Tag Archives: forex economic calendar

Pound Appreciates As Virus Spread Slows

The pound strengthened against its major counterparts in the European session on Monday, as investors cheered news of a slowdown in coronavirus deaths across Europe. While Italy reported the fewest deaths in more than two weeks, France’s daily death count from the novel coronavirus dropped in the past 24 hours and admissions into intensive care also slowed. Elsewhere in Spain, the death rate fell for the third straight day. In the United States, President Donald Trump warned the country could be headed into its “toughest” weeks, but expressed hope the country was seeing a “levelling off” of the virus crisis. News that UK Prime Minister Boris Johnson has been admitted to hospital has sent the Pound lower at the beginning of the new week. The recovery came after housing minister Robert Jenrick said Johnson was fine and was expected to be back at 10 Downing Street soon. Survey data from IHS Markit and Chartered Institute of Procurement & Supply showed that the UK construction sector contracted at the steepest rate since April 2009 reflecting the impact of the COVID-19 pandemic. The construction Purchasing Managers’ Index dropped to 39.3 in March from 52.6 in February. A score below 50 indicates contraction….

Ireland Industrial Production Declines In February

Ireland’s manufacturing output fell in February after rising in the previous month, figures from the Central Statistics Office showed on Monday. Manufacturing output fell 1.1 percent month-on-month in February, after a 5.9 percent increase in January. Industrial production decreased 1.3 percent monthly in February, after a 5.9 percent increase in the previous month. On an annual basis, manufacturing output declined 1.3 percent in February, after a 0.5 percent increase in the previous month. Industrial production fell 1.1 percent year-on-year in February, reversing a 1.2 percent rise in the previous month. Data also showed that the industrial turnover declined 10.0 percent monthly in February and 6.0 percent from a year ago. The material has been provided by InstaForex Company – www.instaforex.com…

USD/JPY. Japan declares state of emergency, yen falls

Anti-risk sentiment in the currency market continues to grow, but the Japanese currency ignores these trends. This time, the yen can not take advantage of the status of a protective asset, as traders are concerned about the fate of the Japanese economy directly due to the latest decisions of the official Tokyo. Therefore, investors have to look for other options in this situation. In fact, they don’t have much of a choice: either the dollar or gold. These two assets are growing today, while the other instruments show a downward trend.

Rumors that Japan will introduce a state of emergency appeared at the end of last week. Reacting to such assumptions, the USD/JPY pair pushed off from the local minimum of 106.93 and headed back up towards the 110th figure. After the publication of the failed non-farms, this growth increased – despite everything, the dollar not only did not lose its position, but also strengthened throughout the market. Traders were clearly discouraged by the published figures, which turned out to be much worse than the rather weak forecasts. No joke – the number of people employed in the non-agricultural sector decreased in March by 700,000. The same dynamics was recorded in the…

April 6, 2020 : EUR/USD Intraday technical analysis and trade recommendations.

Since December 30, the EURUSD pair has trended-down within the depicted bearish channel until few weeks ago, when a new low around 1.0790 was recently established where the EUR/USD pair looked OVERSOLD after such extensive bearish decline.On February 20, recent signs of bullish recovery were demonstrated around 1.0790 leading to the recent steep bullish movement towards 1.1000, 1.1175, 1.1360 and finally 1.1480 where a (123) bearish reversal pattern was initiated around.This turned the short-term technical outlook for the EURUSD pair into bearish when bearish persistence below the Key Zones of 1.1235 and 1.1175 was maintained on a daily basis.Few weeks ago, the EURUSD pair has expressed significant bullish recovery around the newly-established bottom around 1.1065.The recent bullish engulfing H4 candlesticks as well as the recently-demonstrated ascending bottoms indicated a high probability bullish pullback at least towards 1.0980 and 1.1075 (Fibonacci Level 50%).Key Supply-Levels in confluence with significant Fibonacci levels are located around 1.1075 (50% Fibonacci) and 1.1175 (61.8% Fibonacci) where bearish rejection was highly-expected.Moreover, a Head & Shoulders reversal pattern was being demonstrated around the price levels of (1.1000 – 1.1075). The reversal pattern neckline existing near the key-level around 1.1000 was recently breached to the downside confirming the reversal.Shortly after,…

April 6, 2020 : GBP/USD Intraday technical analysis and trade recommendations.

Recently, the GBPUSD has reached new LOW price levels around 1.1450, slightly below the historical low (1.1650) achieved in September 2016.That’s when the GBP/USD pair looked very OVERSOLD around the price levels of 1.1450 where a double-bottom reversal pattern was recently demonstrated.Technical outlook will probably remain bullish if bullish persistence is maintained above 1.1890-1.1900 (Double-Bottom Neckline) on the H4 Charts.Bullish breakout above 1.1900 (Latest Descending High) invalidated the bearish scenario temporarily & enabled a quick bullish movement to occur towards 1.2260.Next bullish targets around 1.2520 and 1.2680 were expected to be addressed if sufficient bullish momentum was maintained.However, early bearish pressure signs have originated around 1.2470 leading to another bearish decline towards 1.2265.That’s why, H4 Candlestick re-closure below 1.2265 is needed to hinder further bullish advancement and enhance the bearish momentum on the short term.If so, Initial Bearish target would be located around 1.1900 provided that quick H4 bearish closure below 1.2265 is achieved.On the other hand, bullish persistence above 1.2265 would probably enhance another bullish pullback movement up to the price level of 1.2470.Trade recommendations :Conservative traders should be waiting either for another bullish pullback towards 1.2350 or another H4 bearish closure below 1.2265 as a valid SELL signal. T/P…

BTC analysis for 04.06.2020 – Important pivot resistance at the price of $7.245 on the test, watch for potential downside

News :Since the price of bitcoin plunged to historic lows last month, the bitcoin network’s hash rate has also been on a constant decline. Nearly 2.3 million S9 miners were wiped out in China recently as it became hard for miners to make profits. Network’s hash rate indicates how secure and strong the blockchain network is.Bitcoin’s hashrate dropped from 133.29 EH/S, the highest since the start of 2020, to 108.16 on 12th March, when the price of the leading cryptocurrency plunged below $4,000. Since then, the hashrate has been continuously falling as miners face tough times to continue their operations. On 4th April, hashrate was at 96.9888EH/S, an increase in hashrate must be accompanied by an increase in the price of bitcoin for miners to maintain healthy profit margins. Technical analysis: BTC has been trading upwards. The price is at the very critical pivot level at $7.245. This is decision level for BTC and you should watch carefully this level.I do expect potential downside rotation and rejection towards the level at the price of $5.827. Watch for selling opportunities.Only if you see the breakout of the $7.245, watch for possible rise towards the $7.691.MACD oscillator is showing neutral stance and no…

Analysis for Gold 04.06.2020 – Major pivot resistance at the price of $1.644 on the test, watch forr potential price action

News:The ousted US inspector general of the intelligence community has said he is “disappointed and saddened” that Donald Trump fired him, but he also encouraged other inspectors general to continue to speak out when they are aware of wrongdoing.The US president notified Congress late on Friday evening that he intended to fire Michael Atkinson, a pivotal figure in his impeachment last year, because he had lost confidence in him. On Saturday, Trump made it clear that the move had been retaliatory, telling reporters that Atkinson was a “disgrace” and had done “a terrible job” because he had provided an anonymous whistleblower complaint to Congress – a move that was required by law.Technical analysis: Gold has been trading upwards. The price tested the level of $1.636 Anyway, the gold is near very important resistance pivot level at $1.644.The eventual upside breakout of the $1.644 may confirm further rise towards the $1.670 and $1.689. Buying would be preferable if this scenario happens.The eventual rejection may confirm rotation downside towards the levels at $1.607 and $1.598. Selling would be preferable if this scenario happens.Stochastic oscillator is showing reading above the 80 and the overbought condition..Resistance level is set at $1.644Support levels are set at…

Analysis and trading ideas for USD/JPY on April 6, 2020

Good day!
The situation with COVID-19, according to data on Sunday, remains more or less tolerable in Japan. 4,565 people infected with coronavirus, about 700 cases of fatal outcomes.
Nevertheless, Japanese Prime Minister Shinzo Abe is considering the option of introducing a state of emergency in the country. However, Abe can only take such a step after consulting with medical experts and health officials. It is not the responsibility of the Prime Minister of Japan to make an independent decision on the introduction of a state of emergency.
Even if an emergency is introduced, it will most likely affect the largest and most densely populated areas and cities in the country. Such as Tokyo, Osaka, and perhaps some others. However, the emergency situation does not provide for a total quarantine. The population will not be fined, but the closure of schools and a number of institutions is quite possible. A decision on this issue may be made as early as tomorrow, on Tuesday. By the way, the emergency regime cannot prohibit business activity in Japan, which means that the economy of the Land of the Rising Sun will not be paralyzed and will continue to function as much as possible in the current conditions.
If…

Welcome to the Viking age (EUR/USD and GBP/USD on 04/06/2020)

It is clear that all economic difficulties of the policy will be attributed to the epidemic of coronavirus. After all, one cannot say that structurally the world economy is extremely vulnerable and there were many problems in it that no one solved. And then you have to report for an unprecedented increase in unemployment. The situation is really terrifying. The incredibly rapid growth rate of the number of unemployed, and not only in the United States, clearly shows that maybe coronavirus and measures to counter its spread have led to a surge in the number of unemployed, but that is not the point. This could only happen if employment was provided by artificial methods. Extremely cheap loans and rampant inflation of the financial sector have become the foundation for creating a huge number of jobs, however, these jobs were provided not at the expense of real economic efficiency, but by the endless supply of cheap money. As soon as a panic began in the markets and difficulties began to come up with financing, as major players were trying to save their money, this whole house of cards began to fall. The structure itself is extremely unstable and could not stand for…

UK Consumer Confidence Logs Biggest Fall On Record: GfK

UK consumer sentiment registered its biggest fall since records began in January 1974 as measures taken to curb the spread of coronavirus weighed on households’ economic expectations and purchase decision, survey data from the market research group GfK showed Monday. The consumer confidence index fell to -34 from -9 seen in its regular survey for March, GfK said. The market research group released an interim COVID-19 flash report using data gathered between March 16 and 27. The confidence index fell sharply by 25 points between the first two and last two weeks of March. “Our COVID-19 ‘flash report’ shows a dramatic result with consumer confidence falling off the cliff in the last two weeks of March,” Joe Staton, GfK’s Client Strategy Director, said. “The last time we saw such a decline was during the 2008 economic downturn.” The indicator for past personal financial situation declined by 6 points to -4 and that for future personal financial situation plunged 20 points to -17 at the end of March. The indices for past and future general economic situation declined 17 points and 29 points respectively, in March The major purchase index decreased sharply by 50 points to -52, the survey showed….