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.

0

Notifications

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

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
EUR/USD
Bullish
Oil - US Crude
Bullish
Wall Street
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Gold
Bearish
GBP/USD
Bullish
USD/JPY
Bullish
More View more
Real Time News
  • An economic calendar is a resource that allows traders to learn about important economic information scheduled to be released. Stay up to date on the most important global economic data here: https://t.co/JdvW6HNuqV https://t.co/mPV8BzlTV6
  • 🇮🇳 Markit Manufacturing PMI (SEP) Actual: 56.8 Expected: 52.8 Previous: 52 https://www.dailyfx.com/economic-calendar#2020-10-01
  • Trump signs stopgap funding bill to avert government shutdown -BBG
  • #USD is again struggling against #ASEAN currencies as of late Could recent gains seen in $USDSGD, $USDMYR, $USDPHP and $USDIDR be at risk? Check out my latest tech update here - https://www.dailyfx.com/forex/technical/article/special_report/2020/10/01/US-Dollar-Struggling-Again-USDSGD-USDMYR-USDPHP-USDIDR.html?CHID=9&QPID=917702&utm_source=Twitter&utm_medium=Dubrovsky&utm_campaign=twr https://t.co/Pap5gVfswH
  • Heads Up:🇮🇳 Markit Manufacturing PMI (SEP) due at 05:00 GMT (15min) Expected: 52.8 Previous: 52 https://www.dailyfx.com/economic-calendar#2020-10-01
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 96.17%, while traders in Wall Street are at opposite extremes with 67.02%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/FRN1u3LYrM
  • What is seasonal change in volatility. Are we going through one right now? Find out: https://t.co/G0qfpOmMl2 https://t.co/3XvFhj5M92
  • Forex Update: As of 04:00, these are your best and worst performers based on the London trading schedule: 🇦🇺AUD: 0.20% 🇨🇦CAD: 0.19% 🇪🇺EUR: 0.19% 🇨🇭CHF: 0.15% 🇬🇧GBP: 0.12% 🇯🇵JPY: 0.02% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/HhRYT1dlBW
  • White House Chief of Staff Mark Meadows: White House virus stimulus counteroffer above $1.5 trillion -BBG
  • Indices Update: As of 04:00, these are your best and worst performers based on the London trading schedule: Wall Street: 0.73% US 500: 0.59% FTSE 100: 0.42% France 40: 0.22% Germany 30: 0.21% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/yT6DCNP6jw
EUR/USD, GBP/USD Trendline Breaks Revisited as Greenback Fades

EUR/USD, GBP/USD Trendline Breaks Revisited as Greenback Fades

2015-10-30 11:42:00
Christopher Vecchio, CFA, Senior Strategist
Share:

Talking Points:

- EUR/USD trades back to $1.1000 after higher EZ CPI figures.

- USD/JPY fades from ¥121.80 two-month range.

- See the October forex seasonality report that favors US Dollar weakness.

The US Dollar is taking a breather after sharp rallies the past few days, having broken towards fresh yearly highs post-FOMC (USDOLLAR Index reached 12110 this week, the highest level since April 15, two days after the yearly high was set). The Federal Reserve's latest policy statement, which was notably absent of concerns regarding developments abroad, included a line which suggested the FOMC will determine "whether it will be appropriate to raise the target range at its next meeting."

EUR/USD, GBP/USD Trendline Breaks Revisited as Greenback Fades

The strong signal that a December rate hike is on the table has pulled forward rate expectations quickly, with markets (per the Fed funds futures contracts) now pricing in a 50/50 chance of the Fed raising rates this year. With short-term yield differentials moving in favor of the US Dollar, the greenback has been broadly supported, support which should continue barring a significant deterioration in US economic data.

Overnight, we've seen a small fade develop in the USDOLLAR Index after two separate reports may have hinted at future policy actions from the Bank of Japan and the European Central Bank. While the BoJ's semi-annual outlook revealed downgraded growth and inflation forecasts from 2015 and 2016, the BoJ did forecast that its +2% price target would be achieved in H2'16; the Yen has rallied as further easing in the near-term was largely anticipated against the backdrop of further deterioration in Japanese CPI readings.

See the above video for technical considerations in EUR/USD, GBP/USD, USD/JPY, AUD/USD, and the USDOLLAR Index, as well as in EUR/AUD, and EUR/GBP.

Read more: EUR/USD Bear Flag in Play Now that FOMC Eyes December

--- Written by Christopher Vecchio, Currency Strategist

To contact Christopher Vecchio, e-mail cvecchio@dailyfx.com

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.

DISCLOSURES