|Day's range||1.309 - 1.31|
|52-week range||1.2255 - 1.3376|
The new week starts for us with the analysis of the USDJPY, where we do have a nice bullish setup. In addition to that, USDJPY drew a bullish price formation – Inverse Head and Shoulders pattern (yellow).
Subdued USD demand fails to build on the momentum beyond 1.3100 mark as market focus shifts to this week’s key event risk – BOC monetary policy decision.
China sees its slowest growth since 2009 to rile the markets in the wake of a Thursday sell-off that came off the back of positive stats out of the U.S.
The USD fails to capitalize on early up-move and seemed to cap gains as Falling oil prices weigh on Loonie
It’s all eyes on the Pound, with Brexit news and UK retail sales figures to provide direction through the day. Any progress on Brexit to be the key driver.
Today’s US/Canadian data might provide some impetus ahead of FOMC minutes, while a modest USD rebound helped find decent support ahead of 1.2900 handle
Even after recovering from 1.1430-25 support-zone, the EURUSD has to surpass 100-day SMA level of 1.1630 in order to justify its strength in targeting the seven-month long descending resistance-line, around 1.1730. Should prices rally beyond 1.1730 on a daily closing basis, the 1.1810 & 1.1850 are likely intermediate halts that can be availed prior to aiming the 1.1920 level, comprising 200-day SMA. In case the pair witness downside pressure, the 1.1520, the 1.1500 and the 1.1430 may entertain short-term sellers before again highlighting the importance of 1.1430-25 area. ...
Loonie gains momentum across the board after Bank of Canada business outlook survey update.
Bullish oil prices exerts downward pressure for the second straight session, while resurgent US bond yields ease USD bearish pressure and helped limit downfall.
While the USMCA brings to an end the coveted free trade agreement, as details of the USMCA emerge, a number of changes were made, while both Canada and Mexico are expected to continue to face aluminum and steel tariffs.
Tuesday could have been a crucial day for the EURUSD. Yesterday the price broke the lower line of the descending triangle but this breakout was false and the price quickly came back above the support. In addition to that, we broke the upper line of this triangle.
Economic data out of Asia give the Aussie and Kiwi Dollars some respite early in the day, while geo-political risk remains the key area of focus.
Surging US bond yields supportive of the prevalent USD bullish move while Pickup in oil prices underpin Loonie and seemed to cap strong gains.
Although short-term descending trend-line signals further downside of the EURUSD, oversold RSI & 1.1430-25 support-zone could trigger the pair’s pullback. Given the sellers refrain to respect the 1.1425 mark, the 1.1390 & the 1.1350 may offer intermediate halts during the pair’s drop towards 1.1300 round-figure. Even if the pair manages to conquer aforementioned TL figure of 1.1515, it still needs to surpass the 1.1525-30 region in order to aim for 1.1615 and the 1.1650. It should also be noted that the pair’s sustained trading beyond 1. ...
The Dollar could be in for another move should geo-political risks linger and trade war chatter out of China provide little comfort.
Having bounced off the 1.1535-25 support-zone, EURUSD needs to surpass the 50-day SMA level of 1.1605, followed by the 1.1645 hurdle, comprising 100-day SMA, in order to justify its strength in targeting the 1.1720 and the 1.1750 resistance-levels. However, the 1.1815-20 region could limit the pair’s upside past-1.1750, if not then 1.1900 and the 200-day SMA level of 1.1940 might please the buyers. Alternatively, a D1 close beneath the 1.1525 can quickly fetch the quote to 1.1430 and 1.1330 supports. Also, pair’s sustained decline below 1.1330 can avail 1. ...
The Loonie was on the move at the start of the 4th quarter, with talks of an imminent NAFTA deal providing support, ahead of a busy week.
Subdued USD demand/bullish oil prices exert some additional pressure while CAD gains additional support from Comments by BoC’s Poloz indicating an upcoming rate hike in October.
It was not a game-changing meeting, but it confirmed that the Fed is poised to raise rates further, despite the recent trade war jitters. US Stocks opened slightly higher.
A lack of workable trade agreements between the US and Canada could see a riled-up presidential administration take wild swings on the economic stage.