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
Oil - US Crude
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
More View more
Real Time News
  • Traders utilize varying time frames to speculate in the forex market. The two most common are long- and short-term-time frames which transmits through to trend and trigger charts. Learn more about time-frame analysis here: https://t.co/9S5tXIs3SX https://t.co/JhYoQ7I19K
  • The Nasdaq 100 index is aiming to breach a key resistance level at 14,950 for a second time. A successful attempt may open the door to further gains, although the MACD indicator flags signs of weakness. Get your equities forecast from @margaretyjy here: https://t.co/BEYupi32qB https://t.co/PWeXE8tZVY
  • Currency exchange rates are impacted by several factors. Are different world leaders a contributing factor? Find out here: https://t.co/4jsORznRTE https://t.co/t34kotPE8R
  • Many people are attracted to forex trading due to the amount of leverage that brokers provide. Leverage allows traders to gain more exposure in financial markets than what they are required to pay for. Learn about FX leverage here: https://t.co/BdgFmkRxVw https://t.co/lM1OIJdjhr
  • Trading Forex is not a shortcut to instant wealth, excessive leverage can magnify losses, and sentiment is a powerful indicator. Learn about these principles in depth here: https://t.co/lZFM8youtX https://t.co/6qGEVjDlN6
  • Although the medium-term outlook remains negative, Bitcoin could make a bullish move in the coming days if prices manage to hold above key support in the $29,150/28,600 region. Get your #Bitcoin forecast from @DColmanFX here: https://t.co/T7iAD0fbbU https://t.co/xVSG7nKIQG
  • Risk management is one of the most important aspects of successful trading, but is often overlooked. What are some basic principles or risk management? Find out from @PaulRobinsonFX here: https://t.co/IsnpfJhp91 https://t.co/HGWZikGQAa
  • 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/bZEFtp8kFe https://t.co/2cQ0JgAfh7
  • Crude oil prices collapsed on Monday despite an OPEC+ breakthrough, driven by Covid-induced demand woes. Meanwhile, Gold is at odds with a stronger US Dollar and falling Treasury yields. Get your #crudeoil market update from @FxWestwater here:https://t.co/H1vmag8d1k https://t.co/1zuPdKUmyE
  • AUD/USD is likely to face increased volatility over the coming days as it faces a batch of key event risks going into the end of July. Get your Australian Dollar forecast from @DavidJSong here: https://t.co/qFpg0DCxxL https://t.co/quQxg4WBy3
ECB Worries About Strength of Euro, EUR/USD Drops to Three-Week Low

ECB Worries About Strength of Euro, EUR/USD Drops to Three-Week Low

Martin Essex, MSTA, Analyst

Talking Points

- The account of the July 20 monetary policy meeting of the European Central Bank’s Governing Council show that the ECB is worried about the Euro overshooting

- In response, EUR/USD fell back to its lowest level for three weeks.

Check out our Trading Guide for the Euro: it’s free and has been updated for the third quarter of 2017

The minutes of the July 20 monetary policy meeting of the European Central Bank’s Governing Council show that the ECB is concerned about the currency overshooting after this year’s climb that has taken EUR/USD from a 1.0342 low on January 3 to a high of 1.1918 at the start of this month.

In response, the pair dropped to its lowest level for three weeks before quickly rallying, European stock prices jumped and core Euro-Zone government bond yields edged lower.

Chart: EUR/USD Five-Minute Timeframe (August 17, 2017)

ECB Worries About Strength of Euro, EUR/USD Drops to Three-Week Low

Chart by IG

Concerns were expressed about a possible overshooting in the repricing by financial markets, notably the foreign exchange markets, in the future, the ECB said in the accounts.It was underlined that the still favorable financing conditions could not be taken for granted.”

The ECB has said already that talks on cutting back, or ‘tapering’, its €60 billion per month asset-purchase program won’t take place until the council’s next meetings on September 7 and/or October 26. This was the message given by ECB President Mario Draghi after the July meeting, although some analysts continue to expect the ECB’s monetary stimulus measures to be reduced relatively soon.

The problem for the ECB is that inflation, confirmed today at 1.3% year/year in July, remains well below the central bank’s target of below but close to 2% over the medium term and a tapering of monetary stimulus might be expected to keep it below target. Moreover, the recent strength of the Euro has already tightened policy, suggesting that interest rates could remain lower for longer than market pricing currently suggests.

Draghi, who has blamed the inflation undershoot on external factors, had been expected to give his thoughts on policy at the Kansas City Fed’s three-day economic policy symposium at Jackson Hole, Wyoming, that begins next Thursday but reports yesterday said he would not in fact give any steers on policy there.

--- Written by Martin Essex, Analyst and Editor

To contact Martin, email him at martin.essex@ig.com

Follow Martin on Twitter @MartinSEssex

For help to trade profitably, check out the IG Client Sentiment data

And you can learn more by listening to our regular trading webinars; here’s a list of what’s coming up

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

DISCLOSURES