Last week several important economic updates influenced the Forex market. US preliminary GDP fell less than expected (0.6% actual vs. 0.7% forecast). Below you will find the key events to trade on during the week from August 29 to September 2.
Market updates on November 29
Key events ahead:
Canadian GDP growth rate – 15:30 MT time
- The Asian trading session did not see any significant movers today after the Thanksgiving holiday in the US. We will be awaiting updates on the US-China trade talks. USD/JPY has been consolidating below the 109.55 level on H4. In case of positive news, this level will be broken and the next resistance will be placed at 109.69. If the risk sentiment is off, the pair will fall as far as the 109.28 level will be reached. After the breakout, bears will pay attention to the 109.08 level. RSI oscillator is in the overbought zone. If it leaves this zone, we may open a short position.
- The Canadian dollar is awaiting the release of Canada’s GDP growth. According to the forecasts, it will advance by 0.1%. At the moment of writing, USD/CAD has been trading right above the 50-period SMA. The price formed the symmetric triangle pattern on the chart. The pair has already tested the 1.3288 resistance level. In case of a breakout, the next resistance will lie at 1.3298. If the indicator is higher than the forecast, the pair will break the lower border of the symmetrical triangle and test the 1.3269 level. If it is broken, the next support in bear’s target will lie at 1.3254.
- CAD/JPY has been trying to overcome the 82.45 resistance level on H4. Bulls need to break this level to continue the upward movement towards the 82.52 and 82.57 levels. Key support levels are placed at 82.28 and 82.14.
Last week, there were sharp swings in USDJPY, a decline in oil prices, and a surge in Tesla stock. What's next?
Geopolitical factors and inflation remain the main drivers of financial markets. Let’s see how to use that in trading!
Main news that will drive the market in the upcoming week include CB Consumer Confidence Index, Canadian GDP, and US Core PCE Price Index
The Federal Reserve (Fed) will announce its Interest Rate Decision and make a statement about the future monetary policy on Wednesday, September 21, GMT+3. After the higher-than-expected inflation numbers published on September 13, there’s almost no doubt the Federal Reserve will come up with another 75-basis-point rate hike. However, surprised by the CPI numbers, several Fed members announced the possibility of a 100-basis-point rate hike on Wednesday.
Every week we expect many interesting events that can shake the market.