The common currency price is falling today against the US dollar. Even with positive data releases out of the Eurozone today, traders were in no mood to buy up the euro. German factory orders in October rose by 0.5% against the forecasted decline of 0.2% and the retail PMI in the Eurozone rose to 52.4 in November compared to 51.1 in the previous period. However, the political crisis in the US over the investigation of Donald Trump’s ties with Russia and ongoing discussions on tax cuts will restrain the dollar bulls.
The British pound is losing positions due to lack of progress in negotiations between the UK and the European Union on the Brexit terms. The British Prime Minister is trying to reach an agreement on the key conditions of the Brexit, but at the center of attention remains lack of support for Mrs. May among her ministers and unsolved questions on the border between Northern Ireland and the Republic of Ireland.
The Australian dollar has fallen today after the release of disappointing statistics, according to which the Australian economy expanded by only 0.6% in the third quarter against the 0.7% expected and 0.9% in the previous period. Trading tomorrow is likely to be influenced by the release of the trade balance at 00:30 GMT and by the new home sales release in Australia published at 22:30 GMT later today.
Investors are waiting for the labour market data in the US, which will be released on Friday which may provoke a volatility spike as it is a key indicator on the Fed’s decision for an interest rate hike in December.
EUR/USD
The EUR/USD quotes were not able to leave the limits of the local descending channel and currently are located near 1.1825. The signal to buy in case of the price breaking through 1.1850 will be the overcoming of the local high at 1.1850. In this case, the targets will be at 1.1925 and 1.2000. On the other hand, within the limits of the channel, quotes may reach the closest objective at 1.1730.
GBP/USD
The GBP/USD quotes have broken through the lower boundary of the ascending channel. Fixing under the local support at 1.3350 may lead to the fall acceleration and within this impulse, the price may reach the immediate goals at 1.3250 and 1.3150. In case of correction, the quotes may return to SMA100 on the 15-minute chart.
AUD/USD
The aussie quotes have shown a strong descending movement but were not able to reach the strong support at 0.7565. During the rising price correction, the AUD/USD may return to 0.7600 and its breaking may force the bulls to push the price higher to 0.7660. Volatility is likely to remain high.
General Risk Warning for FX & CFD Trading. FX & CFDs are leveraged products. Trading in FX & CFDs related to foreign exchange, commodities, financial indices and other underlying variables, carry a high level of risk and can result in the loss of all of your investment. As such, FX & CFDs may not be appropriate for all investors. You should not invest money that you cannot afford to lose. Before deciding to trade, you should become aware of all the risks associated with FX & CFD trading, and seek advice from an independent and suitably licensed financial advisor. Under no circumstances shall we have any liability to any person or entity for (a) any loss or damage in whole or part caused by, resulting from, or relating to any transactions related to FX or CFDs or (b) any direct, indirect, special, consequential or incidental damages whatsoever.
Recommended Content
Editors’ Picks
EUR/USD clings to daily gains above 1.0650
EUR/USD gained traction and turned positive on the day above 1.0650. The improvement seen in risk mood following the earlier flight to safety weighs on the US Dollar ahead of the weekend and helps the pair push higher.
GBP/USD recovers toward 1.2450 after UK Retail Sales data
GBP/USD reversed its direction and advanced to the 1.2450 area after touching a fresh multi-month low below 1.2400 in the Asian session. The positive shift seen in risk mood on easing fears over a deepening Iran-Israel conflict supports the pair.
Gold holds steady at around $2,380 following earlier spike
Gold stabilized near $2,380 after spiking above $2,400 with the immediate reaction to reports of Israel striking Iran. Meanwhile, the pullback seen in the US Treasury bond yields helps XAU/USD hold its ground.
Bitcoin Weekly Forecast: BTC post-halving rally could be partially priced in Premium
Bitcoin price shows no signs of directional bias while it holds above $60,000. The fourth BTC halving is partially priced in, according to Deutsche Bank’s research.
Week ahead – US GDP and BoJ decision on top of next week’s agenda
US GDP, core PCE and PMIs the next tests for the Dollar. Investors await BoJ for guidance about next rate hike. EU and UK PMIs, as well as Australian CPIs also on tap.