How to use the golden cross and death cross indicators in trading
The golden cross and death cross are two chart patterns that use simple moving averages to indicate when the price of an asset is entering a bull or bear market. Learn how to spot both when using technical analysis.
Better than expected Retail Sales can’t save the Pound
The July UK sales data was much better than expected. However, with the worse inflation data and employment data this week, combined with a strong US Dollar, couldn’t hold up GBP/USD and the pair may be headed for its lowest level since July 14th!
Japan’s inflation hits a 7.5 year high – but will the BOJ act?
Inflation continues to rise in Japan, albeit at a much slower pace than its peers. But we don’t expect a rate hike any time soon.
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US housing data slows, but the Fed is still ready to hike!
Will DXY continue to move up towards the July 14th highs at 106.31? If the Fed insists on continuing to hike rates, it may well be on its way.
Norges Bank hikes 50bps; more to come?
If inflation continues to increase in Norway, expect that the Norges Bank will continue to hike rates!
2022 Conservative Party leadership election: What’s at stake for the GBP?
Truss is arguing for looser fiscal policy and tighter monetary policy, a policy stance that has historically supported strength in the underlying currency
European Open: Gold bears eye $1750, USD/JPY bulls eye 136
The US dollar has perked up following yesterday’s FOMC minutes, and that has placed gold and USD/JPY onto our radars in anticipation of continued dollar strength.
AU July Jobs Report - A messy mix fails to cloud labour market strength
The Australian jobs report for July has provided a messy mix. The unemployment rate fell to a 48-year low of 3.4%, despite the economy shedding 40,900 jobs, snapping a run of eight consecutive months of gains.
Three trades to watch (USD/CNH, Nikkei 225, China A50)
USD/CNH enjoyed its best day since the pandemic yesterday following China’s weak data, as Beijing seemingly to want to allow their currency to slide to help support the economy.
Copper and USD/CHF have a high negative correlation!
As long as the correlation holds, traders who don’t have access to trade copper can use USD/CHF as a proxy.
Retail Sales data mixed ; USD/JPY continues higher
The July headline Retail Sales print was slightly weaker; however, the core print was stronger. Due to the mixed data, USD/JPY continued its overnight path higher as price broke out of a descending wedge.
European Open: UK CPI up next, USD/JPY holds 134 ahead of retail sales
With peak inflation remaining a key theme for traders, attention now turns to UK CPI data at 07:00 BST.
RBNZ Review Hawkish Orr strike fails to boost bird - NZDUSD
The Reserve Bank of New Zealand has today raised the Official Cash Rate by 50 basis points to 3%. It is the RBNZ’s fourth straight 50bp hike in a row, in a tightening cycle that started back in October.
Yes, inflation may have peak but it “remains far too high”
Sometimes the obvious needs to be said. And that is exactly what the BOC’s deputy governor said in his op-ed by stating inflation “remains far too high”.
Technical Tuesday: USD/CNH, WTI, S&P and Russell
In this week’s edition, we are getting technical on USD/CNH, crude oil and a couple of US equity indices.
Canadian July CPI weaker than previous month. Peak inflation for Canada?
The July Canadian CPI print came in weaker than June’s print and USD/CAD sold off. Traders may have been expecting an even weaker print, similar to that of the US CPI.
European Open: EUR/GBP hints at a swing high ahead of UK employment data
Whilst EUR/GBP has remained mostly within the range highlighted last week, subsequent price action suggests a downside break could be on the cards.
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Could the PBOC allow USD/CNH to head for 7.000
USD/CNH enjoyed its best day since the pandemic yesterday following China’s weak data, as the PBOC seemingly want to allow their currency to slide to help support the economy.
August RBNZ Preview and what next for the NZDUSD
At its meeting tomorrow, the Reserve Bank of New Zealand is widely expected to raise the Official Cash Rate by 50 basis points taking the cash rate to 3%. It will be the RBNZ’s fourth consecutive 50bp hike in a tightening cycle that started in October.
AUD/USD: Where to next?
With poor economic data and a rate cut from China, it was almost a perfect storm for commodity currencies to sell off, particularly, AUD/USD.
Currency Pair of the Week: GBP/USD
With the UK CPI and employment data this week, along with a China rate cut and US housing data, manufacturing data, and retail sales, GBP/USD could be in for some volatility.
How to position for further gains in the AUDUSD
The AUDUSD screamed 3% higher last week to close at a nine-week high after U.S inflation surprised to the downside, boosting equities and risk-sensitive currency pairs, including the AUDUSD.
European Open: Is gold building up towards its next leg higher?
Whilst gold prices are meandering around $1800, we take comfort in the fact support has been established around 1783.