Another day, another record high for a US stock market. Only the one seen on the Dow Jones underwhelms given it is not backed up by its own futures market, let alone its peers. We're also approaching end-of-month flows (which can prompt fickle price action). And keep an eye on the Nvidia earnings report on Wednesday (US) which can single-handedly drive sentiment...
Traders continue to sell the US dollar in anticipation of a dovish speech from Jerome Powell on Friday. To the point where we wonder if this could be a case off "sell the rumour, buy the fact". Matt Simpson takes a quick look at the USD dollar index and bond yields.
Overbought indicators are of little use when markets are obsessed with rate cuts ahead of a key fed speech. Jerome Powell will speak at the Jackson hole symposium and Friday, and expectations for a dovish show are high. And that's helped Wall Street indices extend gains and the allowed the ASX 200 to tag along for the ride. But if this turns out to be a classic...
Two key inflation reports for the US and a potentially live RBNZ meeting over the next 24 hours has put EUR/USD, AUD/USD and NZD/USD onto my radar. And in each case, these markets have risen to interesting levels which hint at a weaker US dollar over the near-term. Part of this may be because traders are front-running weaker US inflation data.
If the RBNZ treat...
By Monday's low, USD/JPY had fallen -12.5% from its July high and the daily RSI (14) had reached its most oversold level since 1996. And with a bullish inside day on Tuesday with a potential bull flag forming on the intraday timeframe, dups look good over the near-term for bulls. Whether it can truly capitalise on any decent rally depends on appetite for risk in...
We take a multi timeframe approach for today's gold analysis video. Taking into account COT data from the weekly chart, support levels on the daily and four-hour charts, we outline our rationale as to why gold could hit new lows after an expected bounce.
MS.
RBNZ were one of the first central banks to hike rates, and could one of the last to finish at the rate they are going.
We'll cover key economic developments, NZD crosses and what to expect ahead of this potentially live meeting.
We made a case that the dollar was at or near oversold levels, and momentum has now turned higher. With hawkish Fed members out in force and a US inflation report pending, let's update a few of our trade ideas around the dollar.
Shorting USD/JPY is not a new idea and, as the pair has erased around half of its 21-month rally whilst holding above key support levels, we see the potential for a bounce over the coming weeks.
One week down, plenty more to go. We'll take a quick look at key themes and events that are driving market, what to look out for next week and include charts and potential setups for the watchlist.
