|Day's Range||98.46 - 98.62|
|52 Week Range||93.81 - 99.37|
Movements in oil prices can affect the broader stock market if the U.S. dollar significantly fluctuates. That’s the assessment from David Bahnsen, founder of The Bahnsen Group, with $2 billion in assets under management.
It’s a big day for the Pound, with retail sales figures due out ahead of the BoE monetary policy decision. Will there be any dissenters to sink the Pound?
The direction of the December U.S. Dollar Index on Wednesday is likely to be determined by trader reaction to the short-term pivot at 98.115. Watch for whipsaw price action because there are two key pieces to today’s Fed announcements. The first is the rate decision. The second is the policy statement with should offer clues about future rate moves.
World markets are cautiously waiting for comments from the Federal Reserve Board on monetary policy. It is widely expected that the key rate will be lowered on Wednesday. In addition to the well-known fears about the trade conflicts and the slowdown of the U.S. economy, there are suddenly appeared problems in the repo market.
Relief is set to sweep across financial markets after Saudi energy minister pulled down the threat of an escalation in geopolitical tensions in the region, and by stating the Oil production output will be fully back online by the end of September.
With economic data on the lighter side, the market focus will be on Brexit chatter and the FOMC. For the Loonie, inflation figures will also influence.
Markets react relatively sluggishly to the events of the beginning of the week. Oil remains at elevated levels, climbing13% since the beginning of the week.
Uncertainty over how the U.S will respond to the attacks on Saudi oil feeds could leave the markets tentative ahead of tomorrow’s FOMC decision.
Based on the early price action and the current price at 98.145, the direction of the December U.S. Dollar Index the rest of the session on Monday is likely to be determined by trader reaction to the pivot at 98.115.
Attacks on Saudi oil fields drove demand for the Yen and the Loonie as oil prices surged. Johnson is in focus later today and the GBP needs progress.
It’s risk-on through the Asian session as the markets respond to the ECB move. On the day ahead, the focus will be on Brexit and U.S retail sales figures.
The U.S. President has called on the Fed to reduce the key rate to zero or even lower so that the government could refinance its debt. In his latest attack on the Fed, Trump used his favourite method – raising the requirements above all rational levels to retreat and still win.
Based on the early price action and the current price at 98.640, the direction of the EUR/USD is likely to be determined by trader reaction to the short-term 50% level at 98.685.
Tensions between the U.S and China ease, supporting risk ahead of the heavily anticipated ECB monetary policy decision later today.
The Aussie Dollar takes another hit this morning. With stats on the lighter side on the day ahead, the focus will remain on Brexit and monetary policy.
Based on the early price action and the current price at 98.395, the direction of the September U.S. Dollar Index on Tuesday is likely to be determined by trader reaction to the short-term 50% level at 98.350.
Based on the early price action and the current price at 98.390, the direction of the September U.S. Dollar Index on Monday is likely to be determined by trader reaction to the 50% level at 98.350 and the downtrending Gann angle at 98.330.
While German trade data could trouble the EUR, it’s all eyes on Parliament, which could be suspended as early as today. What’s next for Boris?
The main trend is up according to the daily swing chart. A trade through 99.330 will signal a resumption of the uptrend after a three day setback. A move through 97.370 will change the main trend to down.
The Canadian Jobs data recorded upbeat reports, pleasing the traders. After testing the overhead 50-day SMA last day, the Ninja took a U-turn to the downside.
It’s nonfarm payrolls. Impressive figures today, following a jump in service sector activity could question whether the FED will deliver…