How to trade the US GDP with EUR/USD

The final release of US GDP is closely watched to see if the robust growth number is confirmed.
The Market Impact Tool shows trading opportunities in both upside and downside surprises on this event.
The EURUSD moved, on average, 15 pips in the 15 minutes after the data release and 41 pips in the following 4 hours

Yohay Elam FXStreet

Buying EUR/USD Scenario

Tradable Negative Trigger: -0.88 deviation (4.03) [BUY Pair]
Key Resistance Level: 1.1815

If it comes out lower than expected at a relative deviation of -0.88 or less(4.03 or lower in actual terms), the EURUSD may go up reaching a range of 28 pips in the first 15 minutes and 72 pips in the following 4 hours.

1.1750 was a battle line in late September. 1.1800 is a round number and it is followed by the high of 1.1815. The mid-June spike at 1.1850 is next up, followed by 1.1915 and 1.2000.

Selling EUR/USD Scenario

Tradable Positive Trigger: +0.68 deviation (4.32) [SELL Pair]
Key Support Level: 1.1650

This time, if it comes out at higher than expected with a relative deviation of 0.68 or higher(4.32 or higher in actual terms), the pair may go down reaching a range of 26 pips in the first 15 minutes and 82 pips in the following 4 hours.

1.1720 separated ranges in late September. 1.1680 was a pivotal point in mid-September. 1.1650 was a swing low earlier in the month. 1.1605 served as support and it is followed by 1.1565 and 1.1530.

EUR/USD Levels on the Chart

EUR USD technical analysis September 27 2018

More data

US growth was robust in the second quarter of 2018. The second release showed an annualized increase of 4.2%, the fastest in four years. The deviations are usually small in the third and final publication, but surprises are not uncommon.

Follow the publication of the figure on the economic calendar. Watch out for the data from the Market Impact tool, projecting the potential price changes according to the deviation. Here is the Market Impact Studies Users Guide.

Author

Yohay Elam

FXStreet

Yohay is in Forex since 2008 when he founded Forex Crunch, a blog crafted in his free time that turned into a fully-fledged currency website later sold to Finixio.

British Pound eases to 1.3450 area following downwardly revised Manufacturing PMI data

The British Pound is trimming previous gains against the US Dollar on Monday, returning to the mid-range of the 1.3400s down from fresh seven-week highs, above 1.3500 earlier on the day. Weaker-than-expected UK manufacturing data added pressure on the Pound, which rallied at the Asian session opening, amid news of a halt to the hostilities in Iran.

EUR/USD challenges 1.1500 on Dollar’s recovery

EUR/USD now accelerates its downtrend and comes closer to the 1.1500 level on Monday. The pair’s correction follows the decent improvement in the US Dollar amid solid data US releases and easing concerns on the geopolitical front.

Gold: The $4,000 mark holds the downside for now

Gold adds to Friday’s pullback, although it remains well underpinned by the key $4,000 threshold per troy ounce on Monday. The US Dollar’s inconclusive price action seems enough to cap the yellow metal’s potential upside, although renewed hopes for a US-Iran peace deal and fading expectations of a Fed rate hike could limit the Greenback’s recovery.

Ethereum Price Forecast: BitMine extends share buyback spree, scoops over 10K ETH

Ethereum (ETH) treasury firm BitMine Immersion Technologies (BMNR) continued its share buyback spree last week after repurchasing 4.5 million shares of its common stock. This purchase brings the total stock buyback since July 1 to 16.1 million shares, part of a previously authorized $4 billion repurchase plan.

AI defies the disinflationary playbook: Why lower oil prices might not be enough to cool core inflation

The global economic landscape has been fixated on the Middle East since the US-Iran war started in late February, reacting to significant changes in crude Oil prices and assessing how they could influence inflation dynamics and growth outlook.

9-3: Is the Federal Reserve’s vote tally Warsh's new forward guidance?

The rate did not move. Neither did the statement, and that’s the more interesting fact. Set the July 29 Federal Open Market Committee (FOMC) statement beside the one issued on June 17, and the two documents are identical apart from a single verb and a paragraph at the bottom naming three dissenters.