CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Open account
☰
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Open account
✖

The USD closes the week under pressure

Article By: ,  Financial Analyst
July 24, 2020 3:27 PM
What happened this week?

On the economic data front, Markit's U.S. Manufacturing Purchasing Managers' Index rose to 51.3 on month in the July preliminary reading (52.0 expected), from 49.8 in the June final reading. 

New Homes Sales jumped to 776K on month in June (700K expected), from a revised 682K in May, a high last reached in 2007. 

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. 

The Mortgage Bankers Association's Mortgage Applications rose 4.1% for the week ending July 17th, compared to +5.1% in the week before.

Existing Home Sales increased to 4.72 million homes on month in June (4.75 million homes expected), from 3.91 million homes in May. 

Finally, The Federal Reserve Bank of Chicago's National Activity Index spiked to 4.11 on month in June (4.00 expected), from a revised 3.50 in May, marking a record high.


Looking at forex major pairs, the biggest movers of the week were the EUR/USD (+1.80%) and the USD/CHF (-1.77%). Here is a look at the charts from a technical perspective. 


The EUR/USD continues its uptrend towards 1.182 resistance. 



Source: GAIN Capital, TradingView


The USD/CHF remains under pressure to test 2018 lows.



Source: GAIN Capital, TradingView

Have a great weekend. 


StoneX Financial Ltd (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.

No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

For further details see our full non-independent research disclaimer and quarterly summary.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. CFD and Forex Trading are leveraged products and your capital is at risk. They may not be suitable for everyone. Please ensure you fully understand the risks involved by reading our full risk warning.

City Index is a trading name of StoneX Financial Ltd. Head and Registered Office: 1st Floor, Moor House, 120 London Wall, London, EC2Y 5ET. StoneX Financial Ltd is a company registered in England and Wales, number: 05616586. Authorised and regulated by the Financial Conduct Authority. FCA Register Number: 446717.

City Index is a trademark of StoneX Financial Ltd.

The information on this website is not targeted at the general public of any particular country. It is not intended for distribution to residents in any country where such distribution or use would contravene any local law or regulatory requirement.

© City Index 2024