Dukascopy_Analyst

Dukascopy_Analyst

"JPY shorts have lost ground for a second consecutive week. The BoJ continues to indicate that it has little enthusiasm for extending its huge asset purchase programme at this stage." - Rabobank (based on WBP Online) Pair's Outlook Yesterday the USD/JPY currency pair edged closer to the Nov high, but failed to touch the immediate resistance cluster. Today the...

Dukascopy_Analyst

"The pound has been trading on a softer footing in the near term. Pushed-back expectations of a BoE rate increases have removed one key support factor for the pound in the near term, thus leaving it more vulnerable to the downside for now." - Bank of Tokyo-Mitsubishi UFJ Ltd. (based on Bloomberg) Pair's Outlook The British Pound edged lower against the US...

Dukascopy_Analyst

"With no major U.S. economic data until U.S. retail sales on Friday, commodity price themes will drive trading this week." - Commonwealth Bank of Australia (based on Reuters) Pair's Outlook EUR/USD still continues to absorb a substantial rally of the previous week. There is more room for a rise up to the 55-day SMA at 1.0984 in the nearest future. However, the...

Dukascopy_Analyst

"If the dollar is unable to rally we may see further (short) squeezes towards $1,095-$1,100 in the short term leading into next week's FOMC meeting." - MKS Group (based on CNBC) Pair's Outlook Disappointment from the ECB was fully priced into gold on Friday. The precious metal surged by around $20 per troy ounce. XAU/USD pierced through the July low to close...

Dukascopy_Analyst

"Higher Treasury yields and gains by U.S. stocks would be an ideal combination to attract dollar support from intuitional investors. But if stock markets react negatively to a rate hike, the dollar could end up relying on higher long-term Treasury yields alone." - FPG Securities (based on Reuters) Pair's Outlook The Greenback overperformed on Friday, as it...

Dukascopy_Analyst

"Although we continue to look for trend depreciation in GBPUSD, we think the USD may struggle to appreciate too much against major DM peers into year-end following last week's ECB." - Barclays (based on PoundSterlingLive) Pair's Outlook The GBP/USD currency pair weakened on Friday, with intraday volatility reaching the 1.5080 level, but with trade closing at...

Dukascopy_Analyst

"Euro should again weaken as it becomes clear the ECB will need to do more." - Westpac Banking Corp. (based on Bloomberg) Pair's Outlook EUR/USD cooled down on Friday, by falling from Thursday's peak at 1.0980 to reach the 1.0882 mark by the end of last week's trading. In the short term the bears are expected to aim at the weekly pivot point, which guards the...

Dukascopy_Analyst

"Further dollar short-term weakness will support the precious complex. Support levels for gold are in the mid 1,040's and immediate resistance in the high 1,060's." - MKS Group (based on CNBC) Pair's Outlook The precious metal hovered in positive direction on Thursday, especially pricing in the "hawkish easing" from the ECB, which sent the Dollar strongly...

Dukascopy_Analyst

"The recent weak ISM data clearly illustrated the negative impact of the dollar's appreciation. The US stock market may continue to be fragile, which is likely to discourage USD/JPY buying." - MUFG (based on FXStreet) Pair's Outlook The US Dollar's losses slightly exceeded expectations, as the pair stabilised at 122.59, rather than in front of the weekly PP at...

Dukascopy_Analyst

"It is still easier to support the dollar as the story is no longer just about the Fed hiking rates, but how frequently they could continue to tighten policy." - State Street (based on Reuters) Pair's Outlook The US Dollar experienced a harsh sell-off on Thursday, mainly caused by the ECB's unexpected stimulus decision, as well as a set of weak US...

Dukascopy_Analyst

"It'll take more than this to kill a euro bear, but it's going to be a more difficult winter for them." - HSBC (based on Bloomberg) Pair's Outlook EUR/USD's surge by more than 300 points was hardly predictable yesterday, even though the ECB unveiled more support for economy. Daily growth of the Euro was the sharpest since 2009, while trading volumes spiked to...

Dukascopy_Analyst

"Once again, gold is unable to find a bid. Any small rally that we see is being sold into." - Sydney-based precious metals trader (based on CNBC) Pair's Outlook The bullion was literally unchanged in price on Thursday, which is explained by US Bank Holiday and low volatility in both commodity and FX markets. Price opened and closed just above July low at...

Dukascopy_Analyst

"We also expect JPY selling by domestic investors/businesses to continue. We do not expect Japanese policymakers to react very negatively if JPY weakens to the 130 level ." - Nomura Bank (based on FXStreet) Pair's Outlook On Thursday the US Dollar edged lower against the Japanese Yen, somewhat breaching the up-trend. As a result, price opened further away...

Dukascopy_Analyst

"With commodity prices coming under renewed downward pressure, the Bank of England may well find it difficult to hike rates in 2016. Put simply it looks to us as if 2016 will be the year that sterling finally loses its shine." - Bank of New York Mellon (based on Business Recorder) Pair's Outlook The Sterling made its way closer to the Nov low yesterday, by...

Dukascopy_Analyst

"He is going to pull a rabbit out of the hat -- we're just not sure what that rabbit will be. The euro is going down heavily." - BMO Global Asset Management (based on Bloomberg) Pair's Outlook EUR/USD continued to trade in a tight range on Thursday, owing to lack of major fundamental and technical drivers throughout the day. Closest support, namely the...

Dukascopy_Analyst

"The drumbeat for a December start to policy normalization is growing louder, and the minutes of the October FOMC meeting suggest that the necessary conditions would be met for them to deliver on the expectation for a liftoff in rates at the next meeting." - TD Securities (based on WBP Online) Pair's Outlook Poor US fundamentals caused the Greenback to erase...

Dukascopy_Analyst

"With a rate hike seemingly priced in, market views are that the dollar could fall after the Fed delivers a hike in December, focus is shifting to when the second rate hike would be, and how many times the Fed could hike rates next year." - Barclays (based on Reuters) Pair's Outlook Although no significant level was crossed yesterday, the Cable still...

Dukascopy_Analyst

"The ECB is doing little to counter this market speculation. Should they not deliver now it would clearly cause a huge backlash with regards to the euro and overall valuations." - Commerzbank (based on Bloomberg) Pair's Outlook EUR/USD attempted to develop beyond 1.06 on Monday, but the Euro's bulls managed to stabilize the situation and sent the currency pair...