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
  • (ASEAN Tech) US Dollar Outlook Bearish: Thai Baht Still at Risk as SGD, PHP, IDR Outperform #USD $USDSGD $USDIDR $USDTHB $USDPHP
  • 🇯🇵 Foreign Bond Investment (31/JUL) Actual: ¥225.6B Previous: ¥-1083B
  • Heads Up:🇯🇵 Foreign Bond Investment (31/JUL) due at 23:50 GMT (15min) Previous: ¥1087.4B
  • Natural gas continues to look higher, as hot weather and drought conditions across the United States and Europe, help fuel the already strong demand narrative for the commodity. Get your market update from @FxWestwater here:
  • 9 out of 11 S&P 500 sectors ended lower, with 76% of the index’s constituents closing in the red. Energy (-2.93%), industrials (-1.37%) and consumer staples (-1.26%) underperformed, whereas communication services (+0.23%) and information technology (+0.19%) ended higher.
  • The Japanese Yen could rise against the US Dollar and Australian Dollar as retail investors increase upside exposure in USD/JPY and AUD/JPY. What are key technical levels to watch? Get your market update from @ddubrovskyFX here:
  • 🇧🇷 Interest Rate Decision Actual: 5.25% Expected: 5.25% Previous: 4.25%
  • Heads Up:🇧🇷 Interest Rate Decision due at 22:00 GMT (15min) Actual: 5.25% Expected: 5.25% Previous: 4.25%
  • The US Dollar put in a strong spike this morning on the back of some comments from FOMC Vice Chair, Richard Clarida. Get your market update from @JStanleyFX here:
  • Forex Update: As of 20:00, these are your best and worst performers based on the London trading schedule: 🇳🇿NZD: 0.39% 🇨🇦CAD: -0.04% 🇬🇧GBP: -0.19% 🇪🇺EUR: -0.23% 🇨🇭CHF: -0.27% 🇯🇵JPY: -0.40% View the performance of all markets via
USD on Cusp of Breakouts vs. AUD, EUR, JPY as FOMC Meets

USD on Cusp of Breakouts vs. AUD, EUR, JPY as FOMC Meets

Christopher Vecchio, CFA, Senior Strategist

Talking Points:

- USDJPY starts to poke through ¥123.70/90 resistance zone.

- AUDUSD loses symmetrical triangle support, breaks lower.

- See the June forex seasonality report.

Today's FOMC meeting is critical to the US Dollar's chances of breaking out higher. Undoubtedly, in recent weeks the greenback has lost some of its mojo, by and large due to the state of the US economy after a dismal Q1'15 performance. In turn, concern among policymakers since the March 18 FOMC meeting has led many to believe that the Fed may not raise rates at all in 2015.

The US Dollar only benefits today if the Fed leans into the pessimism about the US economy and instead focuses on the improved consumption, housing, and jobs data for April and May that, in aggregate, suggest a more normal pace of growth in Q2'15. The Atlanta Fed's GDPNow model forecast for real GDP is now +1.9%, after touching +2.0% earlier this week. While not outstanding, growth around +2.0% would be a step in the right direction for the US economy, and would perhaps be agreeable with the notion that the Fed would need to raise rates later this year as growth reaccelerates.

When looking at the broad USDOLLAR Index, it appears that the greenback is on stable footing, maintaining a very short-term symmetrical triangle on the H4 timeframe. However, it's important to distinguish among the components of the USDOLLAR Index, as their behavior is not uniform. For example, with the British Pound as the top performer on the day, GBPUSD has staged a respectable rally; Australian Dollar and Japanese Yen weakness have allowed AUDUSD and USDJPY to move lower and higher, respectively.

As you examine the charts for trade setups ahead of today's FOMC meeting, the pre-meeting strong/weak performance sheds some light on where to expect out/underperformance depending upon the outcome of the meeting: if the FOMC provokes a weak US Dollar, long GBPUSD is primed; if the FOMC meeting provokes a strong US Dollar, short AUDUSD or long USDJPY are favored.

See the above video for technical considerations in EURUSD, AUDUSD, GBPUSD, USDJPY, and the USDOLLAR Index.

Read more: FX Markets Coil in Anticipation of June FOMC Meeting

--- Written by Christopher Vecchio, Currency Strategist

To contact Christopher Vecchio, e-mail

Follow him on Twitter at @CVecchioFX

To be added to Christopher’s e-mail distribution list, please fill out this form

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