By Elizaveta Belugina
The bears keep pulling GBP/USD down: the pair fell to the lowest levels since Sep. 2013.
Next week all key news related to GBP will come on Wednesday. Firstly, the UK will release labor market statistics: the unemployment data and the average earnings index (a lower reading of this index will have negative impact on GBP). Secondly, the Bank of England will release Inflation Report and Governor Mark Carney will comment on it.
The pressure on the Bank of England to raise...
By Kira Iukhtenko, FBS
US dollar gained ground versus all the major currencies on the past week as the Republicans' takeover of the US Senate increased political pressure on the Fed to raise interest rates. The overall upbeat tone of the recent US releases firms the hawkish sentiment up. US October NFP came out slightly at 214K – this is slightly below the forecast, but above the crucial 200K waterline. Meanwhile, the unemployment rate lowered to 5.8% in October.
On the next week there are not...
By Kira Iukhtenko
On the ECB November 6 meeting Mario Draghi has once again used his beloved tool of monetary stimulus: promises. Monetary policy remained unchanged, but Draghi underlined the ECB will be unanimous in launching new stimulus if needed. The overall economic prospects remain gloomy, so markets will now be expecting a large-scale QE to come in December. Dovish ECB tone pulled EUR/USD down below 1.2400.
Euro zone is scheduled to release a block of important data next Friday: don’t...
FXBAZOOKA.com - USD fell for a second day gapping down in major pairs after US October payrolls growth was weaker than economists expected and traders reduced bets for an early Federal Reserve interest-rate increase.
EUR/USD rose almost to 1.2490.
GBP/USD rose above 1.5900.
USD/JPY tested levels below 114.00.
AUD/USD rose to 0.8680 and NZD/USD went up to the levels just below 0.7800 as Chinese trade surplus came out above forecasts.
Trade signals from Danske Bank
USD/CHF: LONG at 0.9555, Take Profit 0.9790, Stop Loss 0.9542 (revised)
USD/CAD: LONG at 1.1195, Take Profit 1.1500, Stop Loss 1.1325 (revised)
EUR/JPY: LONG at 142.10, Take Profit 143.79, Stop Loss 142.29 (revised)
AUD/USD: SHORT at 0.8735, Take Profit 0.8544, Stop Loss 0.8810
EUR/GBP: SHORT at 0.7920, Take Profit 0.7756, Stop Loss 0.7930
EUR/CHF: SHORT at 1.2080, Take Profit 1.2021, Stop Loss 1.2099
NZD/USD: SHORT at 0 .7760, Stop Loss 0.7800...
EUR/USD spiked to $1.2760 as German import prices picked up, while US durable goods orders declined. However, then euro returned lower as US consumer confidence jumped to the highest levels since late 2007. Support is at $1.2720 (200-hour MA) and $1.2700. On Wednesday the pair will be more consolidative ahead of the Fed’s meeting results at 18:00 GMT. Further dynamics will depend on the Fed. Below $1.2700 at least euro will fall to $1.2630. Still, if the Fed doesn’t change its forward guidance...
Analysts at major US bank remain bearish on the New Zealand dollar for the following reasons:
Price and import demand in whole milk powder will fall further
Fonterra is expected to further reduce its payout forecast for 2014/15
China will reduce demand for imports in the near term given excess inventories
“We expect the recent peak in dairy prices, the lift of EU dairy quota and lower feed costs to increase global milk production. In particular, global dairy export volume is...
EUR/USD is trying to overcome $1.2700. The results of the European banks stress tests were a bit better than expected, but data from both the euro area and the US on Monday came lower and outbalanced each other. Tomorrow market players will watch whether the US durable good orders and consumer confidence pick up. We see a kind of a short-term rising channel on the chart since Oct. 23. Resistance is at $1.2740, $1.2770, $1.2790 and $1.2850. Support is at $1.2675 and $1.2625.