The Bank of England (BoE) has dramatically shifted its economic forecasts. They no longer expect a recession in the UK and have upgraded their growth projections. This year, the BoE predicts GDP growth of +0.25%, a significant improvement from previous expectations. Next year's forecast is even more optimistic, with a projected growth of 0.75%.
Trading plan for August 7
2019-11-11 • Updated
It’s a forecast for August 7.
- The US dollar index has been climbing to the psychological level at $95.50. The index had been trying to break above it since the end of June. The index needs a strong boost to hit above $95.50 finally. No important data will be released on Tuesday. However, if there are clues on the further escalation of trade wars, the index will climb higher. The next resistance is at $96. Otherwise, the trading within $95-95.50 is anticipated.
- The Australian dollar is anticipated to be volatile on Tuesday, as the central bank will release the interest rate (7:30 MT time). Although any changes in the interest rate are not anticipated, clues on the future monetary policy will define the direction of the AUD. Up to now, AUD/USD has been trading below the pivot point (0.7395). If the central bank is hawkish, the pair will be able to move above the pivot point that will become a positive signal for the pair. The resistance will lie at 0.7415. Otherwise, it will move further down to the support at 0.7350. Moreover, MAs are moving down, that is a negative signal for the pair.
- The USD is stronger, other currencies suffer a lot. GBP/USD has reached the support at 1.3925. On the weekend, the UK International Trade Secretary said that the Brexit negotiations are likely to end in failure. Any deadlocks in the negotiations cause a fall of the GBP. If the US dollar index is strong on Tuesday, the pair will move to the next support at 1.2850. Otherwise, it has chances to recover. The resistance is at 1.3050.
On Wednesday, the US dollar weakened in anticipation of the US CPI data, which could influence market exposure. A Bloomberg survey predicts a year-on-year read of 5.0% to the end of April. Market sentiment is affected by the US debt ceiling and issues with regional banks. While the major APAC equity indices are...
Gold prices have stabilized at around $2,020 ahead of Tuesday's trading session, following last Friday's dip. Recent fluctuations in risk sentiment have been the driving force behind the pricing of the precious metal. How does this look on the charts? Let’s find out.
Let's dive into the latest developments shaping the global economic landscape. Good news first: the threat of an unprecedented US debt crisis has receded, as US lawmakers passed a bill to raise the debt ceiling and avoid a catastrophic default. Phew! But don't pop the champagne just yet, because storm clouds are still looming. High inflation, rising interest rates, and sluggish growth are challenges that have yet to disappear.
Thanks to the incredible advancements in horizontal drilling and fracking technology, the United States has experienced a mind-blowing shale revolution. They've become the heavyweight champion of crude oil production, leaving Saudi Arabia and Russia in the dust. They even turned the tables and became net exporters of refined petroleum products in 2011.
Let's dive into the world of gold. Currently, the price of gold, represented by XAUUSD, is stuck in indecision, hovering around the $1,975 mark. The market is anxiously awaiting two important factors: the release of the Federal Reserve's meeting minutes and the extension of the US debt ceiling.