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
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
Oil - US Crude
Mixed
Wall Street
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
Gold
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
GBP/USD
Mixed
USD/JPY
Mixed
More View more
Real Time News
  • EUR/USD price action pivots 70-pips lower in a big intraday reversal. Get your $EURUSD market update from @RichDvorakFX here:https://t.co/U1SSBtFMlb https://t.co/IwayQbwcZW
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 93.33%, while traders in NZD/USD are at opposite extremes with 75.64%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/5TJrFY04MT
  • Gold is on the cusp of breaking range support set from August. Confirmation on a daily close looks like to set the stage for a drop below $1800/oz. #XAUUSD #gold https://t.co/48U0BwN7C7
  • Indices Update: As of 19:00, these are your best and worst performers based on the London trading schedule: Wall Street: 0.92% US 500: 0.40% FTSE 100: 0.07% France 40: 0.06% Germany 30: -0.00% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/ehHdDSIrCU
  • Gold prices broke down this morning on the back of USD-strength driven from the US PMI report. Get your $XAUUSD technical analysis from @JStanleyFX here: https://t.co/JWlQ6zt6G0 https://t.co/S5ZXvwEAt6
  • Heads Up:🇨🇦 BoC Gravelle Speech due at 19:00 GMT (15min) https://www.dailyfx.com/economic-calendar#2020-11-23
  • Gold Price Forecast: Gold Breaks Down to Fresh Four-Month-Lows https://www.dailyfx.com/forex/fundamental/daily_briefing/session_briefing/daily_fundamentals/2020/11/23/Gold-Price-Forecast-XAUUSD-XAU-USD-Breaks-Down-to-Fresh-Four-Month-Lows.html $Gold $GC $GLD https://t.co/0V5ACepUzJ
  • RT @CGasparino: BREAKING from top Wall Street @JoeBiden adviser on how Janet Yellen leapfrogged Lael Brainard, Roger Ferguson to likely run…
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 93.72%, while traders in NZD/USD are at opposite extremes with 76.54%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/z8QXtLlGtv
  • Heads Up:🇺🇸 Fed Daly Speech due at 18:00 GMT (15min) https://www.dailyfx.com/economic-calendar#2020-11-23
US Dollar Forecast: GBP/USD, USD/JPY, AUD/USD – Charts to Watch

US Dollar Forecast: GBP/USD, USD/JPY, AUD/USD – Charts to Watch

2020-02-03 17:02:00
Rich Dvorak, Analyst
Share:

USD PRICE ANALYSIS – US DOLLAR CHARTS & TRADING LEVELS TO WATCH THIS WEEK: GBP/USD, USD/JPY, AUD/USD

USD price action is anticipated to rise from extreme lows this week according to the recent spike in US Dollar implied volatility readings. This likely comes as little surprise, however, considering the forex economic calendar is littered with fundamental event risk throughout the trading week.

CHART OF US DOLLAR IMPLIED VOLATILITY (1-WEEK)

USD Price Chart US Dollar Forecast GBPUSD USDJPY AUDUSD

The US Dollar is already getting a boost to start the week on balance with the DXY Index surging 0.5% back toward the 98.00 handle. Majority of today’s upside in the US Dollar Index can be attributed to a plunge in the GBP/USD prices ahead of preliminary EU-UK trade talks.

GBP/USD PRICE CHART: DAILY TIME FRAME (SEPTEMBER 2019 TO FEBRUARY 2020)

GBPUSD Price Chart Technical Analysis US Dollar Forecast

The Pound Sterling is already off by about 160-pips against its US Dollar counterpart so this week, which has sent spot GBP/USD to test the 1.3000 handle and now trades below its one-week implied trading range calculated from Friday’s closing price.

GBP/USD MIXED
Data provided by
of clients are net long. of clients are net short.
Change in Longs Shorts OI
Daily 18% -4% 3%
Weekly -2% 3% 1%
Learn how to use Sentiment in your trading strategy
Get My Guide

Seeing that implied trading ranges are calculated to contain price action with a 68% statistical probability, spot GBP/USD may soon rebound back toward its 50-day simple moving average as the US Dollar gives back some of its recent gains.

USD/JPY PRICE CHART: DAILY TIME FRAME (AUGUST 2019 TO FEBRUARY 2020)

USDJPY Price Chart Technical Analysis US Dollar Forecast

USD/JPY seems to be finding technical support so far this week as spot prices bounce off its bullish trendline connecting the August 25, 2019 and January 07, 2020 intraday lows. The 76.4% Fibonacci retracement of the year-to-date trading range etched out by USD/JPY also seems to have sent spot prices ricocheting higher.

Moreover, spot USD/JPY price action could continue marching higher as the US Dollar climbs on the back of a recovery in broader market sentiment as coronavirus fears recede. A strong ISM Manufacturing PMI report released earlier this morning is also likely helping boost the US Dollar as future FOMC interest rate cut expectations unwind modestly.

Starts in:
Live now:
Nov 24
( 10:11 GMT )
Recommended by Rich Dvorak
London FX & CFD Trading
Register for webinar
Join now
Webinar has ended

The US Dollar to Japanese Yen exchange rate tends to fluctuate considerably to changes in expected interest rate differentials. On that note, closely watched ISM Services/Non-Manufacturing PMI report and NFP data due for release Wednesday, February 05 at 15:00 GMT and Friday, February 07 at 13:30 GMT respectively could spark outsized moves in spot USD/JPY.

AUD/USD PRICE CHART: DAILY TIME FRAME (SEPTEMBER 2019 TO FEBRUARY 2020)

AUDUSD Price Chart Technical Analysis US Dollar Forecast

AUD/USD recorded a staggering slide last month with spot prices sinking about 4.5% since the Aussie-Dollar eclipsed the 0.7000 handle. The impact of the novel coronavirus outbreak in Wuhan, China is likely weighing negatively on spot AUD/USD prices considering China is Australia’s primary export market. At the same time, market expectations have ramped up for further monetary policy accommodation from Reserve Bank of Australia (RBA) this year.

USD Forecast
USD Forecast
Recommended by Rich Dvorak
Download our Comprehensive 1Q-2020 US Dollar Forecast
Get My Guide

According to overnight swaps pricing, rate raters are currently pricing in roughly 42-basis points of interest rate cuts by the December 2020 RBA meeting, which is up from 20-bps of cuts priced in at the start of the year. The RBA is on deck to release its latest interest rate decision tomorrow, February 4 at 3:30 GMT and could warrant a considerable reaction in spot AUD/USD.

-- Written by Rich Dvorak, Junior Analyst for DailyFX.com

Connect with @RichDvorakFX on Twitter for real-time market insight

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

DISCLOSURES