Forecasts & Analysis | Forex, Page 4

The Euro initially tried to rally during the trading session on Wednesday but has found quite a bit of resistance near the 1.12 EUR level. This is the beginning of major resistance as we have seen over the last several sessions, so this should not be much of a surprise.

Australian dollar rallies during the early part of the session only to turn around and break down. At this point, the 0.68 level should continue to offer plenty of negativity, and therefore it’s likely that we should continue to see downward pressure.

Based on the early price action and the current price at 1.1143, the direction of the EUR/USD the rest of the session is likely to be determined by trader reaction to the short-term 50% level at 1.1139.

Last few days are maybe volatile for Gold or Stocks but Euro is holding steady. On most of the pairs with the EUR, since the 5th of August we are witnessing a sideways trend.

The economic calendar stays quite light on Wednesday in terms of USD/CAD-impacting economic events. Crude dropped following API Crude data report revealing mounting US Crude Inventories.

GBP/USD caught a bid in early trading on Wednesday as inflation data out of Britain came in better than expected.

Although there was quite a bit of volatility in the markets over the last 24 hours or so, EUR/USD continues to hold in a range that started early last week.

After painting a pretty dour overview of the world in yesterday’s write-up, it seems the combination of a world that is incredibly long of gold, JPY, CHF and bonds, married with Trump offering even the slightest belief of convergence with China, has resulted in swift part position-adjustment.

After being stuck in trade war purgatory and starved of positive news of late, any glimmer of optimism or agreement on practically anything on the trade war front is viewed favourably. However, with your average investors so emotionally involved in the trade war outcome, are their judgments clouded by those

Based on the early price action and the current price at 97.615, the direction of the September U.S. Dollar Index on Wednesday is likely to be determined by trader reaction to the intermediate 50% level at 97.510.

Tuesday’s spike to the upside was fueled by news and short-covering. In order to start a prolonged rally, there is going to have to be a shift in sentiment and a solid support base.

Based on the recent price action and the current price at .6458, the direction of the NZD/USD is likely to be determined by trader reaction to the pivot at .6483.

The US dollar has gone back and forth during the trading session on Tuesday, reaching down towards the ¥105 level. Overall though, it looks as if the market is trying to test this area to see if we can unwind even further.

The British pound initially fell during trading on Tuesday but turned around to rally a bit and fight as we had approached the psychologically and structurally important 1.20 level underneath.

The British pound has gone back and forth during trading on Tuesday, as we continue to see a lot of negativity around the world. However, it was a reasonably stable trading session in both Asia and Europe, so it could foretell the next short-term move.

The Euro initially fell again during the trading session on Tuesday but found support in the same general vicinity that we have seen for some time. Because of this, the choppiness continues as we continue to trade right around the 50 day EMA.

The Australian dollar initially tried to rally during the trading session on Tuesday but has given up quite a bit of the gains to form a less than impressive candle. Ultimately, this market looks as if it is continuing to find plenty of resistance at the 0.68 handle.

Based on the early price action and the current price at 1.1217, the direction of the EUR/USD the rest of the session is likely to be determined by trader reaction to the Fibonacci level at 1.1185.

On the markets, we are back at the risk-off mode. Traders all over the world are allocating their money in safe-haven assets, escaping from those risky ones. Now let’s look at the reasons for that. Trade Wars? Argentina? Hong Kong? Political crisis in Italy?

On the 4H Chart, the Loonie pair appeared to travel well above the Green Ichimoku Clouds, sustaining the near-term positive trend. On the Crude side, Saudi stays underway efforts to boost the commodity’s price with the IPO of Aramco.