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.

Free Trading Guides
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
Bearish
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
GBP/USD
Mixed
USD/JPY
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
More View more
Real Time News
  • The scale of the monthly chart can be particularly useful in spotting systemic developments. Gold for example reflects enormous lift of a haven during supposed 'risk on'. The candle chart is gold equally weighted in USD, EUR, GBP and JPY. Orange is $GC_F https://t.co/4yEjT7FvGA
  • Forex Update: As of 20:00, these are your best and worst performers based on the London trading schedule: 🇦🇺AUD: 0.49% 🇨🇭CHF: 0.30% 🇪🇺EUR: 0.25% 🇳🇿NZD: -0.06% 🇨🇦CAD: -0.06% 🇯🇵JPY: -0.15% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/OR9TIAZM1e
  • Food for thought https://t.co/WyOnOvnPbM
  • More people have filed for unemployment in the United States in the last three months than the entire population of Canada... In other news, $QQQ is just ~3% from its all-time high!
  • Commodities Update: As of 20:00, these are your best and worst performers based on the London trading schedule: Silver: 2.85% Gold: 0.73% Oil - US Crude: -0.30% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/tCGrDwpnas
  • There really is no “taking one day off Twitter without something massive happening” is there? https://t.co/xRQ4wzhA43
  • With $EURUSD clearing 1.1000 this past week and the big swing the past few weeks, it seems remarkable progress for the benchmark currency pair. But consider the monthly picture. It is still awaiting the sentiment nod... https://t.co/4jBDlHwEqg
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 97.03%, while traders in US 500 are at opposite extremes with 75.77%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/BUbAYHNPIt
  • Amid escalating China tension, Australian Dollar risk reversals indicate that the bullish bias recently enjoyed by AUD/USD could soon unwind and pressure spot prices back lower. Get your AUD/USD technical analysis from @RichDvorakFX here: https://t.co/ZAHEwxNrEW https://t.co/cIFgSuoWF2
  • Update on #Cryptocurrencies #BITCOIN -0.31% #BITCOINCASH +0.70% #ETHEREUM +2.67% #RIPPLE -0.51% #LITECOIN +0.52%
Pound Rises as BoE Head Stays for Brexit; Market Weighs BoJ, RBA, Fed

Pound Rises as BoE Head Stays for Brexit; Market Weighs BoJ, RBA, Fed

2016-11-01 04:30:00
John Kicklighter, Chief Strategist
Share:

Talking Points:

  • The end of October and start of November usually brings cooling markets, but that may change
  • RBA and BoJ rate decisions offer the first half of four rate decisions this week
  • News that BoE Governor Carney shifts the Brexit-driven GBP, risk trends remain a key wind

See the DailyFX Analysts' 4Q forecasts for the Dollar, Euro, Pound, Equities and Gold in the DailyFX Trading Guides page.

The fundamental headlines have started early this week, but the market is saving itself for something more decisive and perhaps all-consuming. Scheduled event risk through Monday's session carried economic heft but was limited for price engagement with grander uncertainties in the near future. Eurozone 3Q GDP, the Fed's favored inflation indicator (PCE), and UK business sentiment offered adjustment to currency and asset advantage versus disadvantage. Yet, the modest surprises in this data would not draw enough attention away from the countdown to events like the FOMC and BoE rate decisions or Friday's US NFPs.

Diverting the flow on some of the underlying themes remains the best source of potential movement in currency conditions. The Pound had a distinct response - a robust bounce - on news that Bank of England Governor Mark Carney plans to stay at the helm of UK monetary policy through the conclusion of the two-year Brexit odyssey. With the Sterling stumbling with every additional fear of negotiation trouble in the EU separation, this offers a much-needed sense of relief. However, the extent of this encouraging development will only stretch so far with the BoE's rate decision and Quarterly Inflation due later this week.

Meanwhile, the Reserve Bank of Australia (RBA) and Bank of Japan (BoJ) have deliberated on their policy approaches through Tuesday's morning session. Neither would alter their course - though the latter is far more aggressive in its accommodation than the former. Speculation of further easing from the RBA has eased while the BoJ has shifted its stimulus to a market-derived course. These may not look like normalization or tightening on traditional courses, but they come to similar effects. Will the market read the similarities? Underlying risk trends remain one of the most potent yet untapped sources in the system. While we are drawn to bright headlines, it is important to keep charts for benchmarks like the S&P 500 close at hand. We see how the market is moving through its first wave of important event risk this week in today's Trading video.

To receive John’s analysis directly via email, please SIGN UP HERE

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

DISCLOSURES

News & Analysis at your fingertips.