Today's Important Indicators
This week, global markets saw an increase in trading volumes compared to previous sessions. ECB signalled that the end of QE may be coming before the end of 2018 amid convergence in inflation. Euro rallied on forthcoming policy normalisation while the Dollar lost some bulls despite good eco data. In today’s battle, we expect an array of data from Europe, UK and the United States.
MARKET MOVERS
EUR/USD – Euro rallies to $1.18 following Praet comment on policy normalisation and end of QE. Euro-Dollar moved higher for another session after ECB Praet confirmed talks for policy normalisation and the end of QE may be coming sooner than anticipated. Following the recent Italian developments and the hike in exchange rate, bulls pushed price higher towards $1.18, where a rejection was seen. Participants focus on the revision figures of the European GDP today.
EUR/ USD 4-HOUR CHART
GBP/USD – Pound highly uncertain on lack of eco data following expanded PMIs. Cable reached a fresh 2-week high yesterday but bears recovered the early losses as the market was somewhat inactive following a series of three consecutive good reports coming from the UK. Bulls pushed price above $1.34 and trades just point below the 200 MA on the 4-hour data chart. Investors look in Halifax HPI to get more clues for intraday trading.
GBP/USD 4-HOUR CHART
USD/JPY – Dollar weakness prevails but up against Yen as spending data disappoint. Dollar-Yen closed the Wednesday session higher and above 110 despite the marginal weakness in Dollar as the Japanese average cash earnings feel 60% compared to the last reading. Price was rejected right at the golden ratio at 110.20 and although it is holding firm above said level, it is likely that we will see a further downside move. Golden ratio critical and to be watched closely.
USD/JPY 4-HOUR CHART
USOIL – Oil edges lower on both oil and gas inventory build, price floats above $65/b. Oil closed a tad lower on Wednesday following a poor report from EIA as the agency announced a build in both Oil and Gas inventories. Although price had moved to a 3-day high, bears took over control, taking price to a bearish finish at $65/b. Concerns surrounding Venezuela, Iran and of course the June 22 meeting, are likely to remain in the spotlight for a little while.
CRUDE OIL DAILY CHART
XAU/USD – Gold bears hold price below $1300/oz hurdle, yellow metal indecision surfaces. Gold traded sideways in the Wednesday session covering an $8 action zone from $1293 to $1301 where it found a top. Priced stopped and corrected to the daily open level following a rejection on the upper side channel. It is possible that a break outside the channel will soon be seen.
XAU/USD 4-HOURS CHART
US Indexes – DJ soared 1.40% higher, S&P rose by 0.86%.
European Indexes – DE 30 opens 0.14%, UK 100 trades 0.27% higher.
Asian Indexes - ASX 200 tilted 0.52% higher, Nikkei 225 upsurged by 0.87%, Hang Seng trades 0.71% higher.
US Equities – Alphabet fell by 0.35%, Tesla increased by a tremendous 9.74%.
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