FX update at the half

On the U.S. economic data front, Initial Jobless Claims rose to 1,416K for the week ending July 18th (1,300K expected), from a revised 1,307K in the week before. Continuing Claims unexpectedly fell to 16,197K for the week ending July 11th (17,100K expected), from a revised 17,304K in the prior week. The Leading Index increased 2.0% on month in June (+2.1% expected), compared to a revised +3.2% in May.

On Friday, Markit's U.S. Manufacturing Purchasing Managers' Index for the July preliminary reading is expected to rise to 52.0 on month, from 49.8 in the June final reading. Finally, New Homes Sales for June are expected to increase to 700K on month, from 676K in May.

In Europe, the euro zone consumer confidence index fell to -15 in July in first reading (-12 expected) from -15 in June. Germany's GfK Consumer Confidence Index for August was released at -0.3 (vs -4.5 expected). France's INSEE has posted July indicators on business confidence at 82 (vs 86 expected) and manufacturing confidence at 82 (vs 84 expected).

Here is a mid-day snapshot of the majors.

EUR/USD jumped 45pips to 1.1615 the day's range was 1.1541 - 1.1625 compared to 1.1507 - 1.1601 the previous session.

GBP/USD gained 13pips to 1.2747 the day's range was 1.2673 - 1.2760 compared to 1.2644 - 1.2744 the previous session.

USD/JPY fell 26pips to 106.89 the day's range was 106.85 - 107.23 compared to 106.71 - 107.29 the previous session.

USD/CHF declined 43pips to 0.9253 the day's range was 0.9250 - 0.9302 compared to 0.9287 - 0.9352 the previous session.

AUD/USD fell 12pips to 0.7128 the day's range was 0.7091 - 0.7162 compared to 0.7112 - 0.7182 the previous session.

USD/CAD dropped 42pips to 1.3375 the day's range was 1.3371 - 1.3427 compared to 1.3400 - 1.3483 the previous session.

The dollar index declined 0.3pt to 94.684 the day's range was 94.661 - 95.181 compared to 94.829 - 95.412 the previous session.

Looking at the above mentioned movers, The EUR/USD remains in play. Prices are continuing higher with a possible bullish trend channel in the works. We have raised or stop-loss and target levels. As long as the pair can remain above key support at 1.1445 (March Highs), look for a continuation to the next major resistance levels at 1.172 and 1.182.

Source: GAIN Capital, TradingView

Happy Trading.

This report is intended for general circulation only. It should not be construed as a recommendation, or an offer (or solicitation of an offer) to buy or sell any financial products. The information provided does not take into account your specific investment objectives, financial situation or particular needs. Before you act on any recommendation that may be contained in this report, independent advice ought to be sought from a financial adviser regarding the suitability of the investment product, taking into account your specific investment objectives, financial situation or particular needs.

StoneX Financial Pte. Ltd., may distribute reports produced by its respective foreign entities or affiliates within the StoneX group of companies or third parties pursuant to an arrangement under Regulation 32C of the Financial Advisers Regulations. Where the report is distributed to a person in Singapore who is not an accredited investor, expert investor or an institutional investor (as defined in the Securities Futures Act), StoneX Financial Pte. Ltd. accepts legal responsibility to such persons for the contents of the report only to the extent required by law. Singapore recipients should contact StoneX Financial Pte. Ltd. at 6826 9988 for matters arising from, or in connection with the report.

In the case of all other recipients of this report, to the extent permitted by applicable laws and regulations neither StoneX Financial Pte. Ltd. nor its associated companies will be responsible or liable for any loss or damage incurred arising out of, or in connection with, any use of the information contained in this report and all such liability is hereby expressly disclaimed. No representation or warranty is made, express or implied, that the content of this report is complete or accurate.

StoneX Financial Pte. Ltd. is not under any obligation to update this report.

Trading CFDs and FX on margin carries a high level of risk that may not be suitable for some investors. Consider your investment objectives, level of experience, financial resources, risk appetite and other relevant circumstances carefully. The possibility exists that you could lose some or all of your investments, including your initial deposits. If in doubt, please seek independent expert advice. Visit www.cityindex.com/en-sg/terms-and-policies for the complete Risk Disclosure Statement.

ALL TRADING INVOLVES RISKS. LOSSES CAN EXCEED DEPOSITS.

City Index is a trading name of StoneX Financial Pte. Ltd. (“SFP”) for the offering of dealing services in Contracts for Differences (“CFD”). SFP holds a Capital Markets Services Licence issued by the Monetary Authority of Singapore for Dealing in Exchange-Traded Derivatives Contracts, Over-the-Counter Derivatives Contracts, and Spot Foreign Exchange Contracts for the Purposes of Leveraged Foreign Exchange Trading. SFP is also both Derivatives Trading and Clearing member of the Singapore Exchange (“SGX”). SFP is a wholly-owned subsidiary of StoneX Group Inc.

The information provided herein is intended for general circulation. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person. You should take into account your specific investment objectives, financial situation or particular needs before making a commitment to invest, including seeking advice from an independent financial adviser regarding the suitability of the investment, under a separate engagement, as you deem fit. No representation or warranty is given as to the accuracy or completeness of this information. Consequently, any person acting on it does so entirely at their own risk.

The information does not represent an offer of, or solicitation for, a transaction in any investment product. Any views and opinions expressed may be changed without an update. To understand the risks and costs involved, please visit the section captioned “Important Information” and the “Risk Disclosure Statement”.

The information herein is not directed to, or intended for distribution to or use by, any person or entity who is a citizen or resident of or located in any locality, state, country or other jurisdiction where such distribution, publication, availability or use would be contrary to law or regulation.

StoneX Financial Pte. Ltd. 1 Raffles Place, #18-61, One Raffles Place Tower 2, Singapore 048616. Tel: 6309 1000. Co. Reg. No.: 201130598R.

This advertisement has not been reviewed by the Monetary Authority of Singapore.