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.

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
Subscribe
Please try again
EUR/USD
Bearish
Oil - US Crude
Bullish
Wall Street
Bearish
Gold
Bullish
GBP/USD
Bearish
USD/JPY
Bearish
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
More View more
Real Time News
  • Commodities Update: As of 14:00, these are your best and worst performers based on the London trading schedule: Oil - US Crude: 0.93% Silver: 0.75% Gold: 0.72% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/g27Iwp8uPa
  • 🇺🇸 NAHB Housing Market Index (MAY) Actual: 83 Expected: 83 Previous: 83 https://www.dailyfx.com/economic-calendar#2021-05-17
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Silver are long at 90.00%, while traders in Germany 30 are at opposite extremes with 71.53%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/CRl85ShvFp
  • Commodities Update: As of 13:00, these are your best and worst performers based on the London trading schedule: Oil - US Crude: 0.78% Silver: 0.70% Gold: 0.56% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/2TtnMVtOFs
  • $EURUSD still battling at that fibo resistance 2167, another inflection this morning https://t.co/v1X3gN2RRX https://t.co/oMC1OvWkI7
  • Heads Up:🇺🇸 NAHB Housing Market Index (MAY) due at 14:00 GMT (15min) Expected: 84 Previous: 83 https://www.dailyfx.com/economic-calendar#2021-05-17
  • Indices Update: As of 13:00, these are your best and worst performers based on the London trading schedule: Germany 30: -0.01% France 40: -0.13% Wall Street: -0.29% US 500: -0.29% FTSE 100: -0.31% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/e0gUTLKXn0
  • The Pound saw a modest bout of buying as GBP had been underpinned by reduced political tail risks after the SNP failed to gain a majority at the Scottish Election. Get your $GBP market update from @JMcQueenFX here:https://t.co/bbxv0Aq2LJ https://t.co/LhP15IXDPp
  • it's a big week for $TSLA stock last week it gave up the trendline that's been in-play since last August This week, opening at the 38.2% retracement of the 2020/21 rally https://t.co/cUThTeLFN8
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Silver are long at 90.11%, while traders in Germany 30 are at opposite extremes with 74.44%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/lyppug4pkN
Euro and GBP Outlook: Volatility Ahead of BoE Testimony, ZEW Data

Euro and GBP Outlook: Volatility Ahead of BoE Testimony, ZEW Data

Dimitri Zabelin, Analyst

US Dollar, BoE Testimony, Euro, German ZEW Data, IMF World Outlook – Talking Points

  • Euro may fall if German ZEW data accentuates German growth fears
  • GBP cautiously eyes BoE Governor testimony amid Brexit uncertainty
  • Global growth updates from IMF, World Bank may amplify USD rise

Learn how to use political-risk analysis in your trading strategy!

The US Dollar may rise vs the Euro and British Pound against the backdrop of an uncertain environment that may place a premium on liquidity, a domain where the Greenback reigns supreme. German ZEW Survey Expectations are anticipated to show an even-more negative reading which could pressure the Euro if it shows German growth prospects are pessimistic.

Since September 2018, Eurozone economic data has been tending to underperform relative to economists’ expectations, so it would not be surprising to see German ZEW data fall in line with this broader trend. Meanwhile, BoE Governor Mark Carney will be giving a Parliamentary testimony which could spark risk aversion and pressure the British Pound if his outlook for Brexit carries gloomy undertones.

Last week, GBP spiked and erased over 20 days’ worth of gains in EUR/GBP after news broke that substantial progress had been made in resolving the issue over the Irish backstop. However, traders’ optimism is now slowly eroding as reality begins to sober them up to the bitter reality that there is “still much work to do”. GBP’s gains may therefore be partially erased if Carney’s comments exacerbate the retreat in optimism.

Adding to packed docket will also be the release of global growth outlooks by the IMF and World Bank. Markets are likely already pricing in a gloomy outlook. The question is – and this is where the source of volatility may emerge – exactly how downbeat are forecasts going to be? Follow me on Twitter @ZabelinDimitri to find out and get in-depth market analysis.

EUR/GBP Technical Analysis

EUR/GBP may attempt to enter into the 0.8786-0.8874 congestive range after it crashed through it between October 10-11 amid renewed hope for an orderly Brexit. However, traders may be anxious to commit capital against the backdrop of an unusually fundamentally-volatile environment. They may instead choose to wait until more political clarity is given and will then place their bets accordingly.

Those with long positions may wait to add exposure until the pair clear resistance at 0.8917 with follow-through, while those going short may be waiting for a break below 0.8652. However, trading based on technical patterns – especially with the docket this week – may be particularly difficult given the political environment.

Market Analysis of the Day: EUR/GBP May Aim to Re-Test Familiar Resistance Between 0.8786-0.8874

Chart showing EUR/GBP.

EUR/GBP charted created using TradingView

FX TRADING RESOURCES

--- Written by Dimitri Zabelin, Jr Currency Analyst for DailyFX.com

To contact Dimitri, use the comments section below or @ZabelinDimitrion Twitter

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

DISCLOSURES