European Open

With inflation data for Europe and the US in today's European session, we take a look at EUR/USD to identify key levels and a directional bias.

With a host of inflation data from Europe and GDP data for the US, implied volatility has picked up to wake markets up from their post-Thanksgiving lull. Today we take a look at USD/JPY and EUR/USD for a potential setup.

GBP/USD has continued to take advantage of a weaker US dollar and rise to an 11-week high. And with a high level of volume activity overhead, we see the potential for a move to 1.27.

Has the rally on EUR/USD gone too far, too soon? Whilst it shows the potential for further gains, a pullback would not come as too much of a surprise. And with the Nasdaq rising ~80% of the Wednesday's ahead of Thanksgiving, we feel inclined to seek intraday bullish setups today.

With the US dollar continuing to soften during Monday’s Asian trade, we now wait to see if it can help EUR/USD break above a key resistance level. But with the 200-day MA nearby for the US dollar index, it might may hit a bump in the road.

Today we look at a cheeky long setup on gold with its double bottom pattern at support, and an interesting setup on EUR/CHF which could appeal to bearish swing traders.

Whilst the 200-day MA stands in the way of further DAX gains, I suspect a move to 16k could still be on the cards. USD/JPY could also test 150 as part of its next leg lower, if incoming US data disappoints.

Once again, the 1-day implied volatility levels for EUR/USD and USD/JPY have blown out ahead of a busy calendar. Central bank members from the Fed, ECB, BOE and SNB will hit the wires, European GDP is also on tap ahead of the key US inflation report.

We enter today’s European session quite unsure of how this could play out. Several key markets are at our around key levels, and that usually means we’re a few ticks away from either all out carnage or a reversal of fortunes. Can the Nasdaq cling onto support? And will the ECB drive EUR/USD lower?

A 2-bar reversal on EUR/USD suggests it may have seen the completion of a 3-wave correction. If so, it also assumes a break to new cycle lows. Elsewhere, USD/CAD is sitting pretty just off its cycle highs ahead of today's BOC meeting, where a dovish hold might help it make a break for 1.38.

The USD is on the ropes as we enter this session, but it’s likely all down to yields as to where the dollar goes next. And we have enough data in the pipeline to make it go one way or the other. The DAX is also clinging to support, but I see the potential for some mean reversion ahead of its next leg lower.

EUR/USD followed our near-term bullish bias to a key resistance zone ahead of today's eurozone inflation report. And we also have several Fed members set to speak which could dictate which side of resistance the euro closes the day on.

UK wages and employment data is released shortly, which could set the tone for tomorrow's inflation report (which in turn could effectively decide the BOE's next interest rate decision). And that puts GBP/USD very much in focus, with US retail sales and several Fed members also on today's calendar. Gold is holding on to much of last week's gains, but we're looking for dips towards 1900 to increase the potential reward to risk ratio for bulls.

Monday trade in Asia saw mild signs of mean reversion against some of last week's large moves, which should not be confused with 'risk-on' with sentiment remaining fragile around the Middle East conflict. Beyond these potentially false moves, we're looking for potential short setups on the FTSE 100 and EUR/USD.

The US dollar has retraced for five days and EUR/USD has risen into a key resistance level ahead of a busy economic calendar, which includes US PPI data, FOMC minutes and several Fed members speaking. The S&P 500 also has a tailwind on renewed bets that Fed are done hiking, and today's calendar could make or break these presumptions.

Gold and oil were higher in Monday’s Asian session in response to weekend news that Israel had declared war against Hamas. With the potential that this could spread into a wider Middle East conflict, gold sucked in safe haven flows whilst oil was higher on supply concerns.

It has been an action-packed week for markets, which has meant that price action ahead of today’s nonfarm payroll report has been quieter than usual. But that doesn't mean it will stay quiet heading into the weekend. Today we look at key levels on the intraday charts of EUR/USD and WTI crude oil.