Today's Important Indicators
Dollar weakened in the first trading day of the week despite last week’s geopolitical concerns surrounding US and Syria as US President Trump “attacked” China and Russia for currency devaluation. Euro and Sterling gained over the “soft” Dollar, Gold remained firm above $1345 and Oil fell. Market players expected an array of economic indicators as well as speeches from key bank members. Volatility is likely to be high today.
Today's Forecast for Important Trading Indicators
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MARKET MOVERS
EURUSD – Euro poised for higher levels as price retests last week’s high, Dollar broadly weaker. Euro-Dollar hit an intraday high at $1.2395 yesterday following a rather disappointing session for the US counterpart despite the positive Retail Sales figures. With a double bottom at the 50% Fibo retracement at $1.23 price is likely to head towards $1.24 as buyer’s confidence above 60 MA holds firm. Traders in for German ZEW at 09:00 GMT.
EURUSD 4-HOUR CHART
GBPUSD – Pound towards $1.44 following pre-Brexit record high while Dollar extends losses. Cable rose to a pre-Brexit high of $1.4345 on Monday, a level seen again three months ago, as the US Dollar depreciated on geopolitical “softness”. The 7th consecutive bullish session could be an indication of higher highs to be achieved, as the current price indicates already. Investors eye the 1.4390 while expecting the Average Earnings Index; due at 08:30 GMT.
GBPUSD DAILY CHART
USDJPY – Upbeat Retail Sales fail to push Dollar higher, price victim of US President Trump. Dollar-Yen lost nearly 40 pips in the Monday session owed to US Dollar weakness just days after the US-China “trade war” brought hopes in the markets. The pair fell amid Trump’s accusation, reaching a daily low at 107.00. Despite Yen traders focus on Abe’s approval rating with cautiousness, the US Building Permits at 12:30 will most likely add to sentiment.
USDJPY 1-HOUR CHART
USOIL – Oil bulls take a breather following multiyear high, price remains bullish above $65.45. WTI fell yesterday as the US -Russia conflict over Syria was notched down following an overnight US strike on suspected chemical weapons facilities linked to Assad. After five sessions of upside momentum, this move was expected from a traders’ perspective too. As long as price remains above the strong support at $65.45 price is likely to remain bullish.
OIL 4-HOUR CHART
XAUUSD – Gold steady as geopolitical concerns subdue, investors indecisive as apex approaches. Gold remained unchanged on Monday following some “softness” surrounding geopolitical concerns while price approaches to a breakout level. The precious metal closed at $1340 per ounce despite a positive US Retail Sales as risk appetite subdued owed to shift in asset trading despite a US strike on Assad’s chemical weapons facilities. Investors remain locked-in for “fresh” developments.
XAUUSD 1-HOUR CHART
US Indexes – DJ soared by 0.87%, S&P 500 rose by 0.81%.
European Indexes - UK 100 saw a marginal decline of 0.06%, DE 30 appreciated by 0.29%.
Asian Indexes - ASX 200 ended 0.02% higher, Nikkei 225 increased by 0.06%, Hang Seng trades 0.87% lower.
US Equities – Tesla declined by 3.04%, Alphabet rose by 0.97%.
Stavros Tousios is an experienced forex market specialist who provides insightful market analysis to traders of popular currency pairs, stocks, commodities and indices. With a focus on technical analysis, he closely analyses present and historical market data in order to provide our clients with any relevant information which may help in making their strategic trading decisions.
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