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
EUR/USD
Mixed
Oil - US Crude
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
Wall Street
Bearish
Gold
Bullish
GBP/USD
Bearish
USD/JPY
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
More View more
Real Time News
  • Join @PaulRobinsonFX 's #webinar at 5:30 AM ET/9:30 AM GMT for insight on London #FX and #CFD trading. Register here: https://t.co/AoM3UvLtcF https://t.co/iSGErOq12D
  • Emotions are often a key driving force behind #FOMO. If left unchecked, they can lead traders to neglect trading plans and exceed comfortable levels of risk. Read on and get your emotions in check here:https://t.co/eILWbFgHRE https://t.co/oIGwwUxkA1
  • Brush up your knowledge on trade-wars with this tool from DailyFX research briefly outlining trade-war history dating back to the early 1900s here: https://t.co/ZWaL6laTU5 https://t.co/UYZKfhgVKI
  • 🇪🇸 Unemployment Rate (Q3) Actual: 16.26% Expected: 15.9% Previous: 15.33% https://www.dailyfx.com/economic-calendar#2020-10-27
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 96.88%, while traders in NZD/USD are at opposite extremes with 72.85%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/AkpsGpdS41
  • Heads Up:🇪🇸 Unemployment Rate (Q3) due at 08:00 GMT (15min) Expected: 15.9% Previous: 15.33% https://www.dailyfx.com/economic-calendar#2020-10-27
  • Commodities Update: As of 07:00, these are your best and worst performers based on the London trading schedule: Silver: 0.84% Oil - US Crude: 0.44% Gold: 0.14% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/kuo5ryd7Y5
  • There’s a strong correlation between interest rates and forex trading. Forex is ruled by many variables, but the interest rate of the currency is the fundamental factor that prevails above them all. Learn how interest rates impact currency markets here: https://t.co/ERyiY47G5H https://t.co/1dnrd0aLR1
  • Forex Update: As of 07:00, these are your best and worst performers based on the London trading schedule: 🇨🇦CAD: 0.22% 🇪🇺EUR: 0.13% 🇳🇿NZD: 0.10% 🇨🇭CHF: 0.07% 🇯🇵JPY: 0.05% 🇬🇧GBP: -0.04% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/cfFoLZAXAE
  • S&P 500 Index Perched At Key Support as Fiscal Aid Hopes Evaporate - https://t.co/kCdo3o0CVu #SP500 #SPX #ES https://t.co/mWQcvTqmr5
USD/HKD Breaks Higher Amid Political Protests in Hong Kong

USD/HKD Breaks Higher Amid Political Protests in Hong Kong

2014-09-29 19:08:00
Jeremy Wagner, CEWA-M, Kara Dailey,
Share:

Talking Points:

  • Occupy Central Movement Breaks Out in Financial District
  • Protests Impede the Conduction of Business, Retail Sales -1.0% on the Year
  • USD/HKD Surges While USD/CNH Tests Resistance at 6.17

Stirring another bout of international tension for the financial system, thousands of pro-democracy protestors have demonstrated outside of the Central Government Complex, in the heart of Hong Kong’s financial district. The Occupy Central Movement arose in response to China’s National People’s Congress Standing Committee’s decision not to grant Hong Kong full universal suffrage in their 2017 Chief Executive elections. At this time, candidacy remains open only to those who are approved by a nominating committee in Beijing.

As a result of the movement, the central and surrounding districts have experienced disruptions in their transportation, business and public service spheres. While several banks and retail stores remain closed in the immediate area, the Education Bureau announced that all schools in the extended Central and Western regions would also remain suspended through tomorrow. Furthermore, the stand off between protestors and police have lead officials to expect tensions to remain high.

In response, the HKD has depreciated against the USDollar as the geopolitical risk of investing in Honk Kong has been made highly visible. Additionally, the loss of business resulting from the unrest is expected to negatively impact retail sales, and consequently the HKD, which are already down 1% on the year.

Technical Analysis

Prices have been hugging the lower end of the trading band for the past 4 months. The recent surge has elevated the exchange rate to levels seen in earlier 2014. If the protests continue to stifle business, it could lead to a break higher towards levels not seen since 2012.

USD/HKD Weekly Chart

DailyFx Weekly USD/HKD Chart

Chart Created By Jeremy Wagner Using MarketScope2.0

From a technical perspective, if prices close where they are at now, it would break above a resistance trend channel. 6.17 provides a level of resistance that may hold prices down. If prices break higher, the next level of resistance is 6.19. To the downside, 6.14 is the next level of support.

USD/CNH Daily Chart

DailyFx USD/CNH Daily Chart.

Chart Created By Jeremy Wagner Using MarketScope2.0

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

DISCLOSURES