Wednesday 16th September
EUR/GBP
Ahead of tomorrow’s Bank of England rate decision, Sterling saw its biggest one day gain against the Euro since June 1st; this without doubt, made EUR/GBP one of the biggest movers on today’s FX dashboard.
The move was assisted by better than expected UK consumer inflation figures for August. Yesterday’s reports from Europe showed manufacturing was once again on the rise, although at a slower pace than two months prior. This pair has been plagued with uncertainty as tensions continue to rise between the EU and UK over Brexit negotiations.
As of writing, EUR/GBP was down close to 90 pips, and fast approaching the support level of 0.9067 after falling below its recent resistance level of 0.9192 earlier in today’s session. Many looking at the 10 and 25 EMAs will notice the downward cross which recently occurred - does this suggest further declines are imminent?
4H Chart via Tradeview Markets
NZD/USD
It is Fed day, and traders of all levels have been looking towards this evening's FOMC meeting to find potential volatility from USD related FX pairs. Later this evening, after the Fed announcement, and close of the US trading session, New Zealand will release its GDP growth rate data which came in at -0.2% the previous month, could tonight’s decision potentially move the NZD.
Traders today looked at NZD/USD for current and upcoming opportunities in anticipation of these economic announcements. The pair today reached its long term resistance of 0.6759 which it has not broken over consecutive sessions since March 2019.
As of writing, NZD/USD was trading close to 0.6752, and although many believe there could be a breakout of this level, it may continue to consolidate depending on what the Fed announces in the next few hours.
4H Chart via Tradeview Markets
Trading any financial instrument on margin involves considerable risk. Therefore, before deciding to participate in margin trading, you should carefully consider your investment objectives, level of experience and risk appetite. Most importantly, do not invest money you cannot afford to lose. Consulting with your investment counselor, attorney or accountant as to the appropriateness of an investment in margin trading is recommended. This electronic mail message is intended only for the person or entity named in the addressee field. This message contains information that is privileged and confidential. If you are not the addressee thereof or the person responsible for its delivery, please notify us immediately by telephone and permanently delete all copies of this message. Any dissemination or copying of this message by anyone other than the addressee is strictly prohibited.
Recommended Content
Editors’ Picks
AUD/USD keeps the red below 0.6400 as Middle East war fears mount
AUD/USD is keeping heavy losses below 0.6400, as risk-aversion persists following the news that Israel retaliated with missile strikes on a site in Iran. Fears of the Israel-Iran strife translating into a wider regional conflict are weighing on the higher-yielding Aussie Dollar.
USD/JPY recovers above 154.00 despite Israel-Iran escalation
USD/JPY is recovering ground above 154.00 after falling hard on confirmation of reports of an Israeli missile strike on Iran, implying that an open conflict is underway and could only spread into a wider Middle East war. Safe-haven Japanese Yen jumped, helped by BoJ Governor Ueda's comments.
Gold price pares gains below $2,400, geopolitical risks lend support
Gold price is paring gains to trade back below $2,400 early Friday, Iran's downplaying of Israel's attack has paused the Gold price rally but the upside remains supported amid mounting fears over a potential wider Middle East regional conflict.
WTI surges to $85.00 amid Israel-Iran tensions
Western Texas Intermediate, the US crude oil benchmark, is trading around $85.00 on Friday. The black gold gains traction on the day amid the escalating tension between Israel and Iran after a US official confirmed that Israeli missiles had hit a site in Iran.
Dogwifhat price pumps 5% ahead of possible Coinbase effect
Dogwifhat price recorded an uptick on Thursday, going as far as to outperform its peers in the meme coins space. Second only to Bonk Inu, WIF token’s show of strength was not just influenced by Bitcoin price reclaiming above $63,000.