Weekly Technical Forecast: Equities’ Tumble and Dollar Correction Threaten Lasting Volatility, Return of Correlations
Check out our Economic Calendar for upcoming economic data and central bank events.
Sterling has turned lower heading into the weekend with a pair of bearish four-hour candles appearing.
The Dollar’s flagging momentum turned into a short-term reversal this past week. A right shoulder on a five-month pattern is now being formed, but we still have ground to cover before the speculative windup is complete
It was a brutal week across global equities; but at this stage it looks like a pull back from the prior trends of strength that ran through Q3. Might this turn into something more?
The aggregate stress of tightening monetary policy, mismanaged fiscal policy (rising deficits), trade wars, high oil costs, and high inflation may be proving too much for market participants at present time. If so, it’s a combination of concerns that stands to benefit the Japanese Yen.
Last week the euro erased a breakdown by recapturing significant support around the 11500-line, this shifts momentum back to the top-side, but how long and can it last?
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.