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
Subscribe
Please try again
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
Mixed
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
Wall Street
Mixed
Gold
Bullish
GBP/USD
Mixed
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
  • Please join @MartinSEssex at 5:30 EST/9:30 GMT for a webinar on trading sentiment. Register here: https://t.co/diCwqqa7eS https://t.co/Frrg5wueub
  • GDP (Gross Domestic Product) economic data is deemed highly significant in the forex market. GDP figures are used as an indicator by fundamentalists to gauge the overall health and potential growth of a country. Learn use GDP data to your advantage here: https://t.co/Yl9vM7kO6a https://t.co/TmNxDRxkk0
  • 🇮🇹 Industrial Production MoM (FEB) Actual: 0.2% Expected: 0.7% Previous: 1.1% https://www.dailyfx.com/economic-calendar#2021-04-13
  • 🇮🇹 Industrial Production YoY (FEB) Actual: -0.6% Expected: -2.3% Previous: -2.1% https://www.dailyfx.com/economic-calendar#2021-04-13
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Silver are long at 92.57%, while traders in Wall Street are at opposite extremes with 74.81%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/C9XWwZRalw
  • Heads Up:🇮🇹 Industrial Production MoM (FEB) due at 08:00 GMT (15min) Expected: 0.7% Previous: 1% https://www.dailyfx.com/economic-calendar#2021-04-13
  • Heads Up:🇮🇹 Industrial Production YoY (FEB) due at 08:00 GMT (15min) Expected: -2.3% Previous: -2.4% https://www.dailyfx.com/economic-calendar#2021-04-13
  • Do you know how to properly Identify a double top formation? Double tops can enhance technical analysis when trading both forex or stocks, making the pattern highly versatile in nature. Learn more about the double top formation here: https://t.co/t9Flsqcxo9 https://t.co/U5CGuLb1M0
  • Commodities Update: As of 07:00, these are your best and worst performers based on the London trading schedule: Oil - US Crude: 0.41% Silver: 0.17% Gold: -0.33% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/rtfohURqu1
  • Forex Update: As of 07:00, these are your best and worst performers based on the London trading schedule: 🇬🇧GBP: 0.04% 🇨🇦CAD: -0.12% 🇪🇺EUR: -0.14% 🇦🇺AUD: -0.19% 🇯🇵JPY: -0.21% 🇨🇭CHF: -0.29% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/GU6Cdg7Vfw
US Dollar May Extend Decline on Key Jobs Reports, PMI Data

US Dollar May Extend Decline on Key Jobs Reports, PMI Data

Dimitri Zabelin, Analyst

US Dollar Outlook, Nonfarm Payrolls Data – Talking Points

  • The US Dollar may extend decline if PMI reports, jobs data misses
  • Pro-risk environment leaves Greenback exposed to selling pressure
  • Poor data may fuel rate cut bets despite Powell’s recent comments

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

The US Dollar may extend its decline if nonfarm payrolls data and critical PMI reports bolster the case for accommodative monetary policy. After Wednesday’s FOMC rate decision, Fed Chairman Jerome Powell signaled that the Fed will pause on its rate cutting spree and but will continue to monitor data. However, chronic underperformance in key indicators may pressure the Fed to adopt more accommodative measures.

The revival of a cautious risk-on tilt in market sentiment has recently left the US Dollar in the proverbial dustbin as traders shifted from prioritizing liquidity to chasing returns. This might explain why the US Dollar has been the third-worst performing G10 currency against the Euro since October 10. Meanwhile, the third and second highest spot returns have come from the pro-risk Swedish Krona and Australian Dollar.

Market buoyancy has in large part come from the ethereal improvement in geopolitical relations like the US-China trade war – which, might actually be in jeopardy of falling apart sooner than expected – and increased liquidity provisions from central banks all over the world. As a result, this has eased the demand for haven-linked assets that was the driving force behind the US Dollar’s ascendency for all 2018 and most of this year.

However, if underlying fundamentals continue to erode, they could eventually shatter the shallow veneer of certainty markets have been so desperately clinging to and could lead to a revived interest in the US Dollar. Demand for liquidity would likely be the biggest culprit behind the Greenback’s ascendancy in that particular instance. However, for now it appears USD is in proverbial hibernation until market conditions wake it up.

Market Analysis of the Day: US Dollar Suffers as Market Sentiment Improves – But for How Long?

Chart showing US Dollar

US Dollar chart created using TradingView

US DOLLAR 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