All eyes are turning to the Federal Reserve and the US dollar. How to trade XAU/USD, EUR/USD, and GBP/USD?
EUR: beating the USD so far
At the beginning of Thursday, we were not sure whether the EUR/USD would hold ground at the level 1.1000 which is was testing during the day. Eventually, not only it managed to hold but firmly broke it to rise to 1.1100 and above. Currently, the nearest bullish target is the lower March resistance of 1.1140. Will the EUR/USD have enough strength to beat it? There is a probability for that knowing that the EUR is pushed by the economies recovering and financial aid on the table of the European Commission. However, as the US-China tensions keep increasing, the USD may get the upper hand on risk-off moods given the coming announcement Donald Trump promised to make on the subject before this weekend. So a reversal is possible to get EUR/USD back down as well. Watch that closely and trade wisely!
The main bank of Russian will likely turn hawkish today. Time to sell USD/RUB?
The RBA Rate Statement comes on June 1, at 07:30 GMT+3.
The Bank of England will release its statement and announce its monetary policy decision at 14:00 MT.
Last week the USD soared versus other major currencies, while gold headed for the biggest weekly loss in 15 months. Let’s see what new moves await us this week!
The US dollar has surged to levels unseen since April after the Fed's decision back on Wednesday. Gold has reversed up from the local dips. Still, this week was the worst for gold in more than a year.