In line with market expectation, the Fed left rates unchanged last night after its two-day policy meeting. In their statement, the Fed said it remains on track to gradually raise short-term interest rates this year and also pointed to improvements in the economy. Unfortunately, no clear timeline was mentioned. As a… read more
Daily
The following is a summary of the previous day’s foreign exchange market movements in the major currencies and the commodities markets. It is meant as an informative guide to the reasons underlying currency and commodity movements seen in the previous day’s foreign exchange trading. Together with a market snapshot at close of the New York session, indicators/events released during the session are outlined compared with their expected level of influence before release. This fundamental analysis summary also highlights upcoming data/events which may influence currency movements upon their release.
You will also find a technical analysis snapshot at time of release, highlighting support and resistances of each of the major currencies and gold. Coupled together with the reasons behind these important levels, traders can expect some support or resistance when these levels are reached.
Daily Outlook
February 1, 2017Stocks sold off for a 2nd day on Tuesday with concerns about Trump’s Presidential style undermining the confidence of investors. The USD tracked the concern lower and we saw the USD Index broke below 100. EUR/USD has broken above 1.0800 to fresh cycle highs and was supported not just on… read more
Daily Outlook
January 31, 2017U.S. uncertainty on the Trump administration’s policy on trade and immigration coupled with an event laden week ahead, saw traders sell the greenback overnight. The yen climbed 1.3 percent to 113.675 per dollar while the Mexican peso strengthened 0.5 percent to 20.7771. Amid widespread protest and congressional concerns within his own… read more
Daily Outlook
January 30, 2017The U.S. dollar weakened on Friday after data showed that the U.S. economy growth was slowing. The report, which showed an uptick in business investment but a decline in U.S. exports, continued the post recession trend of lackluster growth. Fourth-quarter GDP grew 1.9% compared to expectations of 2.2%. It was a… read more
Daily Outlook
January 27, 2017USD Rallied sharply as it finally pushed the USD through some strong EUR/USD support at 1.0700 and USD/JPY resistance Y114. Gold also continued to fall and stocks printed fresh highs. Trump’s war of words with mexico escalated as the Mexican premium cancelled the plan meeting as Trump twittered again that Mexico… read more
Daily Outlook
January 26, 2017US Dow Jones 30 broke 20000 for the first time in history and has closed above the figure in a strong return of the Trump rally. This as President Trump announced his fiscal spending plans with the notable wall with Mexico gaining most of the headlines. US Yields responded breaking… read more
Daily Outlook
January 25, 2017After a three day sell-off, the greenback firmed last night despite mixed data out of the U.S. Existing home sales fell for the month of December to 5.49 million units from the previous month number of 5.65 million. Flash Manufacturing PMI however, was slightly better at 55.1 for the month… read more
Daily Outlook
January 24, 2017The USD remained on the backfoot as continued concern over the Trump presidency flowed into the markets. The main headline over night was that Trump was pulling the US from the TPP and that a border tax was coming. Fears of global protectionism sent USD/JPY lower and stocks slightly lower… read more
Daily Update
January 23, 2017The greenback fell and the Mexican peso rallied 1.7 percent against the dollar during the swearing in of Donald Trump as the 45th President of the United States. The dollar oscillated during the 16-minute speech but ended lower. Traders had been hoping for more clarity on his tax reform and… read more
Daily Outlook
January 19, 2017Janet Yellen helped spur a USD reversal yesterday with large gains seen across most pairs with the biggest seen in USD/JPY which closed up nearly 200 pips from Asian lows at Y114.60. AUD/USD is back at the key 0.7500 level which is also the 200 DMA but traders will be… read more
