Trading Video: Risk Trends and Rate Expectations Amid FOMC, NFPs, GDP
• The coming week looks to be one dominated by rate speculation, but risk trends are coiled like a spring
• US event risk including the Fed rate decision, July NFPs and 2Q US GDP look to dominate headline
We have coded the DailyFX-Plus strategies for Breakout, Range and Momentum to adapt to these market shifts.
With the US docket alone carrying the quarterly GDP reading, nonfarm payrolls report and FOMC rate decision; it looks like we are set for a busy week. These and other major fundamental catalysts are certainly high profile and easily segue into one of the FX market's primary themes: interest rate expectations. However, a wary eye must be kept on the current for sentiment as a general trend is developing between bottoming volatility indexes, consolidating carry trades and diverging performance between risk-sensitive asset classes. As tides turn, key pairs mark progress and event risk approaches; we discuss how to prepare in the weekend Trading Video.
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DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.