2019-11-11 • Updated
The political turmoil that gripped the White House this week resulted in the weakening of the USD against its major counterparts, such as the British pound. US President Donald Trump was accused of pressuring ex-FBI director James Comey to drop the investigation into ties between Russia and former security adviser, Michael Flynn. This was regarded as a serious, impeachable offense – an obstruction of justice. The latest development is circulation of Comey’s testimony in which former FBI director confirmed that he hadn’t been pressured for political purpose. This has lifted pressure from the US dollar, but only partially. In its turn, GBP was supported by the numerous economic data releases and actively tested 1.30.
On Tuesday, the Bank of England Governor Mark Carney will testify on inflation and the economic outlook before Parliament’s Treasury Committee. British inflation figures continue moving upwards: CPI rose by 2.7% in April. The BoE is ready to tolerate inflation at around 3%, a higher rate may make the central bank to raise its interest rate. On Wednesday, traders will wait for the FOMC meeting minutes’ release, though it shouldn’t bring any great market fluctuations. Towards the end of the week, we will be focused on the second estimate of GDP figures and preliminary business investment gauge both coming out of the UK on Thursday. On Friday, keep an eye on the US preliminary Q1 GDP figures.
The technical outlook for GBP/USD currency pair is neutral with some bullish bias. Most likely, the pair will be trading choppily within the range between 1.2850 and 1.3070 in the upcoming days. Stochastic indicates a room for the pound’s extension towards the upper border of consolidation range or higher, towards 1.3150 (38.2% Fibo of the post-Brexit decline). On the downside, there is a support at 1.2750 and 1.2710 which previously served as a very important resistance line.
Crude oil futures surged on Monday due to disruptions in Russian refining capacity caused by Ukrainian drone strikes and Moscow's decision to cut output to comply with OPEC+ targets. The West Texas Intermediate (WTI) contract for May settled at $81.95 a barrel, up $1.32, while the Brent contract for May settled at $86.57 a barrel, also up $1.32. Russia instructed...
Bearish scenario: Sales below 80.00 with TP1: 79.60... Anticipated bullish scenario: Intraday purchases above 80.70 with TP: 81.50...
Bearish Scenario: Sales below 78.99 with TP1: 77.93, TP2: 77.45, and upon its breakout TP3: 76.56 and TP4: 75.70 Bullish Scenario: Purchases above 78.00 (wait for a pullback to this area) with TP1: 1679.00 (uncovered POC*), TP2: 79.33, and TP3: 79.66 intraday
Jerome H. Powell, the Federal Reserve chair, stated that the central bank can afford to be patient in deciding when to cut interest rates, citing easing inflation and stable economic growth. Powell emphasized the Fed's independence from political influences, particularly relevant as the election season nears. The Fed had raised interest rates to 5.3 ...
Hello again my friends, it’s time for another episode of “What to Trade,” this time, for the month of April. As usual, I present to you some of my most anticipated trade ideas for the month of April, according to my technical analysis style. I therefore encourage you to do your due diligence, as always, and manage your risks appropriately.
Bearish scenario: Sell below 1.0820 / 1.0841... Bullish scenario: Buy above 1.0827...
FBS maintains a record of your data to run this website. By pressing the “Accept” button, you agree to our Privacy policy.
Your request is accepted.
A manager will call you shortly.
Next callback request for this phone number
will be available in
If you have an urgent issue please contact us via
Live chat
Internal error. Please try again later
Don’t waste your time – keep track of how NFP affects the US dollar and profit!
|
