Gold is mainly dependent on the Price action of DXY (US Dollar index). So first, we take a look at the US Dollar index.
Pound Is Rising Against Euro and Dollar
2021-10-01 • Updated
After GBP/USD hit the lowest level since December 2020, it has reversed up and gained some strength. It has managed to break above the psychological mark of 1.3500. A short pullback to 1.3500 may happen after such as strong breakout. However, the rally should last for longer. The doors to the high of September 29 at 1.3550 are open. The breakout above it will push the pair up to the psychological mark of 1.3600. Support levels are at the recent lows of 1.3450 and 1.3415.
The US dollar was strengthening amid rising energy prices, expectations of the soon Fed’s tapering, causing a risk-off mood in markets. However, the US dollar has lost steam and allowed risk-on currencies like the pound sterling to advance.
The UK has revealed Final Manufacturing PMI, which came out better than expected: 57.1 vs the forecast of 56.3. Besides, US jobless claims came out worse than expected. All eyes are now on US ISM Manufacturing PMI at 17:00 GMT+3, which can change the track for the GBP/USD pair. A better-than-expected US PMI may press GBP/USD down, while worse – up.
On January 12, the Bureau of Statistics will publish the Consumer Price Index (CPI) figures, a key index for determining interest rates. While we await the release, experts forecast a decline in the CPI data, a hint at weaker Dollar values in the global markets.
Hello, my beautiful readers. This week, we continue our critically detailed look at the markets in hopes of getting profitable trading opportunities. As usual, I'll be starting with the DXY (US Dollar Index) since it holds considerable sway over the Major currency pairs.
Last year was tough for the Japanese yen. USDJPY gained more than 30% over 2022, striking above 150 in October. While anticipation of slower Fed rate hikes pulled the pair below the 130 level at the start of 2023, the speculations over the destiny of BOJ’s yield control policy grabbed the attention of the Japanese assets in the middle of January. What lies ahead for traders of the Japanese yen?
Today, at 5:00 pm (GMT +2), the Bank of Canada will publish the Overnight Rate, which represents short-term interest rates, and is pivotal to the overall pricing of the Canadian Dollar in the global markets. Let's look at how the markets are faring ahead of the BoC rates release.
In a call scheduled for January 25, 00:30 am GMT+2, Microsoft will publish the company's earnings for the final quarter of 2022 and comment on the results, projections, and outlook for the nearest future of the company.