Category: Analysis

USDJPY continues to descend for the fifth consecutive day, after a double upside rejection and a bull-trap at 148.49 Fibo barrier (76.4% of 151.15/139.88) contributed to the change of direction. Weaker dollar (which acted as a safe haven on trade uncertainty) following relief on US-China trade agreement and signal that BoJ may resume with tightening…

Cable jumped around a hundred pips on Monday morning, lifted by weaker dollar on surprise US credit rating downgrade and the latest EU/UK agreement on defense. Fresh advance attempts to break above three-day congestion that would signal continuation of recovery from 1.3139 (correction low of May 12) which has already retraced 76.4% of 1.3444/1.3139 pullback.…

The Australian dollar has started the week in positive territory, after losses in three straight trading days. In the European session, AUD/USD is trading at 0.6449, up 0.65% on the day. RBA widely expected to lower rates The Reserve Bank of Australia is widely expected to lower the cash rate to 3.85% from 4.1% on…

On Friday, 16 May, after markets had closed, Moody’s Ratings announced a downgrade of the long-term sovereign credit rating of the United States from the highest level of Aaa to Aa1. The key reasons cited by Moody’s were the rising national debt and interest payments, as well as expectations of a further increase in the…

The USD/JPY pair declined for a fifth consecutive day, touching 145.25, as the US dollar faced sustained pressure following Moody’s decision to downgrade the US credit rating. Key drivers affecting USD/JPY On Friday, Moody’s cut the US credit rating from Aaa to Aa1, citing a deteriorating fiscal outlook and a lack of “effective measures” to…

Gold price started a fresh increase above the $3,210 resistance level. WTI Crude oil prices are gaining bullish momentum and might even test $63.50. Important Takeaways for Gold and WTI Crude Oil Prices Analysis Today Gold price started a steady increase from the $3,120 zone against the US Dollar. A connecting bullish trend line is…

In focus today Today, the European Commission will release its spring economic forecast, likely revising euro area growth expectations from November’s 1.3% y/y to align with private banks’ consensus expectations of 0.8% y/y and the ECB’s 0.9% y/y projection from March. Attention will also be on the German fiscal package’s inflationary impact, viewed by some…

The week starts with a jump in US yields and a weaker dollar after Moody’s downgraded the US credit rating from the top Aaa to Aa1, citing concerns about the US’ rapidly rising debt toward the $37 trillion mark and a budget deficit reaching 7% — the highest in peacetime. Moody’s decision is unsurprising, as…

Markets Rating agency Moody’s dropped a little bombshell in late US dealings last Friday. It stripped the US of its top notch AAA-rating over, unsurprisingly, the budgetary situation: “We do not believe that material multi-year reductions in mandatory spending and deficits will result from current fiscal proposals under consideration. Over the next decade, we expect…

Key Highlights EUR/USD started a fresh decline from the 1.1260 resistance. A key bearish trend line is forming with resistance at 1.1225 on the 4-hour chart. GBP/USD is consolidating below the 1.3350 resistance zone. Gold prices dipped further and traded below $3,180. EUR/USD Technical Analysis The Euro attempted to recover above 1.1220 against the US…