GBPUSD Break Faces Hurdles, USD and Equities Await FOMC Minutes
• GBPUSD leverages fundamental surprise on technical congestion for a decisive break, but follow through?
• Supply cap expectations fails to lift oil to the critical bullish breakout
The dramatic swings in risk trends have subsided somewhat, but few traders believe they are gone for good. Rebounds from assets linked to sentiment are uneven and lacking for conviction. With the right catalyst, it wouldn't be difficult to stir 'fear' once again to send equities, Yen crosses and commodities tumbling in tandem once again. Is there anything that can do that in the immediate future? One high profile calendar to item to watch closely is the FOMC meeting minutes. While not a rate decision, the path for the Fed is so heavily contested and the implications of monetary policy as a backing for market/economic health so profound that this events influence will be leveraged. Aside from the thematic, the discrete event risk forced a GBPUSD break, but follow through is going to be difficult to achieve. We look at the currencies and assets at-risk as well as the themes that can project the entire market in today's Trading Video.
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DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.