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
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
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
Gold
Mixed
GBP/USD
Bullish
USD/JPY
Mixed
More View more
Real Time News
  • The ISM manufacturing index plays an important role in forex trading, with ISM data influencing currency prices globally. Learn about the importance of the ISM manufacturing index here: https://t.co/Xr3xtoFpZy https://t.co/Agl1q6EQyu
  • Take a closer look visually at the most influential global importers and exporters here: https://t.co/G58J1dg6y3 https://t.co/UmubxiDXGc
  • Trading bias allows traders to make informative decisions when dealing in the market. This relates to both novice and experienced traders alike. Start learning how you may be able to make more informed decisions here: https://t.co/rz7fqhRoMG https://t.co/e4G1gTGhex
  • Greed is a natural human emotion that affects individuals to varying degrees. Unfortunately, when viewed in the context of trading, greed has proven to be a hindrance more often than it has assisted traders. Learn how to control greed in trading here: https://t.co/kODPAfJE79 https://t.co/pS48NIuwqX
  • Forex liquidity makes it easy for traders to sell and buy currencies without delay, and also creates tight spreads for favorable quotes. Low costs and large scope to various markets make it the most frequently traded market in the world. Learn more here: https://t.co/arxYmtQeUn https://t.co/gFVVZTGbe1
  • Forex quotes reflect the price of different currencies at any point in time. Since a trader’s profit or loss is determined by movements in price, it is essential to develop a sound understanding of how to read currency pairs. Learn how to read quotes here: https://t.co/CNtqrKWDBY https://t.co/nHXiNJhLes
  • A currency carry trade involves borrowing a low-yielding currency in order to buy a higher yielding currency in an attempt to profit from the interest rate differential. Find out if the carry trade suits your trading style here: https://t.co/7t4BzmLg8w https://t.co/h0TmJcZeqr
  • $USDCAD sold off aggressively last week, putting it into position to test the important 2017 low; trading bias is neutral to bearish. Get your market update from @PaulRobinsonFX here: https://t.co/sphxUAW9TB https://t.co/ZhsTeJOOM8
  • Get your snapshot update of the of top level exchanges and key index performance from around the globe here: https://t.co/d8Re5anlG5 https://t.co/qP96xmgDVn
  • The pro-risk Australian Dollar may extend gains after the record miss in US jobs data, amplifying dovish rhetoric from the Federal Reserve and keeping the Dow Jones and S&P 500 intact. Get your market update from @ddubrovskyFX here: https://t.co/yf8mPX3O3W https://t.co/uCCmjaxUhF
EUR/USD Hits an 18-Month High Then Wobbles After the US Orders China to Close its Consulate

EUR/USD Hits an 18-Month High Then Wobbles After the US Orders China to Close its Consulate

Nick Cawley, Strategist

EUR/USD Price, News and Analysis:

  • EUR/USD pressing higher but politics may crimp further gains.
  • US dollar eyeing fresh lows.

The United States has ordered China to close its consulate in Houston, in a move that will escalate tensions between the two superpowers further. The demand to close the consulate was a ‘political provocation unilaterally launched by the US’ and would ‘sabotage China-US relations’ according to Chinese foreign minister Wang Wenbin. China and the US remain at loggerheads over a range of issues and this latest move will likely draw a quick response from China, ratcheting up the friction between the two countries. The US dollar caught a small bid after the announcement hit the market, but the pull-back was muted and less than half of Tuesday’s sell-off.

US Dollar Basket (DXY) Daily Price Chart (January - July 22, 2020)

EUR/USD Hits an 18-Month High Then Wobbles After the US Orders China to Close its Consulate

EUR/USD has been moving higher in recent sessions on a combination of ongoing US dollar weakness and relief that the EU COVID-19 recovery plan was finally agreed early Tuesday. The deal will now consist of EUR390bn in grants, down from the originally mooted EUR500bn, and EUR360bn of loans, up from EUR250bn. The plan will be funded by debt issuance in international markets.

The pair touched a fresh 18-month high of 1.1547 earlier in today’s session before paring gains after the US-China news hit the screens.The daily chart remains positive with a series of higher lows in place after the 50-dma/200-dma golden crossover made on June 22. The next likely levels of resistance are from two swing highs on the weekly chart at 1.1570 (January 2019) and 1.1815 (September 2018). A break below 1.1500 may see 1.1422 tested in the short-term. The CCI indicator shows EURUSD deep in overbought territory.

EUR/USD Daily Price Chart (January – July 22, 2020)

EUR/USD Hits an 18-Month High Then Wobbles After the US Orders China to Close its Consulate

What is your view on EUR/USD – bullish or bearish?? You can let us know via the form at the end of this piece or you can contact the author via Twitter @nickcawley1.

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

DISCLOSURES