News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.



Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events


Economic Calendar

Economic Calendar Events

Free Trading Guides
Please try again
More View more
Real Time News
  • 🎯 Bitcoin extending its surge through the weekend to trade back above $35K. Seeing some serious upward momentum here, but in light of Fed event risk this week, it may be prudent for short-term tactical traders to consider unwinding exposure a bit. #Bitcoin $BTC $BTCUSD
  • Did you know a Doji candlestick signals market indecision and the potential for a change in direction. What are the top five types of Doji candlesticks? Find out
  • RT @FxWestwater: Asia AM - New Zealand Dollar Outlook: $NZDUSD Breakout Chance Shifts Into View…
  • Are you new to trading? Technical analysis of charts aims to identify patterns and market trends by utilising different forms of technical chart types and other chart functions. Get a refresher on technical analysis or begin building your knowledge here:
  • Entry orders are a valuable tool in forex trading. Traders can strategize to come up with a great trading plan, but if they can’t execute that plan effectively, all their hard work might as well be thrown out. Learn how to place entry orders here:
  • The continuity seen across these volatility cycles is a good thing. Historical precedence offer a blueprint for identifying conditions supportive for a vol-event to occur, and how they may unfold. Deepen your knowledge of historical volatility here:
  • *Reminder: Weekly Strategy Webinar tomorrow morning at 8:30am EST on DailyFX! A look at the levels heading into #FOMC -
  • Key levels in forex tend to draw attention to traders in the market. These are psychological prices which tie into the human psyche and way of thinking. Learn about psychological levels here:
  • Markets Week Ahead: Euro, Dollar, Gold, S&P 500, Earnings, Inflation Check out @RichDvorakFX's latest market recap and preview plus all the weekly forecasts from the @DailyFXTeam at the link below! Link to Analysis - $EURUSD $SPX #Trading
  • Looking for a new way to trade reversals? One of the most used reversal candle patterns is known as the Harami. Like most candlestick formation patterns, the Harami tells a story about sentiment in the market. Get better with trading reversals here:
Brazil Takes The Spotlight Helping To Provide Support To Oversold USD

Brazil Takes The Spotlight Helping To Provide Support To Oversold USD

Tyler Yell, CMT, Currency Strategist

Would you like to know what our top minds are watching over the long-term in markets?

Talking Points:

  • Political crisis in Brazil sends emerging markets lower, DM stabilizing
  • Dollar ends six-day losing streak, still below 3-year Trendline
  • Sentiment highlight: EUR longs bail, upside may continue in EUR-crosses

The top story in Thursday comes from one of the world’s most important emerging markets, Brazil. The Brazilian equity index, the Ibovespa fell 10% on reports that Brazilian President, Michel Temer has been pulled back into a corruption scandal. From a global markets perspective, there are state-owned companies with large blocks of Brazilian state-backed debt that are coming into question as to whether or not we could see default. Emerging markets were a darling asset class that many flocked to in thesearch for yield and hopes that commodities would extend their gains from Q1. However, there could be a deadly cocktail of a worsening commodity backdrop overlaid on top of a reversal of optimism the Brazilian government reforms will be passed. The Brazilian Real (BRL) sank 7% vs. the USD, and other emerging market currencies were caught in the ripples of EM selling with many EM currencies down over 1%.

Recommended Reading: DXY Breaks Below 3-yr Trendline, Bucks Seasonal Trend

Some of this anti-Emerging Market flow seemed to support the USD. The dollar saw gains throughout the trading day. The dollar was able to bounce against many of the currencies that it was sold against on Wednesday including the EUR, GBP, & JPY. In addition to signs of stabilization for USD, WTI Crude continued to trade closer to $50/bbl. Next week on May 25, OPEC will meet in Vienna, and they will look to validate what the market has priced in, which a 9-month production cut extension that is aimed at putting global oil supply in a deficit compared to absolute demand. A breakout above $52/bbl could bring back some of the excitement in commodities that has been sorely missing in Q2.

Join Tyler in his Daily Closing Bell webinars at 3 pm ETto discuss tradeable market developments.

Would you like to see what our Analysts forecast for JPY longer-term?Find out here!

Closing Bell’s Top Chart: May 18, 2017, DXY hit downside targets. Next action is important

Brazil Takes The Spotlight Helping To Provide Support To Oversold USD

Tomorrow's Main Event:CAD Consumer Price Index (MoM) (APR)

IG Client Sentiment Highlight:EUR-crosses showing retail buyers losing desire to hold, bullish contrarian signal

The sentiment highlight section is designed to help you see how DailyFX utilizes the insights derived from IG Client Sentiment, and how client positioning can lead to trade ideas. If you have any questions on this indicator, you are welcome to reach out to the author of this article with questions at

Please add a description for the image.

Across the board, you can see Euro long exposure being reduced on a daily and week-over-week basis on the recent gains. While we do not blame traders for taking profits, the contrarian view could mean we are about to see larger gains ahead in the EUR crosses that traders are exiting. The signal would be strengthened by a rise in shortpositions, which have not appeared aggressive as of yet.


Written by Tyler Yell, CMT, Currency Analyst & Trading Instructor for

To receive Tyler's analysis directly via email, please SIGN UP HERE

Contact and discuss markets with Tyler on Twitter: @ForexYell

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.