The Fed is ready to start tapering in November. Since the markets were expecting this and it wasn’t a surprise, the USD slumped allowing risk-on currencies and gold to rally up.
News to trade on November 22
On November 22nd and 23rd due to Thanksgiving celebration, the trading schedule for metals and American futures will be changed.
On November 22nd:
•Trading for XAUUSD, XAGUSD, Palladium, Platinum will be closed at 20:00 MT;
•Trading for WTI, BRENT will be closed at 19:45 MT
On November 23rd:
•Trading for XAUUSD, XAGUSD, Palladium, Platinum will be closed at 20:45 MT
•Trading for WTI, BRENT will be closed at 20:30 MT
Please, keep these changes in mind when planning your trading sessions. Do not hesitate to contact the FBS Support team in case you have any questions.
- Yesterday, the European Commission rejected the proposed Italian budget. Italian authorities including deputy's Prime Minister Matteo Salvini are planning future negotiations on this topic. Positive news can help the EUR to gain towards the resistance at 1.1487. If the uncertainties appear, EUR/USD will fall to the support at 1.1350.
- The EU and the UK negotiators have agreed on draft Brexit, according to today's news. Now the future of this agreement depends on the decision of 27 EU members. This is a good news ahead of the EU Summit on November 25. The British PM Theresa May will try to finalize the Brexit agreement before Sunday's summit. Today, she is expected to make her speech to parliament at 16:30 MT (14:30 GMT) time.The GBP was supported heavily by the news, jumping above the resistance at the central pivot at 1.2874 and testing the 1.29 level. The next resistance for the cable lies at 1.3026. In case, of uncertainties, the British pound can fall towards the support at 1.2677.
- During the Asian session, the NDZ/USD sellers pulled the New Zealand dollar, making it the biggest loser during the Thanksgiving holidays. The kiwi propped below the support at the central pivot at 0.6820. The next support lies at 0.6756. If the risk-on sentiment across the equity markets stabilizes, NZD/USD will rise towards the resistance at 0.6882 (200-day MA).
- As for the AUD, the economists at ANZ pushed their expectations for a rate hike to August 2020. It drove the Australian dollar to test the support at 100-day MA at 0.7251. If the bearish pressure increases, AUD/USD can fall towards the next support at 0.7216. The risk-on sentiment can help the aussie to stick above 0.7277.
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Australia will release employment change and an unemployment rate on Thursday, October 14, at 03:30 MT (GMT+3).
The crypto market keeps recovering. Bitcoin has broken above $57,000. The way up to $60,000 is open now!
The US dollar is heading to close the seventh day in the red as it remains under selling pressure. The US data at 15:30 GMT+3 (jobless claims and Philly Fed Manufacturing Index) may support the greenback if it's strong.
Canada will publish the Retail Sales and Core Retail Sales on October 22, at 15:30 MT time (GMT+3).
The United States will release the weekly Unemployment Claims on October 21, at 15:30 MT time (GMT+3).