What events to follow and how to trade during the week of July 2-6?
How will USD react to NFP amid coronavirus?
The US NFP will be reported on Friday, June 5, at 15:30 MT time.
Instruments to trade: EUR/USD, USD/JPY, GBP/USD
NFP is the essential indicator that depicts the US economic health. It is released shortly after the month ends. It’s a must-see for every trader as most times it has a huge impact on the market. There is a general rule that USD will rise, if NFP is better than expected. Nevertheless, the coronavirus reality breaks all rules. The market doesn’t react now as most expect it. The reason is USD has a safe-haven title and it goes up, when the market sentiment is risk-off. Last time on May 8, non-farm payrolls were better than forecasted, USD movements were mixed as firstly the greenback dropped on a risk-on sentiment after the report, but then climbed the next day. Anyway, the report is more likely to bring fresh volatility in the market and create great trading opportunities.
Catch the impulse after the report and join the market movement.
EUR/USD retraced to 1.1870 after breaking out this level. It should be just a natural sell-off ahead of the further rally up.
The Fed held a much-awaited meeting yesterday. The bank hasn’t made any policy changes. As a result, the USD weakened and EUR/USD rocketed. Jump in to know all the latest news!
Our analyst discusses the latest news and shares his trade ideas on gold, EUR/USD, and S&P 500. Jump in!
The Bank of England will publish a monetary policy statement and update on the interest rate on Thursday, at 14:00 MT time.
The Reserve Bank of Australia (RBA) will hold a meeting and announce changes to the monetary policy on August 3, at 07:30 MT time (GMT+3).