Forex.ee: Daily economic news digest

Daily economic digest from Forex.eeStay informed of the key economic events

Friday, April 7th

This morning the USD/JPY pair fell to its nearly 2-week lows in wake of another sharp spike of risk aversion across the market. Today it became known that US President D.Trump ordered to strike Syrian airbase in response to Syria’s use of chemical weapons against civilians. In his official statement D.Trump called all civilized nations to seek for the end of slaughter and bloodshed in Syria. This crucial news triggered huge wave of risk-off sentiments, sending the pair to refresh its lows at 110.13, which were last seen only last Monday. At this moment the pair has managed to correct its positions, recovering part of its losses, as the dust around geopolitical tensions is slowly settling down, however, cautious state of the market will continue to cheer up safe-haven assets, such as the yen, ahead of crucial NFP report and the second round of the US-China Summit, which outcome has the potential to trigger a fresh wave of volatility across markets.

The EUR/USD pair is trading with a bearish bias at the end of this week, staying pressured, as the markets are still digesting Thursday’s ECB President M.Draghi’s message. Yesterday Draghi delivered a speech, in which he once again mentioned low inflation level in euro area, also adding that reassessment of current monetary policy is not reasonable at this stage. Moreover, seems that EUR bulls are totally ignoring global market’s risk-off trend, triggered by the US missile strike in Syria in response to Islamic state’s use of chemical weapons against civilians, failing to provide any support to the pair. Today all eyes will remain on much awaited the US NFP report, while US-China Summit will also stay in sight of traders, as its outcome will be able to shape market’s sentiments in short-term projection.

The GBP/USD pair remains pressured in the region of 1.2450 – 70 at the end of this week, having erased all its yesterday’s gains on the back of ongoing risk aversion. Latest headlines that the US bombed Syria after Islamic state engaged into a chemical attack against civilians, reignited strong risk-off sentiments, thereby weighing the pound. Furthermore, any recovery of the pair seems unlikely, as ongoing cautiousness in wake of the Trump-Xi Summit is also pressuring on higher-yielding GBP. Looking ahead, today we have heavy packed economic data calendar, with UK Manufacturing Production, M.Carney’s speech and crucial data from the US labor market, that will be able to determine pair’s further direction in upcoming day.

The AUD/USD pair accelerates its bearish momentum this Friday on the back of intensifying risk-off sentiments. Currently the pair is trading within striking distance of its monthly lows, located at 0.7522 spot, as news that the US bombed Syrian airbase, triggered huge wave of risk-off moods, driving flows away from higher-yielding assets, such as the Aussie. Moreover, increasing cautiousness in wake of the Trump-Xi Summit and slightly bearish tone around copper prices, seen lately, are also collaborating to pair’s bearish momentum. Today all traders’ attention will remain glued to the US crucial jobs report, that is expected to show positive numbers, as employment data from ADP, seen earlier this week, is cheering up investors’ expectations, while strong risk aversion will continue to rule global market’s sentiments during this trading session.

The main events of the day:
UK Manufacturing Production – 11.30 (GMT +3)
BoE Governor M.Carney’s speech – 12.00 (GMT +3)
US Nonfarm Payrolls – 15.30 (GMT +3)
US Unemployment Rate – 15.30 (GMT +3)
Canadian Employment Change – 15.30 (GMT +3)
BoC Governor S.Poloz’s speech – 17.00 (GMT +3)
Canadian Ivey PMI – 17.00 (GMT +3)

Support and resistance levels for the major currency pairs:
EURUSD S. 1.0596 R. 1.0708
USDJPY S. 109.89 R. 111.59
GBPUSD S. 1.2419 R. 1.2529
USDCHF S. 1.0006 R. 1.0088
AUDUSD S. 0.7507 R. 0.7595
NZDUSD S. 0.6942 R. 0.7002
USDCAD S. 1.3368 R. 1.3472

Your European ECN-broker,
Forex.ee


Daily economic digest from Forex.eeStay informed of the key economic events

Monday, April 10th

The EUR/USD pair remains consolidative at the start of this week, keeping its positions within striking distance of its monthly lows, posted this morning at 1.0570 spot. Today the pair continues to extend its bearish bias, despite worse-then-expected NFP, seen last Friday, as general US Unemployment Rate ticked lower, showing that situation on the US labor market is not so bad, thereby broadly supporting US bulls. Moreover, improved risk-on sentiments, triggered by positive outcome of US-China Summit, where both leaders indicated on strong relationships between two largest economies of the world, are also providing some negative pressure on the pair at the start of this week. Today only Fed Chair J.Yellen’s speech will be able to bring some short-term trading opportunities, so the pair will keep tracing global market’s trend for any further directional improvements.

The GBP/USD pair has bounced off its multi week lows, posted at 1.2366, and now is trying to recover some ground, as bears have taken a breather after Friday’s massive rally amid slightly better risk-on tone. On Friday the pound came under strong selling pressure across the board after bloc of disappointing UK fundamentals, featuring Manufacturing Production and Retail Sales, significantly weighed the pair. Moreover, strong spike of demand for the US dollar, despite weak NFP data seen last trading session, also collaborated with pair’s recent decline. Nothing much is scheduled in data calendar for this Monday, except Fed Chair J.Yellen’s speech, that will be held in NA afternoon, so the pair will continue to follow global market’s sentiments to determine its further direction.

The yen was the worst performer of this Asia amid broad demand for the US dollar and better risk-on tone, based on positive outcome of the US-China Summit. On Friday leaders of the two largest economies remained satisfied with peaceful outcome of its two-day meeting, thereby boosting risk-on sentiments across the market. Additionally, the market remained unimpressed this morning by upbeat Japanese current account data, as the demand for the US currency continues to dominate on the market so far, limiting any yen’s chances to recover some ground. Now all traders’ focus remains on J.Yellen’s speech, that is scheduled on late NA session, but until then the pair will continue to stay influenced by broad RO-RO trend and USD price actions.

The AUD/USD pair corrects slightly higher this morning after its drop seen in Asia, based on broad bid tone around the greenback. Seems that US bulls remained resilient to weak Friday’s NFP numbers and now are pushing the pair to extend its retreat, refreshing nearly 3-month lows this morning at 0.7478 level. Moreover, the Aussie remains unable to benefit from improved sentiments around risk associated assets, as disappointing data from Australian housing market provided the pair with additional bearish impetus this morning. Looking ahead, today we have deadly quiet economic docket, thereby the USD price dynamics will remain as a key driving factor across the market, setting up pair’s further movement course.

The main events of the day:

Fed Chair J.Yellen speech – 23.10 (GMT +3)

Support and resistance levels for the major currency pairs:

EURUSD S. 1.0527 R. 1.0695
USDJPY S. 109.55 R. 112.11
GBPUSD S. 1.2291 R. 1.2517
USDCHF S. 0.9995 R. 1.0143
AUDUSD S. 0.7462 R. 0.7564
NZDUSD S. 0.6885 R. 0.7015
USDCAD S. 1.3303 R. 1.3481

Your European ECN-broker,
Forex.ee


Daily economic digest from Forex.eeStay informed of the key economic events

Tuesday, April 11th

The EUR/USD pair is consolidating its yesterday’s minor decline just a few pips below the 1.06 level, as US bulls remained unimpressed by recent J.Yellen’s speech. Last night, Fed Chairwoman delivered her speech, in which she once again noted, that it will be appropriate to raise rates in near future, but terms of further rate-hikes are highly dependent on economic performances. Moreover, renewed risk-aversion sentiments are providing some support to the common currency, limiting pair’s further losses. Now all traders’ attention is focused on German ZEW Economic Sentiment that is due next ahead of US JOLTs Job Openings, which both will be able to bring short-term impetus on the pair during this trading session.

The GBP/USD pair was trading in 20-pips narrow range around 1.2420 level through Asian session amid lack of any directional impetus, despite yesterday’s J.Yellen’s hawkish remarks on further Fed monetary policy tightening. However, seems that Fed Chairwoman’s comments appeared not hawkish enough to inspire USD bulls for any further upside momentum. On the other hand, broadly shrinking risk appetite is driving flows away from higher-yielding assets, negatively influencing the pound this Tuesday. Now immediate focus remains on the bloc of UK economic releases with CPI in a main role, while US JOLTs Job Openings data, will also be closely watched for any further momentum.

The USD/CAD pair has stalled its previous sessions fall and now is consolidating its positions in 1.3315-35 range. On Monday the pair performed a sharp downside rally, losing around a cent since yesterday’s highs, posted at 1.3426, on the back of strong increase in oil prices, that provided massive support to commodity-linked assets, such as the Loonie. However, currently the oil has also entered consolidation phase, failing to provide any additional momentum to the pair this Tuesday. On the other hand, the US dollar failed to gain any upside momentum against its major rivals, weighed by not hawkish enough Yellen’s speech, providing no chances for the pair to recover its positions. Today the US economy will release only JOLTs Job Openings report, so dynamics of the oil prices and the USD will remain as a key catalyst for the pair this Tuesday.

The dollar/yen pair seems to be extending its yesterday’s reversal from its weekly highs, marked yesterday at 111.57, and now is trading in the region of its session lows around 110.60-70. The pair came under renewed selling pressure, as yesterday’s spike of the demand for higher-yielding assets seems to be fading away, thereby boosting yen’s safe-haven status. Moreover, overnight’s remarks of Fed Chair J.Yellen, that once again indicated on additional rate actions, failed to provide the greenback with support, as Yellen hinted that there is no rush needed in further monetary policy tightening. With only JOLTs Job Openings data scheduled in economic docket for this Tuesday, the pair will most likely continue to follow global market’s sentiments for any further directional improvements.

The main events of the day:
JOLTs Job Openings – 17.00 (GMT +3)

Support and resistance levels for the major currency pairs:
EURUSD S. 1.0553 R. 1.0627
USDJPY S. 110.32 R. 111.88
GBPUSD S. 1.2338 R. 1.2466
USDCHF S. 1.0056 R. 1.0122
AUDUSD S. 0.7463 R. 0.7527
NZDUSD S. 0.6903 R. 0.6993
USDCAD S. 1.3254 R. 1.3460

Your European ECN-broker,
Forex.ee


Daily economic digest from Forex.eeStay informed of the key economic events

Wednesday, April 12th

The EUR/USD pair came out of its flat corridor, that was witnessed in Asian, and now is navigating in North direction, supported by strong risk aversion sentiments. Broad risk-off moods remain lately as a key driver across the market amid ongoing geopolitical concern, that is fueled by warn of North Korea of a nuclear strike if the US will continue to provoke it and readiness of the US for an additional airstrike if Syria once again uses chemical weapons on civilians. Moreover, the US dollar’s retreat against its main competitors is also collaborating with pair’s bullish momentum this Wednesday. Nothing important is scheduled in data calendar for this trading session, so the major currency pair will continue to get influenced by risk trends during the day ahead.

The yen remains well bid in the middle of this week, showing outstanding performances across the market and forcing the USD/JPY major to refresh its 5-month lows at 109.35 level, as strong risk-off sentiments amid ongoing geopolitical tension, are supporting the yen, as a safe-haven currency. Recently the market witnessed another spike of risk aversion, after North Korea warned of a nuclear strike should the US continue to provoke them, while the US stated that they are remaining prepared in case if Syria continues to use chemical weapons against civilians. Moreover, lower-than-expected Chinese inflation report added to the risk-off tone, thereby weighing the USD/JPY pair this morning. Today amid relatively eventless data calendar the pair will continue to follow global risk trend, that will keep influencing the market in short-term prospect.

The USD/CAD pair managed to defend its key support level of 1.33 and now is trading with slight bullish bias. Seems that the pair has mostly ignored broadly bullish sentiments around oil prices and slight weakness in the US dollar, as we are heading toward BOC interest decision, that is scheduled on NA session. It is widely expected that the CB will keep its interest rate unchanged at 0.5%, but in view of recent positive results of Canadian economy any hints on rate increase will be highly supportive to the Loonie. Besides BoC Monetary Policy outlook investors will also pay attention to Crude Oil Inventories, that will be able to bring additional impetus on the pair later during this trading session.

The GBP/USD pair is consolidating its yesterday’s gains in upper bound of its weekly range, following upbeat UK data, seen last trading session. Currently the pair is trading in extremely tight range of 15 pips near 1.2490 level, as renewed wave of risk-off sentiments amid ongoing geopolitical concerns is limiting any GBP gains. On the other hand, slight softness of the US dollar, witnessed during this week, is providing support to the pair. Now immediate focus shifts toward bloc of crucial data from UK labor market and BoE Governor M.Carney speech, that are scheduled on European trading session, while the US docket will remain relatively silent today, leaving the pair at the mercy of global market’s sentiments during NY trades.

The main events of the day:
UK Average Earnings Index +Bonus – 11.30 (GMT +3)
BoE Governot M.Carney speech – 11.30 (GMT +3)
UK Claimant Count Change – 11.30 (GMT +3)
BoC Interest Rate Decision – 17.00 (GMT +3)
US Crude Oil Inventories – 17.30 (GMT +3)
BoC Governor S.Poloz speech – 18.15 (GMT +3)

Support and resistance levels for the major currency pairs:
EURUSD S. 1.0552 R. 1.0656
USDJPY S. 108.70 R. 111.38
GBPUSD S. 1.2368 R. 1.2556
USDCHF S. 1.0036 R. 1.0112
AUDUSD S. 0.7455 R. 0.7535
NZDUSD S. 0.6912 R. 0.6990
USDCAD S. 1.3283 R. 1.3379

Your European ECN-broker,
Forex.ee


Daily economic digest from Forex.eeStay informed of the key economic events

Friday, April 21st

The EUR/USD pair came out of its brief consolidation phase, seen in Asia, and now is moving in north direction on the back of positive German data. Yesterday the pair was unable to sustain its bullish momentum and fell back to its comfort region, located near 1.07 spot, following positive remarks of US Treasury Secretary Steven Mnuchin, who stated, that upcoming tax reforms will be implemented before the end of this year. However, the pair was able to gain a bullish momentum in early Europe in wake of upbeat results of flash German Manufacturing PMI. Meanwhile, the key risky event of this week for the pair remains Sunday’s first round of the French presidential election, that will determine pair’s further course. Seems that the market has already started to price in E.Macron’s win, who represents social liberal political party in France, thereby supporting the common currency. However, the gap between leader of this race (E.Macron) and his nearest opponent (M.Le Pen) remains very tight, so any headlines regarding further developments surrounding French presidential elections will be closely watched for any impact on the pair.

Today the GBP/USD pair continues to expand its decline from half year highs, posted at 1.2905 after surprising UK PM T.May announcement on Tuesday to call for a snap election. Yesterday the pair tried to correct some positions, but failed, breaking below the level of 1.27, amid renewed demand for the USD, following US Treasury Secretary S.Mnuchin’s optimistic comments regarding upcoming tax reforms. On the other hand, improved risk-on tone, backed by slight recovery in commodities, and renewed hopes of a “soft Brexit” are limiting pair’s retreat at the end of this week. Today we have quiet eventful trading session, with UK Retail Sales reports in Europe, and bloc of US fundamentals scheduled on NA session.

The NZD/USD pair has eased all its previous session’s gains and became one of the biggest outsiders of Thursday. Yesterday New Zealand published strong CPI report, which finally reached RBNZ’s inflation target level of 2% after five years, thereby providing the pair with strong bullish boost and lifting the major to its multi week highs. However, yesterday’s comments of US Treasury Secretary S.Mnuchin, that highly awaited Trump’s tax reforms are on the way, have reignited demand for the US currency, forcing the NZD/USD to fall back to its weekly lows, located at 0.6983 spot. On the other hand, slightly improved risk-on sentiments allowed the pair to bounce back above its psychological level of 0.70. Now all focus turns toward bloc of US fundamentals, with Existing Home Sales report in a main role, that is scheduled on upcoming NA session.

Today the AUD/USD pair managed to reverse part of its yesterday’s losses amid better risk-on tone across the market. Yesterday the pair received strong bullish momentum in wake of moderate recovery in commodities, however, the rally got out of steam straight away after US Treasury Secretary S.Mnuchin’s optimistic remarks on tax reforms, that forced the pair to ease all its previous gains. Now it seems that greenback’s rally has been stalled, allowing the market to take a breather, while slightly higher risk-on sentiments are also supporting the Aussie at the end of the week. Looking ahead, today investors will closely await for US fundamentals, that are scheduled on NA session, while market’s fickle moods regarding risky assets will keep influencing the pair this Friday.

The main events of the day:
UK Retail Sales – 11.30 (GMT +3)
Canadian Core CPI – 15.30 (GMT +3)
US Existing Home Sales – 17.00 (GMT +3)

Support and resistance levels for the major currency pairs:
EURUSD S. 1.0662 R. 1.0804
USDJPY S. 108.39 R. 109.95
GBPUSD S. 1.2734 R. 1.2884
USDCHF S. 0.9924 R. 1.0018
AUDUSD S. 0.7467 R. 0.7577
NZDUSD S. 0.6957 R. 0.7077
USDCAD S. 1.3430 R. 1.3518

Your European ECN-broker,
Forex.ee


Daily economic digest from Forex.eeStay informed of the key economic events

Tuesday, April 25th

The EUR/USD pair was showing deadly quiet trades within 15-pips narrow range during the Asian session, consolidating Monday’s heavy gains near 1.0870 region. However, the pair broke out of its consolidation corridor in early Europe and now is navigating in north direction, as traders have started to price in E.Macron’s win on upcoming French presidential elections. Meanwhile, currently all investors’ attention shifts toward US president’s tax reform details, that will be announced on Wednesday, however, market’s participants believe that tomorrow’s announcement will once again provide lack of details on US economic taxation program, thereby lending no support to the greenback. Today only data reports from the US economy are scheduled in event calendar of this Tuesday, while nearest crucial events, such as tomorrow’s US president’s speech, Thursday’s ECB policy decision and French elections will continue to keep market cautious in the near future.

The GBP/USD pair extends its consolidation pattern for the fifth consecutive day so far, failing to build any gains on recent UK PM Theresa May’s announcement to call for a snap election on June 8th. Moreover, modest optimist around US president D.Trump’s upcoming “historical” tax reforms is also remaining unable to provide the greenback with enough impetus to recover its recent losses. Nevertheless, traders now await for details on US president’s taxation program, that will be announced later this week, and which expectedly will point to further US dollar’s trajectory. With another relatively empty UK docket, today traders will closely watch for US data releases, that will be able to bring some short-term impetus to the pair.

The USD/CAD pair caught some fresh bids this morning, extending its yesterday’s bearish rally and refreshing this year tops at 1.3562. Yesterday the Loonie came under strong selling pressure across the board on news that D.Trump’s administration is planning to impose 20% tariff on soft lumber imports from Canada. Such measures could potentially harm trade relations between North American neighbors. Adding to that, ongoing softness in oil prices is also collaborating with pair’s upside this Tuesday. Now focus shifts toward US fundamentals, featuring CB Consumer Confidence and New Home Sales, that will be able to bring fresh trading opportunities during the NY trading session.

The USD/JPY pair is trading on a firm note after yesterday’s drop, having recovered most part of previous session’s losses. Seems that risk-on rally, triggered by weekend’s French elections, is not over yet, still driving flows away from safe-haven assets, such as the yen. Moreover, ongoing talks around BOJ further easing measures in order to achieve inflation target level at 2% are also adding to yen’s retreat. However, uncertainty over Trump’s tax reforms, about which the US president promised to bring more details later this week, will keep the US dollar unmotivated today, however, Donald Trump’s positive outlook on further political and economic plans will be able to set up further direction for the US dollar. Looking ahead, today the pair most likely will continue to trace global market’s sentiments ahead of US data reports, that will shape up pair’s further directional course in NA session.

The main events of the day:

US CB Consumer Confidence – 17.00 (GMT +3)
US New Home Sales – 17.00 (GMT +3)

Support and resistance levels for the major currency pairs:

EURUSD S. 1.0780 R. 1.0946
USDJPY S. 109.08 R. 110.92
GBPUSD S. 1.2735 R. 1.2865
USDCHF S. 0.9858 R. 1.0028
AUDUSD S. 0.7517 R. 0.7609
NZDUSD S. 0.6984 R. 0.7066
USDCAD S. 1.3365 R. 1.3587

Your European ECN-broker,
Forex.ee


Daily economic digest from Forex.eeStay informed of the key economic events

Thursday, April 27th

Today the EUR/USD pair managed to recover part of its yesterday’s losses on the back of strong sell-off in the US dollar. Yesterday the dollar came under strong selling pressure against its main competitors, as the US tax reforms plan’s details, provided by D.Trump’s administration, once again left the market unimpressed, causing even more doubts on D.Trump’s ability to fulfill his promises. However, now the pair is trying to consolidate its recent recovery, as traders are gearing up for the ECB policy decision, that is scheduled on this Europe. Expectedly the Bank will keep its policy’s course in the same direction, while any comments regarding QE program and economic outlook adjustments will be able to shape up further EUR/USD pair’s trajectory. Also today the US economy will release fresh fundamentals, but reaction on it will be limited due to more important events, scheduled on this Thursday.

The USD/JPY pair barely reacted on uneventful BoJ meeting, held earlier this morning, stepping away from its overnight highs, posted at 111.40, to the region of 111.20. As it was widely expected the Bank kept its policy steady and its interest rate unchanged at its current level of -0.10%, however, revising its core inflation forecast lower as it also was expected. Moreover, today the pair will continue to retain its softer tone, led by Wednesday’s disappointment surrounding D.Trump’s much-awaited tax reforms. The tax announcement offered little surprise, as once again provided lack of any specific details regarding further US policy stance, thereby significantly weighing the greenback. Looking ahead, today traders will keep eyes on US macroeconomic releases, while ECB monetary policy decision will also be able to trigger a fresh bout of volatility across the market.

The USD/CAD pair came under intense selling pressure this Thursday, losing more than 100-pips from its recent 14-month highs, posted at 1.3647 during Asian trading session. The pair performed sharp reversal move this morning after the US President agreed not to terminate the North American Free Trade Agreement (NAFTA) at this time, strongly boosting demand for the Loonie. Moreover, broad weakness around the greenback, backed by Wednesday’s disappointment from Trump’s much-awaited tax reforms, is also collaborating with pair’s bearish trend. On the other hand, still persisting oil price weakness will limit any further pair’s decline. Now attention turns toward US economic releases due later in the NA session, while US dollar’s weakness will continue to remain as a main driver across the market.

The GBP/USD pair is trading with strong bullish bias this Thursday, extending its upside rally for the third session in a row. Today the pair broke through its key resistance level of 1.2900 in early Europe, as markets are still digesting US administration’s failure to provide any details on the US tax reforms plan. Moreover, seems that optimism around the pound, led by the UK PM Theresa May’s announcement to call for a snap election on June 8th, is still being a key factor that is navigating the pair lately. Now focus shifts toward US macroeconomic releases, featuring Core Durable Goods Orders and Pending Home Sales, while ECB monetary policy decision might also have some impact on the pair.

The main events of the day:
ECB Interest Rate Decision – 14.45 (GMT +3)
US Core Durable Goods Orders – 15.30 (GMT +3)
ECB Press Conference – 15.30 (GMT +3)
US Pending Home Sales – 17.00 (GMT +3)

Support and resistance levels for the major currency pairs:
EURUSD S. 1.0808 R. 1.0998
USDJPY S. 110.31 R. 112.15
GBPUSD S. 1.2779 R. 1.2932
USDCHF S. 0.9888 R. 0.9990
AUDUSD S. 0.7396 R. 0.7590
NZDUSD S. 0.6822 R. 0.6990
USDCAD S. 1.3516 R. 1.3674

Your European ECN-broker,
Forex.ee


Daily economic digest from Forex.eeStay informed of the key economic events

Wednesday, May 3rd

The EUR/USD pair came out of its consolidation range in early Europe, and now is losing positions, eyeing to retake its resistance at 1.0900. Pair’s sell-off could be mainly attributed to stalled US dollar’s retreat and its slight correction across the board. On the other hand, further pair’s downside remains unlikely, as investors are gearing up for one of the risky events of this week - FOMC decision, that is scheduled on NA afternoon. It is widely expected that the Regulator will keep status quo on its interest rate, while any remarks from FOMC members on further Fed’s monetary policy tightening will be able to shape up further greenback’s mid-term trajectory. Also traders are cheering up the euro ahead of the final vote of the French presidential election, where centrist Emmanuel Macron continues to stay as a clear favorite. Besides FOMC Statement, today the US economy will also release bloc of fundamental reports, including ADP jobs report and ISM non-manufacturing PMI, that will provide short-term directional impetus during NA session.

Seems that the NZD/USD pair was unable to retain its overnight gains, as US bulls are trying to retake control over the pair. In Asia the pair refreshed its six-day highs, marked at 0.6968 spot, after New Zealand showed excellent results on its labor market. However, by the time of writing the pair has eased most part of its gains, as mild recovery of the greenback has forced the pair to retake its 0.6930-40 range. Moreover, renewed risk aversion ahead of FOMC monetary policy decision is also collaborating with pair’s recent retreat. Looking ahead, today traders will focus on US fundamentals, that are scheduled on NA trading session, while FOMC decision will hog the limelight in NY afternoon.

The Aussie was the worst performer of the Asian trading session, allowing the AUD/USD pair to lose more than 60 pips since its overnight tops, as tumbling commodities are weighing on Australian currency. Seems that yesterday’s weak Chinese Manufacturing PMI is still suppressing the commodity market, especially copper, thereby negatively influencing the AUD/USD pair and sending it to refresh its weekly lows at 0.7486 level. Moreover, slight correction of the buck and renewed risk-off trend, backed by the upcoming Fed Interest Rate Decision, are also adding some bearish pressure on the pair this Wednesday. Next of note for the major remains the US dataflow, featuring ISM Non-Manufacturing PMI and pre-NFP jobs data, that will be reported ahead of the FOMC decision.

The GBP/USD pair came under strong selling pressure this morning, losing more than 50 points since its overnight highs and refreshed its daily lows below the level 1.2900. On Wednesday the pound received strong bearish impetus, following recent EU leaders’ announcement that UK PM Theresa May will be prevented from joining Brexit terms discussion. This statement contradicts with Mrs.May’s intentions to personally negotiate Brexit, about which she talked during her last speech. Now immediate focus shifts toward UK Construction PMI, while US ADP jobs report and ISM services PMI, due to be released later during NA session, will also have significant impact on the spot ahead of the Fed meeting’s outcome.

The main events of the day:
UK Construction PM – 11.30 (GMT +3)
US ADP Nonfarm Employment Change – 15.15 (GMT +3)
US ISM Non-Manufacturing PMI – 17.00 (GMT +3)
US Crude Oil Inventories – 17.30 (GMT +3)
Fed Interest Rate Decision – 21.00 (GMT +3)

Support and resistance levels for the major currency pairs:
EURUSD S. 1.0873 R. 1.0961
USDJPY S. 111.49 R. 112.55
GBPUSD S. 1.2838 R. 1.2988
USDCHF S. 0.9879 R. 0.9981
AUDUSD S. 0.7488 R. 0.7580
NZDUSD S. 0.6887 R. 0.6963
USDCAD S. 1.3596 R. 1.3812

Your European ECN-broker,
Forex.ee


Daily economic digest from Forex.eeStay informed of the key economic events

Monday, May 8th

Today France continues to celebrate Emmanuel Macron’s win in the presidential election with 63.85% of votes against his far-right opponent Marine Le Pen, who gained 36.15% of votes, thereby supporting the Euro across the market. During his speech, Macron stated, that he will work to “rebuild links between Europe and its citizens”, that clearly shows his intentions regarding further cooperation with the EU. Today the EUR/USD pair opened with strong bullish gap above its psychological mark 1.1000, that is the highest level since November 2016. However, the pair failed to sustain its gains and dropped to the region of 1.0960, as Macron’s win in the election was highly expected and traders had already priced in such outcome. Today only secondary data releases are scheduled for this trading session, so the pair will continue to follow global market’s trend to set up its further direction.

The AUD/USD pair was showing offered tone in Asia, having refreshed its daily lows at 0.7386, as Australian economy provided investors with horrible data from its housing market. On the other hand, following upbeat Chinese Trade Balance has reignited some bids around the Aussie, forcing the pair to change its direction and reach the mark of 0.7416 at the European opening. Looking ahead, today the pair most probably will continue to trade under bearish pressure, as “Macron Trade”, which was favoring risk-on trend, is fading, while investors are still digesting Friday’s positive data from the US labor market. In the data front, both economies will keep silence at the start of this week, so broad market’s sentiments will keep navigating the pair during this trading session.

The USD/CAD is consolidating its Friday’s sharp reversal from its 14-month highs, following recovery in oil prices. At the end of the last week the pair came under strong selling pressure, stepping away from its recent tops, marked at 1.3793 spot, as traders locked in some profits after oil price bounced off its half-year lows, that led to pair’s 150-pips drop, despite positive NFP numbers. However, prospects of Fed rate-hike in June are slowly gathering pace, thereby limiting pair’s further decline. Looking ahead, today nothing noteworthy is scheduled in data calendar from both neighbors, so the pair will keep tracing global market’s trend and oil prices’ actions to determine its further course.

The GBP/USD pair failed to sustain its positions, posted in 1.2990 region during the Asian session, which was last seen in September 2016, as traders took some profits off the table after strong upside rally, witnessed last week. However, the pair managed to retake its bullish tone, as investors are gearing up for another bloc of crucial events of this week – BoE Interest Rate Decision and BoE Inflation Report, that will be announced this Thursday. On the other hand, mild US dollar’s correction and improving prospects of Fed rate hike in June, which are additionally supported by recent positive data from the US labor market, are weighing the pair at the start of this week. Today we have quiet data session with only secondary reports from both sides scheduled in it, so the pair will continue to follow global market’s sentiments during this Monday.

The main events of the day:
None

Support and resistance levels for the major currency pairs:
EURUSD S. 1.0928 R. 1.1034
USDJPY S. 111.80 R. 113.24
GBPUSD S. 1.2868 R. 1.3036
USDCHF S. 0.9827 R. 0.9923
AUDUSD S. 0.7343 R. 0.7461
NZDUSD S. 0.6835 R. 0.6967
USDCAD S. 1.3542 R. 1.3844

Your European ECN-broker,
Forex.ee


Daily economic digest from Forex.eeStay informed of the key economic events

Thursday, May 11th

The NZD/USD pair slumped to its 11-month lows, marked at 0.6818 in early Asian hours, following RBNZ decision to leave its official cash rate at its record low level of 1.75%. Furthermore, cautious speech of RNZB governor G.Wheeler also added some pressure on the Kiwi, where head of the Bank noted that interest rate could be increased only if inflation shows better growing pace, but adding that right now the Bank does not see any prospects of a further rapid move in inflation. However, the NZD/USD pair managed to recover some pips during the Asian trading session, as better risk-on sentiments and ongoing recovery of oil prices, fueled by bullish EIA inventory report, provided the pair with much needed relief. Now focus shifts on the US PPI report, that will be released in NA session, while the market will continue to digest recent crucial event, thereby adjusting further course for the pair.

Today the GBP/USD pair is showing low volatility level, as traders gear up for crucial BOE events, ignoring better tone of the US dollar. The pair is trading in 20-pips narrow range this Thursday, consolidating its positions in the region of 1.2940, ahead of BoE quarterly Inflation Report and its Interest Rate Decision, that are scheduled on European afternoon. Expectedly that the Bank will keep its monetary policies stance unchanged at today’s meeting, while any comments regarding further economic projections or monetary policy easing measures (since the latest economic reports of UK were not so optimistic) could set up next directional move for the pair. Besides UK crucial events, the US docket will also bring some data releases, however, the reaction on them will be silenced, considering importance of possible changes in British economy.

Seems that US bulls took a breather this morning, allowing the EUR/USD pair to recover from its yesterday’s lows, posted at 1.0853 in response to better sentiments around the greenback. Yesterday the pair faced strong selling pressure, unable to keep its position within 1.09 level, as improved prospects of a June Fed rate hike are still dominating the market, thereby broadly supporting the US dollar. Adding to that, dovish comments of ECB President M.Draghi, delivered yesterday, are also negatively influencing the pair this Thursday. The head of the CB said that it is too early to talk about a full recovery of the Eurozone economy, hinting that rush in rate increase or QE program tapering is inappropriate at the moment. Looking ahead, today traders will await for EU economic forecasts and the US PPI report for fresh impetus, while crucial events, scheduled in UK calendar, might also bring additional volatility to the major currency pair.

The USD/JPY pair is continuing to trade within striking distance of its 2-monht highs, posted at 114.38 earlier in Asia in wake of broadly stronger US currency. Recently increased prospects of a June Fed rate hike are still navigating the market, providing the buck with significant support across the board. Moreover, slightly improved investors’ appetite for higher-yielding instruments is also driving flows away from safe-haven assets, such as the Japanese Yen. Later during the day, bloc of the US data, featuring PPI report and several second tier releases, will be closely watched for short-term trading impetus, while outcome of the UK interest rate decision will also serve as an additional catalyst for the pair.

The main events of the day:
UK Manufacturing Production – 11.30 (GMT +3)
BoE Inflation Report – 14.00 (GMT +3)
BoE Interest Rate Decision – 14.00 (GMT +3)
US PPI – 15.30 (GMT +3)

Support and resistance levels for the major currency pairs:

EURUSD S. 1.0828 R. 1.0918
USDJPY S. 113.34 R. 114.84
GBPUSD S. 1.2889 R. 1.3011
USDCHF S. 1.0031 R. 1.0123
AUDUSD S. 0.7308 R. 0.7422
NZDUSD S. 0.6861 R. 0.6983
USDCAD S. 1.3592 R. 1.3762

Your European ECN-broker,
Forex.ee



Daily economic digest from Forex.eeStay informed of the key economic events

Tuesday, May 16th

The EUR/USD pair accelerated its upside traction in early Europe, keeping its bullish trend for the third consecutive session. Significant growth of the pair can be mainly attributed to ongoing broadly based US dollar’s softness, that was caused by fading chances of a June Fed rate hike, following a series of downbeat US economic data. However, the probability that the Fed will increase its rate on June meeting is still high, that is limiting further dollar’s decline. Currently chances that the Fed will take monetary policy tightening measures in June are approximately 74%, that is well above 60% which the Fed would like to see before increasing the rate. Now immediate focus shifts to the German ZEW Economic Sentiment report and block of macroeconomic indicators from Eurozone, while data scheduled in the US data calendar will also be able to bring some short-term opportunities to investors during NA session.

Today the GBP/USD pair keeps its positive tone, having refreshed its today’s highs at 1.2930 spot, as markets are pricing in positive numbers of UK CPI report. It is expected, that today Britain’s inflation will show positive results, which will be higher than the Bank of England’s 2% target. In case of better inflation’s growing pace, the regulator usually responds with interest rate increase, however, during its last meeting the BoE made it clear that at the moment it does not see the need to raise its refi rate in the near future. Adding to that, persistent US dollar’s weakness, induced by lowered odds of Fed rate hike on June meeting, is also supporting the pair this Tuesday. However, further upside looks fragile, as risk-off sentiments are still gripping the market, pressuring on the higher-yielding assets, such as the pound. Besides the UK CPI report, today data from the US economy will also take place and will be released later during NA session.

Today the AUD/USD pair continues to trade with bullish bias for the fifth session in a row, however, having met fresh offers at this session’s highs, marked at 0.7435 handle, after RBA Meeting Minutes provided no hints on Bank’s monetary policy stance changes for the foreseeable future. Nevertheless, the meeting minutes showed that the Bank has revised its inflation projection upward, expecting it to rise to 2% by early 2018. Additionally, shrinking risk appetite is also providing some negative pressure on higher yielding assets, such as the Aussie. On the other hand, the pair managed to reverse most part of its early losses, as ongoing US dollar’s softness is remaining as a key driver across the market. Now all traders’ attention is focused on the US data pack, that will be released in NA session and will be able to bring some volatility across the market.

The USD/JPY was unable to hold its yesterday gains and came under renewed selling pressure, refreshing its daily lows at 113.27, amid fresh bout of risk aversion sentiments, that was the main theme during Asian trading session. Today brief pause on commodity market, after significant rally of oil prices, and cautious RBA Meeting Minutes triggered some nervousness across the market, that positively affected safe-haven assets, including the yen. Moreover, seems that the dollar is still suffering from Friday’s dismal retail sale and inflation data, that is also collaborating with pair’s retreat. Looking ahead, today the US economy will release data bloc, including housing market and industrial production reports, that will be closely eyed for fresh directional impetus during NA session.

The main events of the day:

UK CPI – 11.30 (GMT +3)
German ZEW Economic Sentiment – 12.00 (GMT +3)
US Building Permits – 15.30 (GMT +3)

Support and resistance levels for the major currency pairs:

EURUSD S. 1.0895 R. 1.1029
USDJPY S. 112.84 R. 114.32
GBPUSD S. 1.2840 R. 1.2966
USDCHF S. 0.9919 R. 1.0041
AUDUSD S. 0.7351 R. 0.7477
NZDUSD S. 0.6813 R. 0.6951
USDCAD S. 1.3532 R. 1.3772

Your European ECN-broker,
Forex.ee


Daily economic digest from Forex.eeStay informed of the key economic events

Wednesday, May 17th

Having faced resistance in the area of 1.1120 level, the EUR/USD pair pulled back slightly, as bulls seems to be exhausted after 4-day northern rally. Today the pair refreshed its half-year tops at 1.1122 spot, which is the highest level since the US Presidential election, as ongoing sell-off of the greenback continues to navigate the market as of late. Moreover, recently the US currency came under renewed selling pressure after it became known, that US President D.Trump disclosed secret information to Russian diplomats, thereby providing additional support to the pair. On the data front, today the Eurozone will publish final CPI figures for the last month, while the US docket will release only secondary data reports, so the pair will keep following global market’s sentiments during the NA trading session to determine its further direction.

The dollar/yen pair remains under intense selling pressure this Wednesday, refreshing its 8-day lows at 112.35 spot, as renewed wave of risk-off sentiments approached the market. Today bearish sentiments surrounding the pair were mostly intensified by political warries, following recent headlines that D.Trump shared classified information with Russian officials at a meeting last week. As a result, risk aversion returned to the markets, which in its turn increased demand for safe-haven assets, including Japanese currency. Adding to that, seems that US dollar continues to suffer from decreased prospects of Fed rate hike in June meeting, following set of lackluster US macro reports, that is also collaborating with pair’s decline. Today nothing noteworthy is scheduled in both economic calendars, so global market’s sentiments, driven by persistent weakness of the US dollar, and broad RO-RO trend will continue to determine pair’s further development course.

Today the GBP/USD pair once again dropped to the region of 1.2900 after brief correction from its last session’s lows. Yesterday the pair failed keep its positions and dipped below the level of 1.2900, despite better-than-expected UK inflation figures. However, the pound managed to recover part of its losses during Asian trading hours amid ongoing US dollar’s softness, while taking some pressure from broad risk aversion sentiments, triggered by fresh concerns over the US political scenario. However, the upside lost momentum in early Europe, as US bears took a breather, sending the pair toward the region of 1.2900. Now traders are awaiting for data set from the UK labor market, while the US economic calendar will remain silent during this Wednesday, leaving the pair at the mercy of global market’s sentiments in NA session.

The CAD/USD pair reversed most part of its overnight losses, retaking the level of 1.3600 this morning. The pair apparently lost its overnights downside momentum and returned above the level of 1.3600, as the greenback stalled its retreat against its main competitors in early Europe. Adding to this, a mild pullback in oil prices, triggered by Tuesday’s API red numbers, that showed increase in oil inventories, is also collaborating with pair’s recent recovery. Looking ahead, today both economies will publish only secondary data reports, so Crude Oil Inventories by the EIA will hog the limelight in NA session.

The main events of the day:
UK Average Earnings Index +Bonus – 11.30 (GMT +3)
UK Claimant Count Change – 11.30 (GMT +3)
EU CPI – 12.00 (GMT +3)
US Crude Oil Inventories – 17.30 (GMT +3)

Support and resistance levels for the major currency pairs:
EURUSD S. 1.0925 R. 1.1175
USDJPY S. 112.41 R. 114.13
GBPUSD S. 1.2821 R. 1.3005
USDCHF S. 0.9772 R. 1.0008
AUDUSD S. 0.7377 R. 0.7461
NZDUSD S. 0.6840 R. 0.6928
USDCAD S. 1.3528 R. 1.3696

Your European ECN-broker,
Forex.ee


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Friday, May 19th

The EUR/USD pair broke out of its consolidation corridor in early Europe to the upside, as the greenback seems to have resumed its weekly downside after its recent moderate rebound. Yesterday the pair slightly corrected after its 4-day bullish rally and consolidated its brief retreat on the back of greenback’s attempt to recover its position across the market. Adding to the USD weakness, today investors are digesting latest headlines on D.Trump’s budget release, which is scheduled on next Tuesday and does not look very realistic in the opinion of the market. Nothing much is scheduled in data calendar for this Friday, so broad market’s sentiments, based on US dollar’s price dynamics, will continue to determine pair’s further direction.

The AUD/USD pair is trading today near upper bound of its consolidation pattern, having posted a daily high at 0.7428 and low at 0.7407. Yesterday the Aussie failed to hold its positions, gained after positive data from labor market, as broad risk-off trend was a key driver across the market. However, the pair managed to recover some pips in Asia, as the US dollar apparently failed to extend its correction and stepped lower against its main competitors. Adding to that, returned optimism in oil prices has reignited better tone around higher-yielding assets, thereby supporting Australian bulls. Looking ahead, the economic calendar of this Friday remains empty, so the pair will continue to trace global markets sentiments at the end of this week to determine its further direction.

The GBP/USD pair follows global markets trend and is consolidating its position within 15-pips range near the mid-1.2900s after volatile trade, seen during last trading session. Yesterday the pair managed to refresh its multi-month highs above its psychological resistance of 1.3000 on the back of surprisingly strong UK Retail Sales data. However, the Cable was unable to retain its positions and crashed to its yesterday’s lows, marked at 1.2890 spot, in NY afternoon with no reasonable explanation. Nevertheless, the spike was short lived and the pair corrected higher to its comfort zone, as the greenback stalled its recovery. Today nothing noteworthy is scheduled in data calendar, so global market’s sentiments will remain as a key driver for the pair at the last working day of the week.

The USD/JPY pair is trading with bearish bias today, however, remaining above the 111.00 handle. Yesterday the pair managed to recover part of its losses, stepping away from its nearly 4-week lows, posted at 110.24, on the back of improved risk-on sentiments somewhat. However, the situation can soon change, as nervousness ahead of Trump’s budget release, which is scheduled for next week, is gathering pace, thereby cheering up sentiments around the safe-haven assets. Adding to that, weaker sentiments around the dollar continues to navigate the market at the last working day of the week, providing extra bearish pressure on the pair this Friday. Looking ahead, we have no relevant economic data on the cards today, so broad market’s trend will continue navigating the major at the end of this week.

The main events of the day:
CAD Core CPI – 15.30 (GMT +3)
CDACore Retail Sales – 15.30 (GMT +3)

Support and resistance levels for the major currency pairs:
EURUSD S. 1.1020 R. 1.1212
USDJPY S. 109.64 R. 112.64
GBPUSD S. 1.2798 R. 1.3118
USDCHF S. 0.9728 R. 0.9858
AUDUSD S. 0.7373 R. 0.7489
NZDUSD S. 0.6848 R. 0.6974
USDCAD S. 1.3525 R. 1.3707

Your European ECN-broker,
Forex.ee


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Monday, May 22nd

The EUR/USD pair extended its consolidation pattern of 15-pips into early Europe, however, remaining near lower bound of its trading corridor just below 1.1200 on the back of mild recovery of the dollar against its main competitors, witnessed this morning. Last week the greenback came under strong selling pressure amid political uncertainty in the US and decreasing prospects of June Fed rate hike. However, the probability that the Fed will take monetary policy tightening measures at its next meeting is back near 80%, thereby providing some relief to the US currency. Looking ahead, today the economic data calendar will remain silent, so US dollar’s price actions will continue to determine pair’s further steps.

Today the GBP/USD opened with moderate bearish gap and refreshed daily lows in the 1.2980 region, following latest headlines on Brexit developments. Concerns over “hard Brexit” re-emerged over the weekend, after UK PM T.May and Brexit minister D.Davis threatened to quit Brexit negotiations if UK faces “divorce bill” of a EUR 100 billion. However, earlier PM Theresa T.May has already suggested that ‘money paid in the past’ should be taken into account in the final figures. It is also worth adding, that Brexit negotiations should start on June 19. Moreover, mild recovery of the US dollar and shrinking risk appetite are also collaborating with pair’s downside at the beginning of the week. Nothing noteworthy is scheduled in data calendar for this Monday, so USD price dynamics and developments surrounding Brexit negotiations will remain as key drivers at the start of this week.

The AUD/USD pair remained offered through Asian session, easing part of its Friday’s strong gains, on the back of another attempt of the greenback to recover part of its major losses. Seems that US bulls are trying today to retake control over the pair, sending it to the region 0.7450. However, further downside of the pair remains fragile, as market turns cautious ahead of D.Trump’s budget release, which is scheduled on this Tuesday. On the other hand, re-emerged risk-off sentiments, backed by N.Korean missile test, are driving flows away from higher yielding assets, including the Aussie. Adding to that, slightly weaker sentiments on the commodity market and especially around the copper are also negatively influencing the Australian currency as of late. In absence of any economic release, today the pair will follow USD price dynamics, which is largely driven by expectations of a June Fed rate hike, at the start of this working week.

The USD/JPY pair stalled its Asian recovery and stepped away some pips lower in early Europe, as shrinking risk appetite navigates the market this Monday. Weekend’s news of a launch of mid-range ballistic missile by North Korea, have reignited risk-aversion trend across the market, thereby lending some support on safe-haven assets, such as the yen. However, red numbers of the Japanese Trade Balance report and overnight’s attempt of the US dollar to recover its positions across the market provided stronger support the pair this morning. With no relevant data release for the pair this Monday, traders will set up their attention on upcoming US President D.Trump’s budget plan release, while broader risk trend and US dollar’s price actions will navigate the pair through this Monday.

Important events of the day:
None

Support and resistance levels for the major currency pairs:

EURUSD S. 1.1055 R. 1.1287
USDJPY S. 110.65 R. 111.99
GBPUSD S. 1.2872 R. 1.3118
USDCHF S. 0.9665 R. 0.9833
AUDUSD S. 0.7380 R. 0.7506
NZDUSD S. 0.6856 R. 0.6972
USDCAD S. 1.3439 R. 1.3645

Your European ECN-broker,
Forex.ee


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Thursday, May 25th

The EUR/USD pair keeps its positive trend this Thursday, trading within striking distance of its daily highs, marked at 1.1242 spot, on the back of broad USD softness. Heaving taken a short breather in the second half of the Asian session, the pair continued its upside traction towards the level of 1.1250, as the greenback is suffering from cautious tone of FOMC Meeting Minutes, which were released yesterday. The Committee was again unable to provide any details regarding its further actions, stressing that it needs little bit more fundamentals to make sure that recent pullback in the US economy was temporary. Thus, the Fed has put doubts on further aggressive monetary policy tightening measures, lowering probability of two more rate hikes in 2017 from 50% to 46%. Further today only secondary data reports will be released, which will have limited impact, so the pair will continue to follow global market’s trend to determine its further directional move.

The USD/CAD pair continues to trade in bearish trend today, following yesterday’s uneventful BoC Interest Rate Decision and FOMC Meeting Minutes. The BoC left its refi rate unchanged at 0.5% in line with market’s expectations, however, stressing that the current monetary policy fully corresponds to the economic situation. In general, the policy statement sounded quite hawkish, what could be perceived as a hint on further BoC rate hike. As a result, the pair received strong bearish impetus, losing more than a cent from its pre-decision area, located near 1.3530 level. Moreover, further bearish tone of the pair was additionally supported by sluggish FOMC minutes, which failed to lend any support to the greenback against its main peers. And finally, today oil prices staged a solid comeback from its yesterday’s lows, also contributing to further decline of the pair. Looking ahead, today we have quiet empty data session, so the pair will continue to trade under influence of the global market’s trend during this trading session.

In the second half of the week, the pound feels more confident and the GBP/USD pair is currently eyeing to retake its psychological level of 1.3000. The pair is growing for the second consecutive session amid ongoing sell-off in the US dollar, having recovered from its last session’s lows, marked in the region of 1.2920. Yesterday the greenback once again came under selling pressure after release of FOMC minutes, which failed to provide anything new and hence disappointed markets. Moreover, ongoing positive trend in oil prices is cheering up risk appetite, thereby supporting higher-yielding GBP today. Now focus shifts toward preliminary UK GDP data, which is the only important event of this day, therefore, further pair’s price actions will be determined by broad market’s sentiments.

Today the dollar/yen pair is trading on a firm note, recovering its losses after significant drop, witnessed during the last NA session. Yesterday the pair once again dropped below level 112.00 on the back of disappointing FOMC minutes, as it failed to provide any details regarding further Fed’s monetary policy tightening measures and hence sending the US dollar lower across the board. However, the pair gained some bullish traction during Asian session on Thursday and recovered part of yesterday’s losses, as risk-on sentiments weighed on Japanese Yen’s safe-haven status, therefore providing support to the pair. Nothing noteworthy is scheduled in data calendar for this Thursday, so USD price dynamics and prevalent risk trend will remain as key determinants for the pair during this trading session.

The main events of the day:

UK GDP – 11.30 (GMT +3)

Support and resistance levels for the major currency pairs:
EURUSD S. 1.1151 R. 1.1253
USDJPY S. 111.03 R. 112.35
GBPUSD S. 1.2894 R. 1.3040
USDCHF S. 0.9697 R. 0.9793
AUDUSD S. 0.7419 R. 0.7549
NZDUSD S. 0.6961 R. 0.7101
USDCAD S. 1.3316 R. 1.3584

Your European ECN-broker,
Forex.ee


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Tuesday, May 30th

The EUR/USD pair extends its downside trend for the fourth session in a row, having dropped to its 7-day lows on the back of recent news of Greek debt troubles. Earlier, the German newspaper Bild reported on the possible intention of the Greek government not to pay the next payment if creditors do not ease its debt load. Thus, Greece actually put a new ultimatum to the creditors, which shows that if there is no any debt relief, there will be no payment for debt recovery either. Moreover, yesterday the market reacted quite negatively on uneventful ECB president M.Draghi’s speech, in which he once again stressed that Eurozone’s economy shows solid recovery, while inflation remains subdued. However, the pair managed to bounce off its recent lows in early Europe, as risk-off rally remains at its full swing lending some support to the common currency. Today EU calendar will provide the market with secondary data reports only, while the US will release CB Consumer Confidence, so further developments surrounding Greek situation will continue to navigate the pair this Tuesday.

The GBP/USD pair continues to stay under negative pressure amid growing tensions surrounding the UK election. Pressure on the GBP began after the release of results of recent opinion polls, which showed that the Labor party continues to reduce the distance with the leader of the election race - May’s Conservatives party. According to the latest information, the Conservative Party is leading with the result of 43%, while the Labor Party has already scored 37%. Moreover, broad risk-off sentiments, triggered by latest Greek default news, are also collaborating with pair’s decline this Tuesday. Looking ahead, today UK economic calendar remains data dry, leaving the pair at the mercy of global market’s trend in European hours, while the US will release CB Consumer Confidence and set of secondary reports, which will be able to keep investors busy during NA trading session.

The AUD/USD pair keeps its downside trend since last Thursday, having refreshed today its 7-day lows at 0.7416, as numerous factors are weighing the Aussie in the second half of this week. Today huge wave of risk-aversions approached the market on the back of renewed worries around Greece’s financial situation, while investors continue to stay cautious ahead of the UK general election. Adding to this, softer tone in commodities, especially in copper, and ongoing bullishness of the greenback are also adding some negative pressure on the pair lately. However, better-than-expected data from Australian labor market, seen this morning, was able to provide some support to the pair, sending it away from its recent lows. Now investors shift their attention on bloc of the US macroeconomic data, featuring CB Consumer Confidence, scheduled on NA session, while broad risk-off trend will continue to navigate the pair during European trading hours.

After reaching its historical high at 2736.58 spot, the BTC/USD pair slumped for more than 1000 dollars to the level of 1710.91 in the second half of the last week, as the pair corrected lower after enormous bullish rally lasted for the last couple of weeks. However, the cryptocurrency regained its bullish momentum on Monday, and by the moment of writing was trading around the level of 2250.00. The downside correction of the pair was quite short lived, so most likely, it was just a profit taking actions after huge gains of the bitcoin and now we are awaiting for extension of a bullish trend of the cryptocurrency.

The main events of the day:
CB Consumer Confidence – 17.00 (GMT +3)

Support and resistance levels for the major currency pairs:
EURUSD S. 1.1142 R. 1.1198
USDJPY S. 110.94 R. 111.62
GBPUSD S. 1.2772 R. 1.2882
USDCHF S. 0.9716 R. 0.9802
AUDUSD S. 0.7415 R. 0.7461
NZDUSD S. 0.7008 R. 0.7110
USDCAD S. 1.3410 R. 1.3488

Your European ECN-broker,
Forex.ee


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Stay informed of the key economic events

Friday, June 2nd

The EUR/USD pair extends its yesterday’s mildly bullish trend into the European session, as the greenback remains broadly subdued this Friday. Seems that US bulls took a breather after upbeat ADP employment data, while awaiting all-important US labor market report. In fact, positive ADP report, released yesterday, left doors opened for another positive surprise from today’s data, which in its turn could fuel broad market’s expectations of Fed monetary policy tightening at its next meeting in June. Looking ahead, nothing noteworthy is scheduled in the European docket, so traders will remain in anticipation for crucial data from the US labor market, which will be able to set up pair’s further directional move.

The GBP/USD pair was consolidating its yesterday’s gains throughout the Asian session, led by positive UK manufacturing data, however remaining near the lower bound of its trading range. Seems that the pair has mostly ignored yesterday’s impressive ADP report, which hinted on better results of crucial NFP data due for release later today. Expectedly the pair will continue trading without clear direction during European hours, as the market is still digesting latest UK opinion polls, which showed narrowing lead of Conservatives versus the Labor party, thereby increasing nervousness among investors, as there is less than a week left before the UK general elections. Besides crucial data from the US labor market, today UK will release Construction PMI data, which will also be closely watched for any directional impetus on the pair.

The dollar/yen pair is trading within a narrow range of 15-pips near 111.60 region, consolidating its overnight’s strong gains. The pair staged a solid comeback from its two-week lows, marked at 110,48 this Wednesday, additionally supported by strong ADP report, which increased odds that today’s key NFP data will also exceed markets expectations. Meanwhile, the decent NFP data can strengthen odds of a Fed rate hike in June that can additionally boost the US dollar against its main competitors. Today investor’s attention will remain glued to US monthly employment details, which will be able to set up pair’s next short-term directional move.

Seems that the BTC/USD pair recovered its bullish mode and now confidently moves upward after huge correction, seen last week. The virtual currency refreshed its historical high at the level of 2736.58 on May 25 before dipping to 1710.10 spot, as traders decided to lock in some profit. By the moment of writing, the bitcoin was trading at 2328.30 handle, having recovered most part of its losses. Renewed upside of the cryptocurrency can be partly attributed to recent headlines that major Chinese Bitcoin exchanges have resumed withdrawals of the cryptocurrency after nearly a four-month ban form that followed by increased scrutiny from the central bank. Moreover, Bloomberg published finance report, which shows that Ethereum could take top place among other virtual currencies, outperforming Bitcoin, by the end of 2018. Recently the market capitalization of Bitcoin has stepped over the mark of $40 billion, while Ethereum is currently taking the second place with $20 billion of the market cap.

The main events of the day:
UK Construction PMI – 12.00 (GMT +3)
Nonfarm Payrolls – 15.30 (GMT +3)
US Unemployment Rate – 15.30 (GMT +3)

Support and resistance levels for the major currency pairs:
EURUSD S. 1.1168 R. 1.1278
USDJPY S. 110.29 R. 112.01
GBPUSD S. 1.2788 R. 1.2960
USDCHF S. 0.9643 R. 0.9755
AUDUSD S. 0.7318 R. 0.7482
NZDUSD S. 0.7039 R. 0.7099
USDCAD S. 1.3449 R. 1.3561

Your European ECN-broker,
Forex.ee


Daily economic digest from Forex.ee
Stay informed of the key economic events

Wednesday, June 7th

The EUR/USD pair remains offered so far this session, refreshing its daily lows at 1.1246, as investors are refraining from placing any directional bets ahead of the key political and economic risky events. The UK general election and ECB monetary policy decision are the main events of the week, which will be highly influential for the pair, as the market believes that ECB may appear dovish on its policy stance, while the UK general election will provide more hints on a divorce deal between the UK and EU. Amid absence of any fundamental releases from both economies, the pair will likely keep its cautious tone today, while any sharp moves of the euro cross with the pound could bring some correlational impetus this Wednesday.

The Australian dollar extends its winning streak against the greenback for the fourth session in a row, once again allowing the AUD/USD pair to refresh its monthly highs at 0.7544. The pair met fresh bids this morning after Australia released GDP numbers, which came out above market expectations. Furthermore, ongoing softness of the US dollar and mild recovery of the commodity market allowed the pair to consolidate its overnight gains and keep its range near the level of 0.7540. Nothing much is scheduled in the data calendar for today, so broad market sentiments and upbeat Australian data will continue to determine pair’s further directional course.

The GBP/USD pair is showing lack of momentum, hovering near 1.2900 level so far this session, as investors remain nervous ahead of the key risky event of this week - the UK general election. According to the latest opinion polls, Conservatives are still holding its leading position in this election race, while the gap vs. its nearest opponent is ranging between 1% and 10%. However, seems that the market has started to price in a win of the Conservative party, as it could bring more clarity over Brexit developments, which in turn, will be highly supportive to the pound. Further, both calendars will remain muted throughout this Wednesday, so the pair will continue to stay under influence of the latest headlines from the UK political field.

The USD/JPY lost its upside momentum in early Europe, having faced resistance at 109.63 level, as better risk-on sentiments, backed by upbeat dynamics of oil prices and attempts of the US dollar to recover its positions, have faded away. Seems that concerns over tomorrow’s crucial events are starting to gather pace across the market, thereby increasing demand for safe-haven assets, such as the Japanese currency. Moreover, seems that the US dollar continues to suffer from weak results of the US economy, providing additional pressure for the pair lately. Looking ahead, today we have absolutely empty data calendar, so broader market risk sentiments will remain as an exclusive driver for the pair this Wednesday, while Japanese GDP numbers will be able to bring some impetus to the pair during the next Asian session.

The main events of the day:
US Crude Oil Inventories – 17.30 (GMT +3)

Support and resistance levels for the major currency pairs:
EURUSD S. 1.1223 R. 1.1311
USDJPY S. 108.42 R. 111.00
GBPUSD S. 1.2831 R. 1.2987
USDCHF S. 0.9588 R. 0.9668
AUDUSD S. 0.7430 R. 0.7560
NZDUSD S. 0.7093 R. 0.7249
USDCAD S. 1.3408 R. 1.3508

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Wednesday, June 28th

The EUR/USD pair remains highly positive in the middle of this week, having refreshed its multimonth highs at 1.1380 level in early Europe. Yesterday the pair received a huge boost from upbeat comments of the ECB President M.Draghi, delivered at the ECB Symposium. During his speech, Mr.Draghi stressed that softer inflation is temporary and growth of the EU economy is seen above trend. The market took these comments as a hint on a possible QE program tapering, thereby increasing demand for the common currency. Moreover, the US dollar mostly ignored yesterday Fed Chair J.Yellen’s neutral talks and continued to retreat against its main competitors amid reports of a delay in the Senate vote on the US Healthcare plan. Looking ahead, today developments surrounding the last day of the ECB Forum in Portugal, featuring speech of the ECB President M.Draghi, will hog the limelight during this trading session.

After reaching its 3-week highs at the level of 1.2861, the GBP/USD pair entered consolidation phase, staying near the level of 1.2815 in Asia, as bulls have taken a breather after sharp increase of the pair. Meanwhile, in the Bank of England’s Financial Stability Report, which was released yesterday, the regulator noted risks associated with Brexit negotiations. However, the market mostly ignored slightly dovish stance of the BoE report and following M.Carney’s speech, as prevailing bearish sentiments around the greenback were the main motivator for traders to push the pair higher. Today we will have another speech of the BoE Governor Carney, which will be held at the ECB Symposium later today, and data from the US housing, while ongoing weakness of the US dollar will continue to determine pair’s next steps during this session.

The USD/CAD pair extends its massive decline, refreshing its 4-month lows at 1.3129, as CAD bulls are still full of steam. The pair came under renewed selling pressure in the Asian trading session on hawkish remarks of the BoC Governor S.Poloz, who once again stated that previous rate cuts are not still necessary, thereby lending support to the Loonie. Adding to this, renewed sell-off of the US dollar, backed by a delay in the US Senate vote on the health-care bill, and recovery in oil prices are also providing some pressure to the pair this Wednesday. Now all focus shifts towards the BoC Governor S.Poloz’s speech, scheduled later today, while the US Pending Home Sales report and Crude Oil Inventories will also have a significant impact on the pair during the NA session.

The USD/JPY pair met a support near the level of 112.00 during Asian trades and refreshed its daily tops at 112.40 on the European opening on the back of minor attempts of the US dollar to recover its positions across the board. However, further upside remains capped, as prevailing risk-off moods, backed by the second session of the ECB Forum in Portugal, are underpinning demand for the safe-haven assets. Moreover, it is expected that the US dollar will continue to trade on a softer note during this day, as the market is still digesting recent delay in the vote on the Healthcare bill by the US Senate, which in turn raised concerns over US President D.Trump administration’s ability to fulfill its promises. Today all eyes will be glued to the summit of Central Bank governors, where H.Kuroda will also take part, while RO-RO trend and US dollar’s dynamics will remain as key drivers for the pair throughout this Wednesday.

The main events of the day:
BoE Governor M.Carney’s speech – 16.30 (GMT +3)
BoC Governor S.Poloz’s speech – 16.30 (GMT +3)
ECB President M.Draghi’s speech – 16.30 (GMT +3)
US Pending Home Sales – 17.00 (GMT +3)
US Crude Oil Inventories – 17.30 (GMT +3)

Support and resistance levels for the major currency pairs:
EURUSD S. 1.1117 R. 1.1459
USDJPY S. 111.09 R. 113.09
GBPUSD S. 1.2651 R. 1.2941
USDCHF S. 0.9502 R. 0.9784
AUDUSD S. 0.7547 R. 0.7641
NZDUSD S. 0.7213 R. 0.7371
USDCAD S. 1.3089 R. 1.3315

Your European ECN-broker,
Forex.ee

Daily economic digest from Forex.ee
Stay informed of the key economic events

Thursday, June 29th

Seems that the Euro bulls took a breather in mid-Asia after enormous rally, which pushed the EUR/USD pair to refresh its 2017 tops at 1.1419 level. Yesterday the major turned sharply lower and became cheaper nearly for a cent after Bloomberg revealed anonymous ECB source’s comments, which said that the market misinterpreted M.Draghi’s remarks on narrowing economic stimulus, delivered at the ECB Symposium on Tuesday. However, the pair managed to regain its positive tone and continued to extend its bullish rally on the back of narrowing monetary policy divergence, as ECB President’s comments were eventually hawkish enough to keep supporting the euro. Adding to that, ongoing broad weakness of the US dollar is also collaborating with pair’s upbeat tone this Thursday. Today after several volatile days we have relatively quiet session with only the US GDP data report, so the market will continue to digest recent economic talks.

The GBP/USD pair was consolidating its yesterday’s gains within 1.2955-70 range, backed by surprisingly hawkish BOE Governor Mark Carney, talking at the European Central Bank Forum. Yesterday Mr.Carney stated that higher inflation is temporary, while noting that the central bank’s tolerance for higher inflation is also limited, so partial withdrawal of monetary policy stimulus will be appropriate if economy continues to improve. Also Head of the BoE added that MPC will discuss further rate increase. Meanwhile, the US dollar continues to remain on offers against its major competitors also lending support to the pair in the second half of this week. In the day ahead, the US economy will release its quarterly GDP report, while the UK docket will remain relatively silent, leaving the pair at the mercy of global market sentiments during the European trading hours.

The USD/CAD pair stalled its downside really in Asia, having faced support near its key psychological level of 1.3000. Today the US dollar continues to stay bearish on disappointing macro data, seen yesterday, and pressure from its major competitors, allowing the pair to refresh its 4-month lows at 1.3013 spot. Moreover, oil prices are extending its bullish momentum, lending support to the commodity-linked assets, despite of red numbers of the weekly EIA report, which showed increase in crude oil stockpiles. However, the market ignored yesterday’s speech of the BoC Governor S.Poloz, who sounded mostly neutral, providing no comments on the current state of the economy. Now all eyes remain on the US GDP report, which is scheduled on the NA session, while oil prices and the USD dynamics will continue to determine pair’s next steps during this Thursday.

The AUD/USD pair is following broad market trend and remains positive, having refreshed its 3-month highs at 0.7681 level. The greenback remains well offered across the board helping the pair to build its bullish momentum, despite of the latest remarks of the Fed Chair J.Yellen, who stated that the central bank would continue increase its interest rates gradually. The pair also benefited from positive sentiments on the commodity market, while better risk environment continues to underpin the demand for higher yielding assets, such as the Aussie. Looking ahead, today investors will await for US GDP data, which will be able to bring some impetus to the pair, while global market sentiments will continue to drive the pair throughout this Thursday

The main events of the day:
US GDP – 15.30 (GMT +3)

Support and resistance levels for the major currency pairs:
EURUSD S. 1.1253 R. 1.1451
USDJPY S. 111.59 R. 112.77
GBPUSD S. 1.2719 R. 1.3073
USDCHF S. 0.9538 R. 0.9676
AUDUSD S. 0.7551 R. 0.7687
NZDUSD S. 0.7229 R. 0.7351
USDCAD S. 1.2900 R. 1.3268

Your European ECN-broker,
Forex.ee