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
Bullish
Oil - US Crude
Bullish
Wall Street
Mixed
Gold
Mixed
GBP/USD
Mixed
USD/JPY
Mixed
More View more
Real Time News
  • Gold Price Forecast: Dovish FOMC Could Underpin Bullion Ahead of NFP - https://www.dailyfx.com/forex/fundamental/forecast/weekly/chf/2020/11/27/Gold-Price-Forecast-Dovish-FOMC-Could-Underpin-Bullion-Ahead-of-NFP.html?CHID=9&QPID=917708&utm_source=Twitter&utm_medium=Moss&utm_campaign=twr #Gold #XAUUSD $GOLD $GLD https://t.co/N9ChZOqSdy
  • Forex Update: As of 21:00, these are your best and worst performers based on the London trading schedule: 🇪🇺EUR: 0.42% 🇦🇺AUD: 0.35% 🇳🇿NZD: 0.30% 🇨🇦CAD: 0.20% 🇯🇵JPY: 0.16% 🇬🇧GBP: -0.33% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/4uyJxc09OH
  • Commodities Update: As of 21:00, these are your best and worst performers based on the London trading schedule: Oil - US Crude: 1.48% Gold: -1.28% Silver: -2.80% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/pbfmvnsvuu
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 93.65%, while traders in France 40 are at opposite extremes with 78.02%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/NL3bVphnYH
  • Indices Update: As of 21:00, these are your best and worst performers based on the London trading schedule: FTSE 100: 0.64% Germany 30: 0.04% US 500: 0.00% Wall Street: 0.00% France 40: -0.02% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/uZ1HjcIJ4q
  • GBP/USD continues to fail around the 1.3400 level and is unlikely to make a confirmed break higher ahead of any trade talk confirmation. Get your $GBPUSD technical analysis from @nickcawley1 here:https://t.co/EWLFXK1q3q https://t.co/4XSSNxobMo
  • The Gold price sell-off has broken below key technical barriers and leaves the outlook for XAU/USD weighted to the downside heading into the close of the month. Get your $XAUUSD technical analysis from @MBForex here:https://t.co/3YLcAFlr5f https://t.co/1uFb9UkDvV
  • Commodities Update: As of 19:00, these are your best and worst performers based on the London trading schedule: Oil - US Crude: 1.48% Gold: -1.28% Silver: -2.80% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/OvThGydQBs
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 93.65%, while traders in France 40 are at opposite extremes with 78.02%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/Yq6wLxhblV
  • Vaccine Optimism Sparks 28% Increase in Oil Prices. Get your #crudeoil market update from @JMcQueenFX here:https://t.co/F3AlSkniXk https://t.co/qevY4Gh6o9
Asia AM Digest: All Eyes on Italian Election Results, Euro Swings

Asia AM Digest: All Eyes on Italian Election Results, Euro Swings

2018-03-05 00:00:00
DailyFX Research,
Share:

To get the Asia AM Digest every day, SIGN UP HERE

The Canadian Dollar underperformed on Friday as local front-end government bond yields fell, hinting at ebbing hawkish Bank of Canada monetary policy expectations. In a follow-up to Thursday’s announcement on steel tariffs, US President Donald Trump said that “trade wars are good, and are easy to win”. His comments crossed the wires amidst ongoing NAFTA negotiations. Mr. Trump has in the past suggested to pull out of the agreement.

The anti-risk Japanese Yen and Swiss Franc on the other hand were some of the best performing majors. They benefited early into the session as Bank of Japan’s Governor Kuroda sparked risk aversion. Mr. Kuroda announced that the central bank could consider a policy exit around the 2019 fiscal year given certain circumstances. Sentiment-linked currencies such as the Australian and New Zealand Dollars suffered.

Over the weekend, Germany’s centre-Left Social Democratic Party voted to approve a coalition with Angela Merkel’s bloc. This effectively means that the Chancellor has a backing for a grand coalition. With that in mind, the Euro inched higher at Monday’s open.

Simultaneously, Italian election exit polls crossed the wires just as the session got started. The Euro climbed further as the results showed the Centre-right coalition ahead of the eurosceptic Five Star Movement. However, once the seat projections hinted that the country could be heading for a hung parliament, the Euro reversed its course. Expect more volatility to come as the final tally is counted.

DailyFX Economic Calendar: Asia Pacific (all times in GMT)

Asia AM Digest: All Eyes on Italian Election Results, Euro Swings

DailyFX Webinar CalendarCLICK HERE to register (all times in GMT)

Asia AM Digest: All Eyes on Italian Election Results, Euro SwingsAsia AM Digest: All Eyes on Italian Election Results, Euro SwingsAsia AM Digest: All Eyes on Italian Election Results, Euro Swings

IG Client Sentiment Index Chart of the Day: USD/JPY

Asia AM Digest: All Eyes on Italian Election Results, Euro Swings

CLICK HERE to learn more about the IG Client Sentiment Index

Retail trader data shows 70.4% of traders are net-long with the ratio of traders long to short at 2.38 to 1. In fact, traders have remained net-long since Dec 29 when USD/JPY traded near 113.0; price has moved 6.8% lower since then. The number of traders net-long is 3.0% lower than yesterday and 2.2% higher from last week, while the number of traders net-short is 4.9% lower than yesterday and 24.0% lower from last week.

We typically take a contrarian view to crowd sentiment, and the fact traders are net-long suggests USD/JPY prices may continue to fall. Traders are further net-long than yesterday and last week, and the combination of current sentiment and recent changes gives us a stronger USD/JPY-bearish contrarian trading bias.

Five Things Traders are Reading:

  1. China’s NPC: President, PBOC Governor Elections, 2018 Targets and More by Renee Mu, Currency Analyst
  2. Euro Contends with Italian Election Results, ECB Meeting by Christopher Vecchio, Sr. Currency Strategist
  3. EUR/USD Weekly Technical Forecast: Euro May Be in Trouble After Bounce by Paul Robinson, Market Analyst
  4. Yen Looks Attractive on Italian Election, US Jobs Data and More by Daniel Dubrovsky, Jr. Currency Analyst
  5. Australian Dollar Could Struggle With RBA Rate Call, Lowe Speechby David Cottle, Analyst

To get the Asia AM Digest every day, sign up here

To get the US AM Digest every day, sign up here

To get both reports daily, sign up here

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

DISCLOSURES