August 20: consolidation
The consolidation that started on Wednesday is continuing so most currency pairs with the USD are going flat.
Tag - usd
European markets slightly higher after the record highs of S&P500
The advance of S&P500 came as shares of big tech stocks rallied and reflected the trend of the past months of this year in equity markets.
EUR/USD stabilized below 1.1950
The most traded pair takes a breath after reaching levels unseen since May of 2018.
South African Rand is boosted by risk-on mood
Goldman Sachs claims the ZAR may rise further, if global markets keep rallying. Let’s discuss it in detail.
Main market movements on August 19
The sentiment is indeed risk-on today! S&P 500 surged to the all-time high, and EUR/USD jumped to levels unseen since May of 2018. Let’s have a closer look.
S&P500 hit an all-time high in the previous session
USD/JPY: The pair is now trading within the cloud. Any decisive movement to the south will lead USD/JPY to exit the Kumo, confirming the bearish scenario.
August 19: the USD stalls
Most currency pairs with the USD are in consolidation currently as the USD has stalled its depreciation spree.
S&P500 in flirt with a new all-time high
ER/JPY: The EUR/JPY pair is now testing the upper level of the cloud. A successful attempt to exit the Kumo will signal a new bullish sentiment.
Weekly US employment data: chances for the USD
The United States will release unemployment claims on August 20, at 15:30 MT time.
USD/CAD: massive sell-off
The pair slumped to levels unseen since January. What’s next?
OPEC is set for a virtual meeting tomorrow
GBP/JPY: the pair is now trading slightly above the Kijun Sen. A failed attempt to move higher will lead GBP/JPY below the Kijun Sen.
How to trade on August 18?
Risk-on is back on the market. The US dollar is dipping down, while riskier currencies and stocks are rising.
