Markets ahead of Christmas

Markets ahead of Christmas

Fundamentals

  • The UK and the EU negotiators are working to finalize the historic Brexit trade deal. An announcement is expected today, which will drive the pound up. Actually, the GBP has already started rallying upwards. Check out GBP/USD and EUR/GBP.
  • The USD was pressed down by the Brexit hopes and by the US stimulus package impasse. After the US Congress passed a coronavirus-relief bill, US President Donald Trump refused to sign it. He insists that the $600 payment should be $2 000. House Democrats supported that idea.
  • Pfizer and BioNTech will double the deliveries of their Covid-19 vaccine to the US. Scientists seem to agree that the vaccines will be efficient against the new coronavirus strain as well, improving the market sentiment.
  • UK Prime Minister Boris Johnson imposed stricter restrictions in the country because of the new virus strain, which is quickly spreading.
Watch our daily video!

Technical tips

EUR/USD

EUR/USD is trading in an ascending channel. If it jumps above the high of December 22 at 1.2240, the way up towards the high of December 17 at 1.2270 will be clear. On the flip side, if the pair drops below the lower trendline of 1.2175, it may fall to the next support of 1.2150.

EURUSDH4.png

GBP/USD

The British pound is edging higher on hopes for a soon Brexit agreement. The way up to the high of December 17 of 1.3610 is clear now. If it manages to break it, the next barrier will be at 1.3700. In the opposite scenario, the move below the support zone of 1.3460-1.3435 will drive the pair to the 200-period moving average of 1.3350.

GBPUSDH4.png

Gold

XAU/USD is trading in a descending channel in the long term, but in an ascending one in the short-term. The price is supported by the 50-period moving average from the downside. The doors are open towards the high of December 17 at $1 890. The breakout of this level will drive gold to $1 900. Support levels are at the recent lows of $1 860 and $1 850.

XAUUSDH4.png

EUR/GBP

EUR/GBP has approached the key support at the 200-period moving average of 0.9000. It’s unlikely to cross it by the first attempt as the pair has failed to break it several times this month. Therefore, the pullback to the upside is expected. If EUR/GBP finally crosses this level, the way down to the low of December 1 at 0.895 will be clear. Once the Brexit agreement is announced, the GBP should skyrocket and EUR/GBP should drop.

EURGBPH4.png

TRADE NOW

Similar

Strong USD on Tuesday
Strong USD on Tuesday

The main market tendency today is that the US dollar is rising against its major peers and riskier assets such as stocks and oil are plummeting.

Latest news

ECB report is in focus
ECB report is in focus

The European Central Bank will publish the monetary policy statement with the interest rate decision on January 21, at 14:45 MT time. 

Deposit with your local payment systems

Learn more

Data collection notice

FBS maintains a record of your data to run this website. By pressing the “Accept” button, you agree to our Privacy policy.

Callback

A manager will call you shortly.

Change number

Your request is accepted.

A manager will call you shortly.

Next callback request for this phone number
will be available in 00:30:00

If you have an urgent issue please contact us via
Live chat

Internal error. Please try again later

Don’t waste your time – keep track of how NFP affects the US dollar and profit!

Beginner Forex book

Beginner Forex book will guide you through the world of trading.

Beginner Forex book

The most important things to start trading
Enter your e-mail, and we will send you a free Beginner Forex book

Thank you!

We've emailed a special link to your e-mail.
Click the link to confirm your address and get Beginner Forex book for free.

You are using an older version of your browser.

Update it to the latest version or try another one for a safer, more comfortable and productive trading experience.

Safari Chrome Firefox Opera