Skip to Content
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.

Free Trading Guides
Please try again

Live Webinar Events


Economic Calendar Events


Notify me about

Live Webinar Events
Economic Calendar Events






More View More
Currency Markets May Pause to Digest After Brexit Fireworks

Currency Markets May Pause to Digest After Brexit Fireworks

Talking Points:

  • British Pound continues to sink as “Brexit” aftershocks plague the markets
  • Yen and US Dollar gain, commodity currencies gap lower at trading open
  • Risk sentiment trends may transition into corrective mode in the near term

Aftershocks from last week’s Brexit-inspired volatility continued to define currency market price action at the start of the trading week. The British Pound continued to underperform, losing around 2 percent against the majors. The sentiment-linked Australian, Canadian, and New Zealand Dollars traded downward while the safe-haven US Dollar and Japanese Yen dutifully moved in the opposite direction.

With the first act of the “Brexit” drama now behind them, the markets now face a long and uncertain path toward reckoning with the aftermath. This is likely to be measured in months and years, not hours and days. In the immediate term, this may translate into a short digestive pause after last week’s explosion of volatility. Still, European and US stock index futures are pointing sharply lower in late Asian trade, warning that risk-off momentum aims to carry forward.

Is being right on direction most important for successful trading? See our study here !

Asia Session

22:45NZDTrade Balance (MAY)358m182m326m
22:45NZDExports (MAY)4.57b4.31b4.30b
22:45NZDImports (MAY)4.22b4.15b3.98b
22:45NZDTrade Balance 12 Mth YTD (MAY)-3633m-3843m-3624m
01:30CNYIndustrial Profits YoY (MAY)3.70%-4.20%

European Session

08:00EUREurozone M3 Money Supply (YoY) (MAY)4.8%4.6%Low
08:00CHFTotal Sight Deposits (JUN 24)-496.4bLow
08:00CHFDomestic Sight Deposits (JUN 24)-416.5bLow

Critical Levels

CCYSupp 3Supp 2Supp 1Pivot PointRes 1Res 2Res 3

--- Written by Ilya Spivak, Currency Strategist for

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.