Last week was very interesting for the markets, as we saw the releases of the US Inflation and Disney’s earnings report. So let's see what we should await this week!
Market updates on October 11
Key events ahead:
- US-China trade talks
- Meeting between the EU chief negotiator Michel Barnier and UK Brexit Secretary Stephen Barclay - 10:00 MT (7:00 GMT) time
- Canadian employment change and unemployment rate – 15:30 MT (12:30 GMT) time
- EUR/USD has been consolidating above the 1.0994 level (200-period MA on the 4-hour chart). The next resistance, which bulls will try to reach, will be placed at 1.1023. The further rise may be restricted by the 1.1046 level. In case of an alternative scenario, when bears may try to break the 1.1005 level, they will pull the pair lower towards the support at 1.0994. After that, the next key support will lie at 1.0985.
- The British pound has been moving up on positive news surrounding Brexit. Yesterday’s comments by the Irish Prime Minister expressed optimistic views on the outcome of the meeting with the UK PM Boris Johnson. Today the European Council president Donald Tusk said that the EU is awaiting a final proposal by the PM today ahead of the European summit next week. GBP/USD has surged above the long-term descending trendline and tested the highs above the 1.2520 level on H4. If the bullish mood in the market continues, there is a chance of the pair to reach the 1.2558 level. After that, the next key resistance will lie at 1.2577. From the downside, the levels are 1.2480, 1.2462 and 1.2435.
- The Canadian dollar is awaiting Canada's jobs data. According to the forecasts, the employment change will advance by 11.2 thousand jobs, while the unemployment rate will remain at the same level of 5.7%. If the actual figures are positive, USD/CAD will break the support at 1.3268 and pull the pair below the 200-period SMA to the 1.3259 level. The next support level will lie at 1.3253. If the pair reverses, it will retest the 1.3296 resistance level. Bulls will be looking for a breakout of this level to reach 1.3306.
The volatility that the markets experienced last week promises the second tidal wave! What should your favorite assets anticipate during the first week of February?
The US will reveal Non-farm payrolls on January 7, Friday, at 15:30 GMT+2 (MetaTrader time).
The US Bureau of Economic Analysis will publish Core Personal Consumption Expenditures (PCE) on May 27 at 15:30 GMT+3.
The United States will publish the Preliminary GDP on Thursday, May 26, at 15:30 GMT+3.
The Reserve Bank of New Zealand will publish a monetary policy report and make an update on the interest rate on May 25, at 05:00 GMT+3.