Using Interest Rate Parity to Trade Forex
Interest rate parity stands as a cornerstone concept in forex trading, offering a lens to assess currency value shifts based on interest differentials. This article explains how traders can leverage this principle to make strategic decisions, delving into its mechanics, implications, and practical applications in the...
NVDA Stock Price Recovers After 1.5-Month Low
Yesterday, NVDA’s stock price fell to 116.61 – its lowest level since June 5th.
The bearish sentiment was triggered by Trump’s cautious remarks regarding the necessity to defend Taiwan from the threat of military action by China. The leading pre-election candidate suggested in a Bloomberg interview that the island...
GBP/USD Exchange Rate Rises Above 1.3000 on Inflation News
As evidenced by the GBP/USD chart, yesterday the exchange rate rose above the psychological level of 1.3000 USD per pound for the first time in 12 months.
The strengthening of the British currency occurred after the release of inflation news. According to ForexFactory:
→ Year-on-year Consumer Price...
Analysis of XAU/USD: Gold Price Sets Historical Record
As the XAU/USD chart shows, on 16th July, the gold price rose above $2460 for the first time in history. The bullish sentiment is driven by:
→ Anticipation of Fed rate cuts, as the appeal of non-yielding bullion generally increases in low-interest-rate environments.
→ Geopolitical tensions, with an attempt...
US Banks Set a Bullish Tone at the Start of Earnings Season
Company earnings reports for the second quarter will be a crucial driver of stock market movements in the coming weeks. Traditionally, the largest banks kick off the earnings season, and their performance indicators today are setting a bullish tone.
For example:
Bank of America (BAC), report published...
High-Impact News Trading Strategies
Trading in the dynamic world of foreign exchange demands a constant adaptation to the ever-evolving factors influencing currency markets. Among these factors, high-impact forex news stands out as a catalyst capable of reshaping market action. In this article, we explore some of the nuances of high-impact news trading, aiming...
Market Analysis: NZD/USD Poised For Fresh Gains
NZD/USD is also rising and could target the 0.6090 resistance.
Important Takeaways for NZD/USD Analysis Today
- NZD/USD is consolidating above the 0.6050 support.
- There was a break above a key bearish trend line with resistance at 0.6060 on the hourly chart of NZD/USD at FXOpen.
NZD/USD Technical Analysis...
Market Analysis: AUD/USD Poised For Fresh Gains
AUD/USD is attempting a fresh increase from the 0.6715 support.
Important Takeaways for AUD/USD Analysis Today
- The Aussie Dollar found support at 0.6715 and recovered higher against the US Dollar.
- There is a major bearish trend line forming with resistance at 0.6740 on the hourly chart of AUD/USD at...
The EUR/USD Rate Set a 16-Week High
According to the EUR/USD chart, the euro to dollar exchange rate yesterday surpassed the peak from early June, rising above 1.092 – the last time the price was at this level was on March 21.
Bullish sentiments in the market were supported by:
→ Approaching Thursday's meeting of the European Central Bank – it is expected that...
Insiders Are Selling Shares of Large Companies
Yesterday, the S&P 500 stock index (US SPX 500 mini on FXOpen) set another historical high, closing near the 5650 level.
However, similar records are not observed on the charts of rally leaders from the first half of 2024 – NVDA's price is 8.6% below its historical high, MSFT is 3.1% lower, and GOOGL is 2.6% below...
The Nikkei Index Has Risen To a Two-Month High
As we reported on 26th June, analysing the Nikkei 225 chart (Japan 225 on FXOpen):
→ The price is in a significant upward trend (shown by the blue channel);
→ The price may continue to rise along the median line.
Since then, the Nikkei 225 index (Japan 225 on FXOpen) has increased by more than 6%, reaching a...
What Is a Dead Cat Bounce Pattern, and How Can One Trade It?
A dead cat bounce is a common pattern in financial markets, often confusing traders with its brief recovery followed by continued decline. Understanding this pattern is crucial for traders aiming to navigate market downturns. This article delves into what a dead cat bounce is, its causes, how to...
Weekly Market Wrap With Gary Thomson: GBP/USD, EUR/USD, USD/JPY, XAU/USD, NVDA Stock
Get the latest scoop on the week's hottest headlines, all in one convenient video. Join Gary Thomson, the COO of FXOpen UK, as he breaks down the most significant news reports and shares his expert insights.
- GBP/USD Hits Four-Month High Following GDP Growth News
- Market...
Analysis of USD/JPY: Was There an Intervention?
Yesterday’s news of slowing inflation in the US sharply weakened the dollar, anticipating the Federal Reserve’s monetary easing. In the first 15 minutes after the data release:
→ EUR/USD rose by approximately 0.45% to the psychological level of 1.09;
→ GBP/USD increased by approximately 0.55%, reaching a 2024...
The Nasdaq 100 Index Fell Despite Positive Inflation News
Yesterday, Consumer Price Index (CPI) values were published, indicating a slowdown in the rate of inflation in the USA. According to ForexFactory:
→ CPI month-on-month: actual = -0.1%, forecast = 0.1%, previous month = 0.0%;
→ CPI year-on-year: actual = 3.0%, forecast = 3.1%, previous month = 3.3%.
The...
Market Analysis: EUR/GBP Struggles
EUR/GBP declined and is now consolidating losses above the 0.8400 region.
Important Takeaways for EUR/GBP Analysis Today
- EUR/GBP is trading in a bearish zone below the 0.8440 pivot level.
- There was a break above a connecting bearish trend line with resistance near 0.8425 on the hourly chart at FXOpen.
EUR/GBP...
Market Analysis: GBP/USD Eyes 1.3000
GBP/USD is gaining pace above the 1.2900 resistance.
Important Takeaways for GBP/USD Analysis Today
- The British Pound is attempting a fresh increase above 1.2950.
- There is a key bullish trend line forming with support near 1.2910 on the hourly chart of GBP/USD at FXOpen.
GBP/USD Technical Analysis
On the...
Is There the Best Time to Trade Stock CFDs?
If you ask experienced traders, many will say that they trade on certain days or at certain times of the day. Their choice is determined by the market dynamics, volatility, and liquidity. It’s crucial to understand when the best time of the day, week, and month to trade stocks may be. This FXOpen article delves into...
