Weekly Trading Forecast: Will a Rebound in Equities Hobble the Dollar and Lift Carry Currencies?
A strong rally from US equities matched the intensity of the Dollar's slide this past week. Has the financial market turned a corner for risk and the majors?
The Dollar suffered its worst stumble in four months this past week and technical traders recognize the unstable ground the currency currently stands on.
With questions surrounding the ECB’s next policy move starting to grow, traders will find this week’s slate of ECB policymakers’ speeches as the best source for fresh speculation amid an empty docket.
The British Pound continues to trade with a mean-reversion tendency as prognostications around future rate hikes are becoming even more complex given the headwinds being seen by the global economy.
The range-bound price action in USD/JPY may persist next week as the Bank of Japan (BoJ) continues to endorse a wait-and-see approach, but the fresh developments coming out of the world’s largest economy may trigger a topside break in the exchange rate should the data prints boost bets for a 2015 Fed rate hike.
Gold prices are firmer this week with the precious metal up 1.44% to trade at 1154 ahead of the New York close on Friday.
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