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
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
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
GBP/USD
Mixed
USD/JPY
Mixed
More View more
Real Time News
  • Heads Up:🇷🇺 CBR Press Conference due at 12:00 GMT (15min) https://www.dailyfx.com/economic-calendar#2020-10-23
  • Heads Up:🇩🇪 Bundesbank Mauderer Speech due at 12:00 GMT (15min) https://www.dailyfx.com/economic-calendar#2020-10-23
  • The Spinning Top candlestick pattern forms part of the vast Japanese candlestick repertoire with its own distinct features. Gain a better understanding of the spinning top candlestick here: https://t.co/yXomAftdv8 https://t.co/9N3XRViUin
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 96.61%, while traders in EUR/USD are at opposite extremes with 69.17%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/4I6evWndsv
  • There is a great debate about which type of analysis is better for a trader. Is it better to be a fundamental trader or a technical trader? Find out here: https://t.co/aVAzFypAg1 https://t.co/afeXKfZT4K
  • 🇷🇺 Interest Rate Decision Actual: 4.25% Expected: 4.25% Previous: 4.25% https://www.dailyfx.com/economic-calendar#2020-10-23
  • Commodities Update: As of 10:00, these are your best and worst performers based on the London trading schedule: Oil - US Crude: 0.43% Gold: 0.29% Silver: 0.05% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/joUZve1zxA
  • Forex Update: As of 10:00, these are your best and worst performers based on the London trading schedule: 🇦🇺AUD: 0.44% 🇳🇿NZD: 0.36% 🇨🇭CHF: 0.32% 🇯🇵JPY: 0.20% 🇨🇦CAD: 0.17% 🇬🇧GBP: 0.02% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/jitwr50kLY
  • Heads Up:🇷🇺 Interest Rate Decision due at 10:30 GMT (15min) Expected: 4.25% Previous: 4.25% https://www.dailyfx.com/economic-calendar#2020-10-23
  • Indices Update: As of 10:00, these are your best and worst performers based on the London trading schedule: FTSE 100: 1.38% France 40: 1.05% Germany 30: 0.78% Wall Street: 0.26% US 500: 0.22% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/T1eJUg4Xb4
European Economy Booming According to Sentix Index

European Economy Booming According to Sentix Index

2017-11-06 10:03:00
Nick Cawley, Strategist
Share:

Talking Points

- European economic growth is booming, despite Catalan travails.

- Traders remain short EUR/USD indicating prices may edge higher.

Check out our new Trading Guides: they’re free and have been updated for the fourth quarter of 2017

The European economy is booming, according to the latest Sentix Economic index, which hit its highest level since July 2007. The overall index rose to 34.0 in November, drubbing expectations of a rise to 31.0 and a prior month’s reading of 29.7. The results of the poll, taken November 2-4, are even more impressive in the light of Spain imposing direct rule on Catalonia and issuing an arrest warrant for former leader Carles Puigdemont.

According to Sentix, both situation and expectations contribute to this positive development.

“Things are even better in Germany, where we can report all-time highs. However, the upturn is not just focused on Europe. All world regions considered by Sentix show further improvements. The global economy is booming. This should make the question of overheating symptoms more acute.”

The latest ECB data show that growth in the Euroland is booming at a y/y rate of 2.5%, although a downtick in annual inflation to 1.6% from 1.8% means growth is not feeding through to higher prices as quickly as the ECB would like.

Chart: EURUSD Daily Timeframe (July – November 6, 2017)

European Economy Booming According to Sentix Index

Chart by IG

The latest IG Client Sentiment data show traders are net-short EURUSD, a sign that the pair may push higher. We typically take a contrarian view to crowd sentiment, and the fact traders are net-short suggests EURUSDprices may continue to rise. Traders are further net-short than yesterday and last week, and the combination of current sentiment and recent changes gives us a stronger EURUSD-bullish contrarian trading bias.

And DailyFX analyst Paul Robinson highlights the latest EUR/USD support and resistance levels in his latest technical analysis here.

Would you like to know the Traits of Successful Traders and how to find the Number One Mistake Traders Make? If so, click here.

--- Written by Nick Cawley, Analyst

To contact Nick, email him at nicholas.cawley@ig.com

Follow Nick on Twitter @nickcawley1

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

DISCLOSURES