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
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
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
Bearish
More View more
Real Time News
  • 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:https://t.co/vg7w10la3j https://t.co/nUvvI3WQpx
  • Australian Dollar is up fractionally this week with Aussie stalling just below the yearly range highs. Here are the levels that matter on the $AUDUSD technical chart. Get your #currencies update from @MBForex here: https://t.co/jYzBK1qH4s https://t.co/gYj4tFbsGS
  • What is the road ahead for equities this coming week? Check out my fundamental outlook below! #DowJones #SP500 #DAX30 #FTSE100 https://www.dailyfx.com/forex/fundamental/forecast/weekly/title/2020/07/11/Dow-Jones-SP-500-DAX-30-FTSE-100-Outlook-Stocks-Week-Ahead.html?CHID=9&QPID=917702&utm_source=Twitter&utm_medium=Dubrovsky&utm_campaign=twr https://t.co/HjIBDKqwvO
  • #Gold price gains seem to depend on monetary stimulus expansion and may turn lower as contraction of the Federal Reserve’s balance sheet underpins the US Dollar. Get your #metals update from @DanielGMoss here: https://t.co/8NHLc8jdhw https://t.co/0YYKXqtY9V
  • Japanese candlesticks are a popular charting technique used by many traders, and the shooting star candle is no exception. Learn about the shooting star candlestick and how to trade it here: https://t.co/OjTZOQEytM https://t.co/DDCWX1In7k
  • The US Dollar is pressured as rising coronavirus cases fail to dent 2021 GDP bets. Could the Singapore Dollar, Indonesian Rupiah, Philippine Peso and Malaysian Ringgit rise? Find out from @ddubrovskyFX here:https://t.co/u1qhaIGGoC https://t.co/kvFgxQjLb0
  • The ASX 200 and AUD/JPY are at risk of losses as cases of Covid-19 continue to climb in Victoria, Australia’s second-most populous state. Get your #ASX market update from @DanielGMoss here: https://t.co/O0LNvhy4eY https://t.co/mS9vLeVU5Y
  • The Dow Jones could fall based on positioning signals, will the growth-linked Australian Dollar and Canadian Dollar follow? If so, what are the technical barriers ahead? Find out from @ddubrovskyFX here:https://t.co/yJrlR5C00P https://t.co/W45z2yNjr0
  • Further gains in USD/IDR could be curbed as USD/PHP establishes a floor around 2017 lows. USD/MYR may fall next as USD/SGD fast approaches a key falling trend line.Get your #ASEAN currencies market update from @ddubrovskyFX here:https://t.co/9JgZm2n8Fl https://t.co/Yg6WSFxt8T
  • The New Zealand Dollar is aiming higher, with NZD/USD eyeing fresh yearly highs while AUD/NZD may be carving out a bearish Head and Shoulders chart pattern. Get your $NZDUSD market update from @DanielGMoss here:https://t.co/osFxXvq5xF https://t.co/zcmqsFR9tg
Euro Looks to Draghi Press Conference for Stimulus Expansion Clues

Euro Looks to Draghi Press Conference for Stimulus Expansion Clues

2014-08-07 06:28:00
Ilya Spivak, Head Strategist, APAC
Share:

Talking Points:

  • Euro Looks to ECB President Draghi’s Presser for Stimulus Expansion Clues
  • Bank of England Rate Decision Likely to be a Non-Event for the British Pound
  • Australian Dollar Fell After Soft Jobs Data Undermined RBA Rate Hike Bets

A monetary policy announcement from the European Central Bank headlines the calendar in European hours. The addition of anything new into the policy mix seems unlikely after the central bank introduced a slew of additional measures to boost lending and fight disinflation at its June’s meeting. Officials will likely want to monitor how those are working out before expanding stimulus further.

With that in mind, the spotlight will be on ECBPresident Mario Draghi’spress conference following the policy announcement, with investors combing commentary for clues about where officials intend to steer going forward. The fate of the forthcoming ABS purchase program stands out in particular. The ECB pledged to “intensify preparatory work” on the plan and investors will want to see if that means the central bank has already settled on implementing it.

If traders interpret Draghi’s remarks to mean the ECB has already resolved to activate the ABS scheme once it is ready, that would imply an expansion of stimulus is in train. Needless to say, such an outcome is likely to bode ill for the Euro. Alternatively, rhetoric suggesting the plan may follow the OMT program to languish in the ECB’s arsenal without ever seeing action could offer a lift to the single currency. We remain short EURUSD.

The Bank of England is likewise due to deliver its rate decision.Governor Mark Carney and company are widely expected to keep things unchanged yet again. This typically means that a statement illuminating the MPC’s thought process will not be released. That will leave traders to wait for the release of the quarterly Inflation Report next week to get a read on where policy is headed, making today’s announcement a likely non-event for the British Pound. We are waiting for a GBPUSD selling opportunity.

The Australian Dollar underperformed in overnight trade following a disappointing set of Employment figures. The economy unexpectedly lost 300 jobs in July, missing estimates calling for a 13,200 increase. The jobless rate surged to 6.4 percent, marking the highest level in 12 years and disappointing expectations calling for a print at 6.0 percent. The Aussie’s slide tracked a drop in Australia’s 2-year bond yield, suggesting the soft data set undermined RBA interest rate hike expectations.

New to FX? START HERE!

Asia Session

GMT

CCY

EVENT

ACT

EXP

PREV

23:30

AUD

AiG Performance of Construction Index (JUL)

52.6

-

51.8

23:50

JPY

Official Reserve Assets ($) (JUL)

1276.0B

-

1283.9B

0:00

NZD

QV House Prices (YoY) (JUL)

7.6%

-

8.0%

1:30

AUD

Employment Change (JUL)

-0.3K

13.2K

14.9K

1:30

AUD

Unemployment Rate (JUL)

6.4%

6.0%

6.0%

1:30

AUD

Participation Rate (JUL)

64.8%

64.7%

64.7%

1:30

AUD

Full Time Employment Change (JUL)

14500

-

-3.9K

1:30

AUD

Part Time Employment Change (JUL)

-14.8K

-

18.8K

2:00

JPY

Tokyo Avg Office Vacancies (%) (JUL)

6.20

-

6.45

European Session

GMT

CCY

EVENT

EXP/ACT

PREV

IMPACT

5:45

CHF

SECO Consumer Confidence (JUL)

-1 (A)

1

Low

6:00

EUR

German Industrial Production (MoM) (JUN)

0.3% (A)

-1.7%

Medium

6:00

EUR

German Industrial Production (YoY) (JUN)

-0.5% (A)

1.1%

Medium

7:00

CHF

Foreign Currency Reserves (JUL)

-

449.6B

Low

11:00

GBP

Bank of England Rate Decision

0.50%

0.50%

High

11:00

GBP

BOE Asset Purchase Target

375B

375B

High

11:45

EUR

European Central Bank Rate Decision

0.15%

0.15%

High

11:45

EUR

ECB Marginal Lending Facility

0.40%

0.40%

High

11:45

EUR

ECB Deposit Facility Rate

-0.10%

-0.10%

High

12:30

EUR

ECB’s Draghi Holds Press Conference

-

-

High

Critical Levels

CCY

Supp 3

Supp 2

Supp 1

Pivot Point

Res 1

Res 2

Res 3

EURUSD

1.3260

1.3314

1.3348

1.3368

1.3402

1.3422

1.3476

GBPUSD

1.6722

1.6788

1.6821

1.6854

1.6887

1.6920

1.6986

--- Written by Ilya Spivak, Currency Strategist for DailyFX.com

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

Contact and follow Ilya on Twitter: @IlyaSpivak

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

DISCLOSURES

News & Analysis at your fingertips.