Markets With central banks in full data dependence mode, every eco figure counts. It makes trading more volatile from one policy meeting to the next. A disappointing September PMI survey and confirmation of the disinflation trend convinced the ECB into conducting back-to-back rate cuts in October and convinced markets that a 50 bps December rate…
Markets The busy eco calendar kicked off today with US JOLTS job openings and consumer confidence. The former missed the bar. The August reading was revised down from 8.04mln to 7.86mln and job vacancies came down further in September to 7.44mn, way off the 8mn mark. It was the lowest reading since early 2021 and…
Dollar emerged as the unequivocal winner in the currency markets last week. Both Dollar Index and 10-year US Treasury Yield surged through their respect technically significant 55 W EMA resistance. It remains to be seen whether traders are positioning ahead of the US presidential election results, which are less than two weeks away. However, the…
The US S&P500 and Dow Jones indices closed lower on Monday and Tuesday. The Nasdaq100 followed suit yesterday. The Russell 2000 index of small public companies lost for four consecutive sessions. There are signs that we are now seeing the beginning of a correction like the one we saw in August, and there is also…
The One Word That Makes Markets Move Part 2 I asked a question of our readers in Part 1 of The One Word That Makes Markets Move. The question was what word? The answer was “failure.” A higher low is formed by a failure to break the prior low. A lower high is formed…
Weekly FX Chart Outlook – October 21-25 Weekly FX Chart Analysis The upcoming week has a light economic calendar, especially from the US in a forex market that seems to need news to create volatility. Arguing for consolidation, at least to start the week, is a light economic calendar and that there are no…
Dollar continued its reign as the strongest currency for yet another week, bolstered by solidifying expectations around gradual and measured rate cut cycle by Fed. The rate cut from ECB provided some additional tailwind for the greenback. However, momentum behind the Dollar’s rise remains tepid. Strong risk-on sentiment, coupled with sluggishness in U.S. Treasury yields,…
The European Central Bank (ECB) lowered its interest rates by 25bp yesterday, in a widely expected and priced in move. Chief Christine Lagarde highlighted that inflation is coming under control, warned that there could be a temporary uptick, but the figures will be sustainably back to target by next year and that the Eurozone will…
Markets EUR/GBP spiked from 0.8325 to 0.8375 following September UK inflation numbers, but the euro isn’t strong enough these days to profit from GBP-weakness. Even as UK yields drop 8 bps (30-yr) to 11 bps (2-yr) across the curve. Headline inflation was flat in M/M-terms, resulting in the first sub-2% inflation print since April 2021….
Common Sense Tips for The Average Trader They say a trader learns more from losing than winning but hopefully it is not to the extent that it wipes out one’s account. I was asked the following question by a Global-View Trading Club member (posted with permission)): I am long EURUSD above 1.10 and…