Forex today: Daily analysis

MartinWill · May 2, 2019, 12:03am

American futures rally as traders cheer Apple’s outcomes

More at: American futures rally as traders cheer Apple’s outcomes

01.05.2019

On Wednesday, American stock index futures went up, pointing to a firm start for Wall Street due to the fact that Apple’s stellar outcomes and forecast soothed worries about the decelerating surge in corporate gains.

Stocks of the iPhone maker leapt by 5.8% right after it told that sales in China were stabilizing and also touted how soaring demand for its services as well as accessories helped to compensate a record dive in iPhone profit.

Besides this, the company also uncovered plans for another $75 billion share buyback and had its cash dividend ramped up by 5%.

On Tuesday, the S&P 500 index demonstrated another record maximum as well as its best four-month surge for almost nine years.

Experts are quite optimistic on first-quarter earnings surge and expect a 0.7% leap in contrast with a 2% dive estimated at the beginning of April.

Aside from a mostly better-than-anticipated earnings season, recent profits in stocks have also been driven by upbeat economic reports, a dovish Fed as well as hints of progress in US-China trade negotiations.

Additionally, the major US bank, which will conclude its two-day gathering later in the day, is generally anticipated to keep borrowing costs intact and stick with a cautious monetary policy stance, notwithstanding Donald Trump’s call to decrease interest rates.

ET, Dow e-minis ascended by 0.27%. As for S&P 500 e-minis, it soared by 0.29%, while Nasdaq 100 e-minis rallied by 0.66%.

Among other shares, Advanced Micro Devices Inc headed north by 5.1% because the chipmaker’s quarterly gain beat Wall Street estimates as it managed to sell more chips in servers and data centers. Other chip stocks rallied too, with Micron Technology Inc, Qualcomm, and Nvidia Corp soaring 1%-1.6%.

MartinWill · May 2, 2019, 3:42pm

Yellow metal inches down on potential trade agreement

More at: Yellow metal inches down on potential trade agreement

02.05.2019

On Thursday, gold headed south, just a day after the major US bank stood pat on monetary policy and also hinted that interest rates would probably stand still for a longer period.

On the Comex exchange, June delivery gold futures headed south by about 0.7% concluding the trading session at $1,275.15 an ounce.

In a news conference, which followed Fed gathering, Fed Chair Jerome Powell told that Fed stance is quite adequate at the moment and they don’t see any reasons to move in either direction.

As for trade volumes, they were still thin due to the fact, financial markets in China and Japan were unavailable because of holidays.

Moving in directions opposite to the yellow commodity and estimating the purchasing power of the greenback versus a number of its main rivals the USD index headed south by 0.1% ending up with 97.338.

In addition to this, a report posted by CNBC, which came up with a suggestion that China and the United States might announce a trade agreement next Friday also underpinned risk sentiment and put pressure on the yellow metal.

Besides this, another round of trade negotiations between China and the United States wrapped up in China’s capital on Wednesday with the American Treasury Secretary Steven Mnuchin calling those meetings quite fruitful.

Next week the everlasting trade talks will proceed in Washington. As follows from a number of anonymous sources, the two leading economies might manage to come to a compromise already by next Friday.

In addition to this, the evergreen buck tacked on a bit versus the Japanese yen, and also dived a bit against the New Zealand and Australian dollars.

MartinWill · May 3, 2019, 4:21pm

Bitcoin overleaps $5,500

03.05.2019

On Friday, key digital coins gained momentum in Asia, with Bitcoin rallying above the major mark $5,500. Facebook is reportedly looking for partners for its scheduled cryptocurrency payment service.

Eventually, Bitcoin headed north by up to 6.08% coming up with a reading of $5,581.5, hitting a one-week maximum. The digital token rebounded to the $5,500 mark having lost its grip on it on April 24.

In addition to this, Ethereum surged by 3.32% being worth $160.38, while XRP managed to tack on by up to 0.18% concluding the trading session at $0.30446. Besides this, Litecoinrose surged by nearly 7.23% reaching $74.698.

The overall market capitalization went up further to $179.6 billion from yesterday’s reading of $175 million.

The biggest news in the cryptocurrency community today had to do with Facebook as well as its cryptocurrency payment service, which is under development.

The Wall Street Journal informed that the social media giant is negotiation with financial as well as e-commerce businesses, including MasterCard and Visa to back the payment service Project Libra.

The project suggests launching a digital token, which would be backed by blockchain technology and also pegged to the evergreen buck. An upbeat way to promote its adoption is that Facebook users are able to acquire fractions of the token by simply viewing ads. Moreover, users of Facebook’s messaging application WhatsApp can also utilize this crypto token to transfer funds to one another.

Moreover, an independent nonprofit institute, the Information Technology & Innovation Foundation came up with suggestions on how to regulate blockchain technology that attracted some attention among cryptocurrency traders.

By the way, ITIF urged the policymakers to uphold such principles as technology neutrality as well as public-sector adoption.

MartinWill · May 6, 2019, 11:43am

Trading plan for May 6

06.05.2019

Pay attention to the market sentiment today!

During the Asian trading hours, the risk sentiment in the market was covered in red after the tweet by US president Donald Trump. He said that US tariffs on 200 billion of Chinese goods will go up from 10% to 25%. This news created rumors about the possible delay of the trade negotiations between the US and China and pulled the risk-weighted assets down. At the same time, the safe-haven Japanese yen gained significantly.

Later, China expressed hopes that the negotiations will continue in Washington. The Chinese part confirmed the preparation of the delegation to the US for further talks. It helped the risk sentiment to recover a little bit. For how long, though?

If Mr. Trump surprises us with more negative comments or China cancels its delegation for further talks on May 8, the risk aversion will appear and pull the risky assets down.

On the daily chart of the AUD/USD pair, it has fallen below the weekly pivot support at 0.6980 but managed to recover towards the resistance at the weekly pivot at 0.7024. If the risk-off sentiment takes over the market, the pair will fall below the 0.6980 level towards the next support at 0.6940. If we look at indicators, Parabolic SAR shows the downward movement for the pair, ADX demonstrates that bearish pressure continues and RSI is placed close to the oversold zone. If it enters this zone and then leaves it, it will provide us a short-term buying opportunity.

On the H4, the pair could not overcome the support at 0.6963 and formed an inverted hammer candlestick – a sign of a bullish reversal. At the moment the aussie is targeting the resistance at 0.7. If bulls break this level, the next key resistance will be placed at 0.7024. On the flipside, if the sellers take over the market, they will pull the pair to the support at the weekly pivot at 0.6980. The next support lies at 0.6963.

USD/JPY

The risk aversion resulted in the gap down day for the USD/JPY pair. It has even tested the ground below the weekly pivot support at 110.50. At the moment, USD/JPY is trading near the 100-day SMA and the resistance at the weekly pivot level at 110.79. If bulls are strong, they will break this level and the next resistances will be placed at 110.93 and 111.05. On the other hand, risk off sentiment will make the pair retest the 110.50 level. The next support will lie at 109.94. Parabolic SAR here demonstrates the downward movement, while ADX shows the strength of bears.

Let’s look at the H4. The pair could not stick above the 110.79 level for too long as bears pulled it back to the support at 110.64. If the sentiment in the market is positive, USD/JPY will retest the resistance at 110.79. The next resistance in focus lies at 110.93. Alternatively, we will see a fall towards the support at 110.64. The break of this level will pull the pair lower to the support at 110.64.

MartinWill · May 7, 2019, 10:32am

Turkish lira goes down

07.05.2019

Turkey is making its way towards another currency downtime, with the Turkish lira diving to its lowest value for almost a year after Turkey’s election authorities canceled the recent municipal election outcomes for Istanbul.

The decision provoked immediate street riots in Turkey’s largest city against the cabinet of President Recep Tayyip Erdogan, and pushed the evergreen buck to 6.1976 lira in early trade on Tuesday. It appears to be the highest value since last September, when soaring dollar interest rates along with a heavy foreign debt repayment schedule threatened to heavily impact Turkey’s banking system.

The major bank had to have interest rates raised steeply to defend the Turkish lira at the time, while the economic hardship since then made a contribution to Erdogan’s AK party losing control of the country’s three key cities in elections in March. What’s more, his critics currently accuse him of utilizing the state machinery to have a legitimate election overturned.

As a matter of fact, the Turkish lira headed south by 2% reacting to the news and has slumped by 1.5% since then. Turkey’s currency was at 6.1707 versus the evergreen buck. For the year, it has rallied by 16.3% against the greenback. The given outcome makes it the worst performing asset of all G-20 currencies, excluding the Argentine peso.

In addition to this, the Australian dollar rebounded steeply after the country’s major bank left its cash rate at 1.5%, thus disappointing many investors who had anticipated a rate cut.

Gauging the greenback’s purchasing potential versus its main peers the USD index hit 97.155, sliding by 0.1%.

Traders are still uncertain what follows from the American decision – whether the US would slap extra duties on Chinese goods or not.

MartinWill · May 8, 2019, 11:07am

Rate cut by the RBNZ pulled the kiwi down

http://bit.ly/2Hamlqp

08.05.2019

During the early Asian trading hours, the Reserve bank of New Zealand surprisingly cut its interest rate from 1.75% to 1.5%. According to the words by the RBNZ Governor Adrian Orr, the bank is currently uncertain about the future path of the interest rates. One of the main reasons behind these uncertainties lie in the US-China trade war and lower figures for business sentiment and consumer spending.

The kiwi plunged below the weekly pivot support at 0.6565 towards the next support at 0.6524. If bearish pressure continues, the next support will lie at 0.65. On the flipside, if the kiwi manages to recover, it will rise above the weekly pivot level at 0.6603. The next resistance is placed at 0.6644.

MartinWill · May 9, 2019, 8:11pm

European stocks decline in the face of trade tensions

http://bit.ly/2vOUgQc

09.05.2019

On Thursday, European stocks headed south broadly due to the fact market participants had risky assets shunned, while willing to see whether China and America manage to dodge a trade conflict that would damage the world economy.

Eventually, the pan-European STOXX 600 index had slumped by nearly 0.7%, hitting a fresh four-week minimum.

On Wednesday, American leader told that China had the deal broken it had reached in trade negotiations with America, and vowed not to back down on slapping fresh levies on China’s goods.

As the world’s leading economies proceed with their two-day trade negotiations in Washington on Thursday, traders were willing to know if a last-minute truce could prevent a steep increase of levies on $200 billion worth of China’s exports on Friday.

Over seven key sectors lost nearly 1%. Additionally, tariff-exposed auto shares went down by nearly 1.6%, while semiconductor shares lost ground too.

Banco BPM, Italy’s number three lender went down by 6% having posted a halving of loan-loss provisions for the first quarter.

In addition to this, the country’s leading financial institution by assets UniCredit went down even after it repeated its 2019 objectives and reported a net gain above analyst hopes.

Among the top divers were stocks of ArcelorMittal after the world’s number one steelmaker cut demand estimate for its major markets and told it was facing the tough challenges of lower steel prices as well as reduced consumption in the European Union.

As for German wholesaler Metro, it headed south having posted another quarter of diving sales at its Russian business as well as its Real hypermarkets that the company is actually in the process of selling.

MartinWill · May 13, 2019, 7:13pm

5 important events this week will bring us!

13.05.2019

British average earning index (Tue, 11:30 MT) – According to the forecasts, the indicator will reach 3.4%. If the actual figures are higher, the GBP will be supported.

Canadian CPI (Wed, 15:30 MT) – Higher than expected level of consumer inflation will be positive for the loonie.

US retail sales and core retail sales (Wed, 15:30 MT) – Analysts anticipate the headline retail sales to advance by 0.2%. As for its core level, it will likely increase by 0.7%. As usual, higher figures will be appreciated by the USD bulls.

Australian jobs report (Thu, 4:30 MT) – The level of employment change is expected to rise by 15,200 jobs. At the same time, the level of the unemployment rate is forecast to remain at the same level of 5%. If the actual level of employment change is higher and the unemployment rate is lower than the expectations, the AUD will be supported.

Speech by the BOC governor Stephen Poloz (Thu, 18:15 MT) – The Bank of Canada’s governor will be holding a press conference in Ottawa. He may provide some supportive comment for the Canadian dollar.

Hot news:

During the weekend, the US president Donald Trump continued to pressure China after the US raised tariffs on $200 billion of Chinese goods on Friday. He said that the deal would be far worse for China is his second term. The Chinese side said that it “deeply regrets” the US decision to hike tariffs and will apply countermeasures. As a result, the risky assets fell down. At the same time, the USD/CNH pair has jumped to its highest level since January. However, the trade negotiations keep going. The presidents of the two leading economies are expected to meet during the G20 summit, but now we may only wonder how many surprises the sides will bring to the market until then.

The Saudi energy minister said that two of its vessels were targeted in an attack on Sunday.

The ministers of the British Cabinet want the Prime Minister Theresa May to stop the cross-party talks and start indicative votes in the Parliament.

The bullish market is confirmed: Bitcoin has risen above $7,000 during the weekend. The total market capitalization reached $200 billion. Analysts see one of the main reasons in Fidelity, the famous financial institution, buying and selling Bitcoin.

MartinWill · May 14, 2019, 8:37pm

American import prices rally a bit

More at: American import prices rally a bit

14.05.2019

In April, American import prices surged less than anticipated in April due to the fact that jumps in the cost of food and petroleum were tamed by the largest tumble in the price of capital goods for a decade, dropping a hint at the fact that inflation could stay moderate for a while.

Tuesday’s the report from the Labor Department on Tuesday followed the previous week’s data, which indicated mild producer as well as consumer price jumps in April that underscored the Fed’s projection of no further interest rate hikes in 2019. Financial analysts state that inflation is also not too low for the major US financial institution to cut rates in 2019.

Early in May, the Federal Reserve kept rates intact and indicated little inclination to have its monetary policy adjusted anytime soon.

As a matter of fact, import prices tacked on by 0.2% in April after an unrevised 0.6% ascend in March. Financial analysts had hopes import prices would rally by 0.7% last month.

For the 12 months through April, import prices headed south by 0.2% having ascended by 0.1% in March.

Prices of American Treasuries rallied following the publication of the data. Amerian stock index futures surged and the evergreen buck jumped versus a basket of currencies.

Inflation could be spurred by the previous week’s move by American leader to have levies lifted on $200 billion worth of Chinese exports to from 10% to 25%. Market experts estimate the latest tariffs could add up to two-tenths of a percentage point to inflation.

In April, prices for imported fuels as well as lubricants headed north by 2.5% having rallied by up to 6.9% in the previous month.

MartinWill · May 15, 2019, 12:13pm

The jobs data may support the AUD

The Australian jobs data will be out on May 16, at 4:30 MT. The indicator of employment change demonstrates how many people were employed during the previous month. Analysts anticipate it to advance by 15,200 people this time. As for the unemployment rate, it is anticipated to remain at the same level of 5%. The indicators may bring positive momentum to the AUD, which is struggling amid the trade tensions.

Will the aussie rise?

MartinWill · May 16, 2019, 3:27pm

Weaker risk sentiment pulls the AUD to its lowest levels since January

http://bit.ly/2LKYRgZ

15.05.2019

AUD/USD continues to move within the downward channel. At the moment, the aussie is testing the support at 0.6917. This is the lowest level for the pair since the flash crash at the beginning of January. The next support lies at 0.6871. The bearish weakness may help bears to push the Australian dollar back to the resistance at 0.6957. If this level is broken, the next resistance will lie at 0.7. RSI is currently testing the oversold zone, while the Stochastic indicator is already moving within this zone.

MartinWill · May 20, 2019, 1:32pm

5 important events this week will bring us!

20.05.2019

Speech by the Fed Chair Jerome Powell (Tue, 02:00 MT) – The Fed chair is due to speak during the Financial markets conference in Florida. His comments may shake the USD.

British CPI (Wed, 11:30 MT) – The level of the consumer price index is forecast to reach 2.2%. Higher figures will support the British pound amid the Brexit pressure.

Canadian core retail sales (Wed, 15:30 MT) – The indicator is expected to advance by 0.8%. If its actual level is higher, the loonie will rise.

Eurozone PMIs (Thu, 10:15-11:00 MT) – If the indicators are higher than the forecasts, the EUR will go up.

UK retail sales (Fri, 11:30 MT) – Positive release of the indicator of retail sales will be good for the GBP.

Hot news:

During the Asian session, the market sentiment was softer. However, at the start of the European trading session, the US-China trade tensions have started over again as China warned about the countermeasures on Huawei case. The US president Donald Trump and his administration banned Huawei and other telecommunication firms from doing business with American companies last week. Fresh uncertainties increase fears in the markets.

Also, the People’s Bank of China announced that it would continue to keep the yuan stable within the balanced range. It strengthened the Chinese currency.

The unexpected victory for conservative Prime Minister Scott Morrison pushed the Australian dollar higher. He promised to simplify the tax system and introduce a tax cut.

The Brazilian real continues to weaken due to the protests against the freeze to the education budget and lower growth forecasts for Brazil from BNP and Goldman Sachs. Moreover, as an emerging markets currency, it keeps being affected by the trade tension between the US and China.

Europe anticipates the elections on May 23-25. During these elections, the citizens of the 28 countries will vote in a new European parliament Analysts anticipate Eurosceptic and anti-immigration parties to gain a lot due to the Brexit and global uncertainties. We need to pay attention to the parties from the UK. If the conservative party of Theresa May gains fewer votes, than others, it will increase the pressure on the current prime minister to resign. Also, keep an eye on the comments by the Italian Deputy Prime Minister Matteo Salvini. He said that Italy could break the EU budget rules on debt levels if necessary to raise the level of employment. If his party succeeds, the fears in the market may weaken the euro.

During the OPEC+ meeting this weekend, the members agreed to maintain the production cuts. It pushed the prices for crude higher.

MartinWill · May 21, 2019, 9:18pm

Does the British pound have any chance?

More at: http://bit.ly/2HwWs5y

21.05.2019

As the Brexit situation does not become any brighter, the British pound suffers, too. The British Prime Minister Theresa May is expected to step down from her post by the end of June. This fact does not reduce the risks of a no-deal Brexit due to the lack of certainty in the final divorce deal with the EU.

However, today the GBP may be supported. The news that Theresa May will make the proposal for her deal at 17:00 MT has pushed the cable to the resistance at 1.2822. If she announces significant changes today, it will rise higher. On the other hand, if she fails again it will slide below the 1.27 level. The next support will lie at 1.2603.

The stochastic indicator has formed a crossover in the oversold and RSI has tested the border of the oversold zone.

MartinWill · May 22, 2019, 7:39pm

The USD may be supported by the releases

http://bit.ly/2wdHLgW

22.05.2019

The United States anticipates the release of headline and core durable goods orders on May 24, at 15:30 MT time. The indicator represents the change in the total value of new purchase orders for durable goods. Its core level excludes transportation orders due to their high volatility. Rising purchase orders signal that manufacturers will increase their activity. This fact demonstrates the importance of the indicator. Last time the actual level of the headline indicator came out significantly higher than the forecasts (2.7% vs. 0.7%). The core indicator also advanced by 0.4% If the situation repeats itself, the USD will get positive momentum.

• If the actual levels of indicators are higher than the forecasts, the USD will rise;

• If the actual levels of indicators are lower than the forecasts, the USD will fall.

MartinWill · May 23, 2019, 2:21pm

The British pound continues to go down as political risks intensify.

23.05.2019

A lot of political uncertainties are driving the British pound down. The main of them is, of course, connected with the question: “How long Theresa May will stay a prime minister?”

Her proposal to publish a new withdrawal agreement bill (WAB) this Friday was not welcomed by her colleagues. The new agreement suggests the possibility of the second referendum and the customs union.

Reportedly, Theresa May will face another non-confidence vote tomorrow, if she does not announce the date of her departure.

What may be a game changer today?

 Theresa May will meet with the ministers today;
The Cabinet will try to find a solution on delivering Brexit no matter what.

Technical levels for GBP/USD

The pair is testing the significant support level at 1.2603. If today’s talks do not result in any breakthrough, the pair will fall further to the last December’s lows. The next support will be placed at 1.2493. If the pair is supported today, it will rise to the resistance at 1.26882.

RSI is moving within the oversold zone and Stochastic formed a crossover within this zone, which may signal a possible buying opportunity.

MartinWill · May 24, 2019, 5:30pm

Weekly Cryptonews

More at: http://bit.ly/2HQStj9

24.05.2019

Jeff Adams, the Senior Sales Manager for Huobi Global: “We see a lot of appetites out there from players in more established financial markets when it comes to digital assets but many are still uncomfortable jumping into unregulated trading environments…”

The price for Bitcoin keeps trading near the strong resistance at $8,130. If bullish pressure in the market increases, the next resistance will lie at $8,450. If it weakens, bears will meet the first support at $7,670. In case of the fall, the next key level will lie at $7,120. The price for the oldest cryptocurrency formed a symmetrical triangle pattern, as a result, the break may be either up or down. RSI is moving close to the overbought zone.

What news has been happening in the crypto market this week?

New releases:

WhatsApp messenger launched a bot which allows sending BTC, ETH, LTC and ZTX token to other users.
According to the investigation by the Block, Tether invested in different fiat assets and bitcoin. It means, that USDT is backed by BTC.
Ethereum foundation will invest $19 million to the development of Ethereum 2.0 and $8 million to the support of the current blockchain of ETH.
Grayscale Investments got the approval from the FINRA regulator on listing shares of the Ethereum-trust in the non-exchange market. Its price will depend on the market value of the ETH.
AT&T, the world’s largest telecommunications company, became the first major U.S. mobile carrier to accept Bitcoin for payment.

Regulations:

US Security and Exchange Commission once again postponed the approval of Bitcoin-ETF by VanEck and SolidX. At the same time, the NYSE Arca stock exchanged applied for the launch of Bitcoin-ETF, too.
US tax regulator is working on the new rules on paying taxes from crypto assets.
During the crypto fraud case, the court approved that Chinese citizens may own and exchange Bitcoin.

Are you kidding?

Craig Wright, the famous Faketoshi, registered the rights on White Paper and the code of Bitcoin. However, this fact does not make him the creator of BTC, as it has not been checked.

Current prices (last update 19:20 MT time):

Bitcoin: $8,187

DASH: $162.05

Litecoin: $103.35

Ethereum: $256.16

MartinWill · May 27, 2019, 1:49pm

5 important events this week will bring us!

27.05.2019

Rate statement by the Bank of Canada (Wed, 17:00 MT (14:00 GMT)) – The changes to the current interest rate are not expected, but the central bank may throw some hints on the possible changes of its monetary policy in the future.

Australian building approvals and private capital expenditure (Thu, 4:30 MT (1:30 GMT)) – According to the forecasts, the number of building approvals will increase by 0.1%. As for the level of private capital expenditure, it is expected to advance by 0.5%. Higher figures will support the Australian dollar.

US Preliminary GDP (Thu, 15:30 MT (12:30 GMT)) – The GDP growth of the US is forecast to rise by 3.1%. If the actual level is higher, the USD will get stronger.

Chinese Manufacturing PMI (Fri, 4:00 MT (1:00 GMT)) – The indicator will affect not only the Chinese yuan but also the risk sentiment in the market, due to the escalation of the US-China trade tensions. According to the forecasts, it will decline to 49.9 points. Higher figures will push the CNH and the risk-weighted currencies higher.

Canadian GDP (Fri, 15:30 MT (12:30 MT)) – If the actual level of indicator is higher than the forecast, the CAD will rise.

Hot news:

During the weekend, the US president Donald Trump met with Japanese Prime Minister Shinzo Abe for trade talks. Today they are going to discuss the key issues. According to Trump’s comments on twitter, the sides have made significant progress in trade negotiations, but the final deal is expected to be reached after July’s elections in Japan.

The trade tension between the US and China have intensified. Up to now, we anticipate extra 25% tariffs on $200 billion of Chinese exports to the US and on $60 billion of US exports to China at the end of this week. At the same time, Donald Trump said that the US was not ready to make a trade deal with China.

After the European elections last week, the EU leaders will decide who will be the next president of the European Central Bank after Mario Draghi. During the EU summit dinner on May 28, they are going to discuss the top political appointments.

Theresa May resigned from her post as a Prime Minister on Friday. The leaders who may replace Theresa May, including Boris Jonson and Dominic Raab, say they want the EU to reopen the negotiations on the UK withdrawal agreement.

MartinWill · May 28, 2019, 11:59am

Will the Bank of Canada support the CAD?

27.05.2019

The Bank of Canada will publish its monetary policy statement and make the rate announcement on May 29, at 17:00 MT.

The central bank won’t make changes to the current interest rate, which is set at 1.75%. However, the BOC governor Stephen Poloz may throw some hints on the possible changes to the current monetary policy. Last time, Mr. Poloz was more positive about the economic outlook of the country, than during the previous meetings. His tone supported the loonie. If he provides any hawkish hints this time, the CAD will rise.

• If the BOC is hawkish, the CAD will go up;

• If the CAD is dovish, the CAD will go down.

MartinWill · May 29, 2019, 7:24pm

The important release for China may shake the markets

29.05.2019

China will release the level of its manufacturing PMI on May 31, at 4:00 MT time. This is a leading indicator of economic health. As China is one of the biggest economies in the world, its data tends to affect the global markets. As a result, higher figures of the indicator affect positively not only the Chinese yuan but also the risk sentiment in the market. Riskier environment increases the demand on the risk-weighted currencies, such as the AUD, the NZD, and the emerging market currencies. On the flipside, the lower actual level of manufacturing PMI for China pulls the Chinese currency down and hurts the risk sentiment in the market. The risk-off sentiment makes the risky assets go down as well.

• If the actual level of manufacturing PMI is higher than the forecasts, the risk sentiment will be on;

• If the actual level of manufacturing PMI is lower than the forecasts, the risk sentiment will be off.

MartinWill · May 30, 2019, 9:39pm

Trading strategies for the short-term timeframes!

Some traders prefer to trade on the longer-term timeframes. It helps them to check the positions no more than once a day and have more time for making a final decision. However, if you prefer to be a more aggressive trader and earn money within a day, you will probably try trading on the H1 and H4 charts. In this article, we will explain the most popular strategies for this kind of trading.