Submitted Oct 21, 2021|From monetamarkets.com|1 comment

The Kiwi is the top performing major in October due to the buoyant risk mood and rising inflation expectations. A hawkish central bank also helps with a solid domestic recovery pushing the RBNZ into action soon. In fact, one prominent, local bank ...

Submitted Oct 20, 2021|From monetamarkets.com

With the dollar on the defensive this week, the EUR rally yesterday extended to resistance at the August low at 1.1665. However, that barrier proved too much, at least at the first attempt. The late September breakdown through this level had spurred ...

Submitted Oct 18, 2021|From monetamarkets.com|2 comments

The market has been ramping up rate hike odds by the Bank of England after more hawkish remarks form Governor Bailey over the weekend. Swaps are fully pricing in a 15bp rise to 0.25% at its next (super)meeting on November 3, with the chance of more ...

Submitted Oct 14, 2021|From monetamarkets.com|1 comment

The aussie looked down and out late last month. The China-proxy was embroiled in the Evergrande story and China’s stressed property market while commodity markets were stalling with risk markets subdued. This fairly depressing outlook had seen ...

Submitted Oct 11, 2021|From monetamarkets.com

We’ve written before about the SNB potential “line in the sand” for EUR/CHF at 1.07 and we are hovering just above it at present. This appears to be the level where the central bank has intervened before to stop the swissie appreciating according to ...

Submitted Oct 6, 2021|From monetamarkets.com|2 comments

The world’s most popular currency pair made a new 2021 low today and hit its lowest level since July last year at 1.1529. Having consolidated around 1.17 recently, the last two weeks have seen bearish momentum pick up. The August cycle low at 1.1663 ...

Submitted Sep 24, 2021|From monetamarkets.com

The dollar is finding a bid today as it reverses its recent losses on more cautious risk sentiment. China Evergrande failed to make a coupon payment due yesterday, so markets are on edge as we go into the weekend. The other major recent news is the ...

Submitted Sep 23, 2021|From monetamarkets.com

Market trends are fairly positive today as events in China look to be more constructive. Evergrande shares surged on higher volumes as Beijing tried to take hold of the situation and avoid a near-term dollar bond default. Bonds are mostly lower and ...

Submitted Sep 22, 2021|From monetamarkets.com|1 comment

The broad-based rally seen in the dollar since the low earlier this month has paused over the last few sessions. This evening’s Fed meeting and press conference will determine if dollar bulls can break resistance at the March high at 93.43 on the ...

Submitted Sep 21, 2021|From monetamarkets.com

After trading down to its weakest in four weeks yesterday, GBP/USD looked to be clawing back some losses earlier today. But bearish momentum is still strong with the Bank of England unlikely to pivot to a hawkish stance on Thursday. On the other ...

Submitted Sep 20, 2021|From monetamarkets.com

Markets are off to a very bumpy start this week with multiple risk events impacting. These include numerous central bank decisions (Fed, BoE, SNB, BoJ) and national elections in Canada. Of course, the Fed is the most “live” meeting as traders await ...

Submitted Sep 17, 2021|From monetamarkets.com|6 comments

EUR/USD was all set for a fairly steady few days into next week’s FOMC meeting on Wednesday. A “wait-and-see” mode was expected with softer US data, most notably NFP and CPI, hitting dollar sentiment. Conversely, an uneasy risk environment was ...

Submitted Sep 14, 2021|From monetamarkets.com|2 comments

After the dovish tapering last week by the RBA, the aussie looks to be struggling and heading for more downside ahead of Thursday’s unemployment data. A choppy risk mood is not helping while the US-China relationship is bubbling hot and cold under ...

Submitted Sep 13, 2021|From monetamarkets.com

Since April, the long-term downtrend in EUR/GBP has tracked sideways. The 0.87 to 0.85 range has proven its worth with sterling bulls getting excited as new multi-month lows in August were made below the previous cycle trough at 0.8471. But prices ...

Submitted Sep 9, 2021|From monetamarkets.com

While commodity currencies have had a tough time this week, NZD has held up relatively well. The country has now exited out of the nationwide lockdown which means the economy can potentially rebound swiftly on the road back to normalisation. ...

Submitted Sep 7, 2021|From monetamarkets.com

The Bank of Canada releases an updated policy statement on Wednesday. No changes are expected with the upcoming national election seeing the bank stand aside for now. There are no new forecasts or a Monetary Policy Report (MPR) until its next ...

Submitted Sep 6, 2021|From monetamarkets.com

The RBA delivers an updated statement and policy decisions overnight. The central issue is whether the bank delays its plans to implement a taper in its bond buying from A$5 billion to 4 billion later this month. With lockdown extensions still on ...

Submitted Sep 1, 2021|From monetamarkets.com

AUD/JPY is often viewed as the best risk barometer for FX and the key metric to gauge broader risk sentiment. With risky assets enjoying the bump from a cautious and more balanced Fed Chair speech last week, this currency pair has bounced back ...

Submitted Aug 31, 2021|From monetamarkets.com

Overnight, we get the release of the Aussie Q2 GDP print. With today’s net exports disappointing and a worse result than the first quarter, analysts have been downgrading their growth forecasts from the prior consensus estimate of 0.5%. Snap ...

Submitted Aug 30, 2021|From monetamarkets.com

After major risk events, it always pays to step back and look at longer timeframe charts to see how meaningful price action is and where prices could head over the long-term. Using timeframe analysis also then potentially shows us more meaningful ...