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
EUR/USD
Mixed
Oil - US Crude
Bullish
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
GBP/USD
Mixed
USD/JPY
Bullish
More View more
Real Time News
  • Traders utilize varying time frames to speculate in the forex market. The two most common are long- and short-term-time frames which transmits through to trend and trigger charts. Learn more about time-frame analysis here: https://t.co/UalZ8cRSXB https://t.co/YgTLOf10s7
  • Forex Update: As of 02:00, these are your best and worst performers based on the London trading schedule: 🇨🇦CAD: 0.21% 🇦🇺AUD: 0.19% 🇳🇿NZD: 0.16% 🇬🇧GBP: 0.12% 🇨🇭CHF: 0.11% 🇯🇵JPY: -0.04% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/qL7nMxUXEP
  • #Market Snapshot Risk-on tilt to kick-off a fresh quarter of trade Haven-associated $USD and $JPY losing ground while $AUDUSD and $EURUSD trek higher #SP500 futures following #CrudeOil and the #ASX200 higher $Gold dipping back towards session-lows https://t.co/oJemFdRsdt
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 96.17%, while traders in Wall Street are at opposite extremes with 65.50%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/X3E4khU9qC
  • American Airlines say it is planning to furlough 19,000 employees after the government fails to pass its delayed fiscal stimulus follow up. United warned previously it could furlough 12,000 of its employees and Disney laid off 28,000 of its workers. #pandemic
  • GBP/USD was putting together a strong rally yesterday, but fizzled and put price closing in the bottom half of its daily range. Get your $GBPUSD technical analysis from @PaulRobinsonFX here:https://t.co/34HxGeksHU https://t.co/qMxdumej4w
  • The Tokyo Stock Exchange said before the opening bell on Thursday that it would suspend trading in all stocks, due to a glitch in its system to distribute market information - https://t.co/CNsaUCWgBa
  • What is seasonal change in volatility. Are we going through one right now? Find out: https://t.co/G0qfpOmMl2 https://t.co/p2NG16qNBx
  • 🇰🇷 Balance of Trade (SEP) Actual: $8.88B Previous: $3.84B https://www.dailyfx.com/economic-calendar#2020-10-01
  • And so starts October: the peak of volatility as measured by the $VIX historically and the most active month according to $SPX volume https://t.co/O2HDsGgrWH
EUR/USD Faces Heavy Winds, Risk and Pound Moves Give Way to What's Ahead

EUR/USD Faces Heavy Winds, Risk and Pound Moves Give Way to What's Ahead

2017-04-21 04:34:00
John Kicklighter, Chief Strategist
Share:

Talking Points:

  • The nascent trends behind the Pound, Euro and 'Risk' have powered down with heavy event risk ahead
  • Be mindful of what exposure you have to the upcoming liquidity drain - there is more at risk than just Euro stability
  • Top event risk over the final session includes global PMIs which is a great proxy for next week's 1Q GDP updates

See the DailyFX Analysts' 2Q forecasts for the Dollar, Euro, Pound, Equities and Gold on the DailyFX Trading Guides page.

Surprise volatility is giving way to heightened anticipation. The remarkable moves we saw arises in the Pound, Euro and volatility this week have all been checked. The charge from GBP/USD and other Pound crosses on news that UK Prime Minister Theresa May had called a snap election has stalled with the Cable struggle in a zone of resistance around 1.2800 while EUR/GBP has helped its ground at 0.8300 support. Meanwhile, the Euro's surprising rally - clearing a EUR/USD wedge - has bowed to the weekend threat of close French election. For VIX and other risk metrics, anticipation keeps readings buoyant; but it disengages the steady climb higher until something substantial breaks.

Event risk through the final 24 hours of this trading week come with certain limitations. While there is a comprehensive proxy for global GDP in the wide PMI figures, the market is not particularly tuned in to the implications for speculative exposure. Japanese, Euro-area and US manufacturing activity reports for April are on tap; but developing a trend on any one of these releases - much less a trend - is highly unlikely. If anything, this data will simply feed into the suspense surrounding next week's official first quarter GDP figures are due for the United States, United Kingdom and France among others. Updates on Japanese trade, the New York Fed's GDP forecast and Canadian CPI simply can't override the forward looking vision in the market.

The most immediate event risk to keep traders on edge is this weekend's first round election in France. Given the wildly contrasting views of the candidates and the remarkable balance in the opinion polls, the risks are clear. Should the Euro find itself caught up in a sizable move, its place in the liquidity scales will no doubt result in strong responses from the Dollar, Yen, Pound and other currencies and speculative benchmarks. Outside the reach of overwhelming event risk, the Canadian Dollar is due inflation data that is good for volatility in the event of a substantial surprise. Pairs like the GBP/CAD, USD/CAD and other crosswind-heavy pairs should ignored while AUD/CAD and NZD/CAD don't present too many complications. Meanwhile, the commodity market has produced its reversals and burned through gas-laden wicks. Gold has retreated from its five-and-a-half year trendline resistance and oil has dropped through a hefty section of its broad range. We look at what opportunities are active, which are better to wait for and what's best to avoid in today's Trading Video.

EUR/USD Faces Heavy Winds, Risk and Pound Moves Give Way to What's AheadEUR/USD Faces Heavy Winds, Risk and Pound Moves Give Way to What's Ahead

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