Dukascopy_Analyst

Dukascopy_Analyst

"The Fed remains data dependent and so upcoming gauges of U.S. inflation, wages and jobs gains will be very closely watched. As it stands now, the market may be pricing in an overly negative economic scenario that results in no further rate hikes this year." - Commonwealth Foreign Exchange (based on CNBC) Pair's Outlook The Cable was able to almost completely...

Dukascopy_Analyst

"Fears around China, oil and negative interest rates have likely been overstated in the gold price and other financial markets." - Goldman Sachs (based on Reuters) Pair's Outlook Tuesday was a mixed day for the bullion, as neither the bulls nor bears were managing to take a full control over the price. However, by the end of US session the latter were able to...

Dukascopy_Analyst

"Dollar/yen will continue to watch movements in risk assets like crude oil and equities, for direction. During 'risk off' phases the yen continues to show the strongest reaction. The dollar approached the 115 yen threshold recently and this also makes it easier for participants to sell the currency." - Barclays (based on CNBC) Pair's Outlook The USD/JPY...

Dukascopy_Analyst

"Rebounding risk appetite should ease global funding concerns working in favour of current account deficit FX such as the pound." - Morgan Stanley (based on Reuters) Pair's Outlook Yesterday disappointment in UK's inflation outlook pushed the GBP/USD significantly lower, with the four-week up-trend failing to hold the losses. The Sterling is expected to...

Dukascopy_Analyst

"If inflation is slower to return to target, monetary policy normalization should be unhurried." - Eric Rosengren, Boston Fed President (based on Bloomberg) Pair's Outlook EUR/USD was largely unchanged over Tuesday after two days of sharp losses. A sell-off is now being contained by the immediate cluster of supports at 1.1115/00. Here we have the monthly R2,...

Dukascopy_Analyst

"The (precious metals) complex has benefited from the recent global risk-off attitude and heightened volatility. However, a pull-back was inevitable at some stage." - MKS Group (based on CNBC) Pair's Outlook Yesterday markets were encouraged by dovish comments made by ECB President Draghi, while equities and many commodities rallied. Gold has therefore closed...

Dukascopy_Analyst

"The JPY was the victim of improved risk sentiment, its ‘safe haven' appeal fading." - BNZ (based on WBP Online) Pair's Outlook With demand for less riskier assets, namely the Yen, lower, the US Dollar was able to post significant gains against it on Monday. Daily and weekly technical studies keep insisting that the given pair is likely to resume its bearish...

Dukascopy_Analyst

"If there was a Brexit scenario, the market is considering the probability that could provide another headwind to growth in the UK and could result in lower rates from the Bank of England later this year." - Bank of Tokyo-Mitsubishi UFJ (based on Business Recorder) Pair's Outlook The British currency started the week with a rather serious decline, but with the...

Dukascopy_Analyst

"Longer term we still have major concerns over China but for the moment it backstops risk sentiment and that's negative for the yen and euro." - Royal Bank of Canada (based on Bloomberg) Pair's Outlook ECB President Draghi confirmed his readiness to act in March, which used to have an immediate bearish impact on the Euro vs Dollar. The pair slumped towards...

Dukascopy_Analyst

"We suspect her remarks will come across as unusually dovish, allowing the dollar to resume its descent and giving commodity markets a bit of a lift late in the day on Wednesday." - INTL FCStone (based on CNBC) Pair's Outlook The seven-day long rally of the bullion was ultimately limited by the 1,191/93 resistance area, where gold met the October high of the...

Dukascopy_Analyst

"Japanese individual investors don't look like they will be bullish on the dollar and bearish on the yen any time soon, as far as recent market moves go." - Gaitame.com Research Institute (based on Reuters) Pair's Outlook The USD/JPY settled in front of the immediate support cluster yesterday, managing to partially recover from the daily low of 114.20. Demand...

Dukascopy_Analyst

"The pound remains on the back foot despite a less dovish than expected inflation report and an until now softer dollar." - Citi (based on Business Recorder) Pair's Outlook On Tuesday demand at the immediate support cluster triggered a buying spree of the Cable, causing the pair to recover and stabilise just above the closest resistance level. Technical...

Dukascopy_Analyst

"The market's current mood is sufficiently downbeat and Yellen's language likely to be sufficiently hedged that there won't be a steep rally in U.S. dollar." - Westpac Banking Corp (based on Bloomberg) Pair's Outlook Continuous worries about global economy helped the Euro in gaining more strength on Tuesday. EUR/USD penetrated the last monthly resistance line...

Dukascopy_Analyst

"While it's quite clear that one of the drivers here is a weaker U.S. dollar, it does appear that risk appetites are diminishing and that of course means more demand for gold." - CMC Markets (based on CNBC) Pair's Outlook Stress across global equity markets is skewing gold's risks to the upside. Yesterday the August 2015 high/monthly R2 at 1,170/68 defended...

Dukascopy_Analyst

"Risk-sensitive assets are broadly under pressure, despite little in the way of new data releases overnight. In this environment, it is unsurprising to see the ‘safe haven' JPY." - BNZ (based on WBP Online) Pair's Outlook With demand for safe-haven assets higher on Monday, the USD/JPY currency pair fell to a one-year low, while volatility stretched out even...

Dukascopy_Analyst

"After benefiting from dollar weakness across the currency markets last week, it looks like the correction in sterling/dollar might have concluded." - FXTM (based on Business Recorder) Pair's Outlook The British currency extended its decline against the US Dollar on Monday, but with trade closing above the expected 1.44 level. The Cable has been trading in a...

Dukascopy_Analyst

"The bigger-picture trend in terms of dollar/yen and euro/dollar is very much complicit with risk appetite turning once again lower after a relatively lackluster session with large parts of Asia out." - Canadian Imperial Bank of Commerce (based on Bloomberg) Pair's Outlook EUR/USD turned around yesterday, as rising market instability raised attractiveness of...

Dukascopy_Analyst

"Markets are looking to Yellen's testimony this week to see whether she will still leave an option open for a March rate increase or sound dovish." - Sumitomo Mitsui Trust Bank (based on Bloomberg) Pair's Outlook Last Friday was the first bearish day for EUR/USD in six consecutive trading sessions. After touching the third monthly resistance at 1.1246, the...