June E-mini Poised to Test 50% Retracement Level at 1105.75
equity markets finished sharply higher and are now in positions to test major
retracements zones which will indicate whether the uptrend is getting ready to
resume or if a new bear market is forming. The fact that investors were willing
to buy strength on Thursday could be a clue that fresh money is coming into the
The June E-mini S&P 500 closed in a position to test a
key retracement zone at 1105.75 to 1122.00. The June E-mini NASDAQ is testing 1867.75
overnight with 1894.50 its next upside objective. Finally the June E-mini Dow
is setup for a further rally to a 50% retracement level at 10337.
The catalyst behind the rise in equity markets beside
short-covering is optimism about the U.S. economy and an easing of
tensions in the Euro Zone.
The surge in equity markets pressured the September Treasury
Bonds on Thursday. Investors liquidated flight-to-safety positions as demand rose
for higher yielding assets. The daily chart indicates a potential retracement
to 119â€™22. Look for more downside pressure as long as investors continue to be
attracted to stocks.
The easing of tensions in the Euro Zone and greater demand
for risk coupled with oversold conditions helped to drive September Crude Oil
higher. A new main bottom has been formed at 69.62. Regaining and holding above
a 50% level at 72.16 also helped to underpin this market. Upside momentum is
strong, but the main trend remains down. There is an outside chance that this
market may rally to 80.88 over the near-term.
August Gold traded lower after failing to take out a .618
retracement level at $1219.50. This move completes a retracement of the
$1251.40 to $1168.00 range. Despite the falling Dollar, hedge position liquidation
is pressuring gold. A break under $1209.70 is likely to trigger an acceleration
to the downside.
The U.S. Dollar traded sharply lower on Thursday, giving the
first indication in weeks that the event driven rally may be coming to an end.
Pressure was on the Dollar all day led by the strong turnaround in the Euro.
Additional pressure came from increased interest in stocks and commodities.
Technically, overbought conditions also contributed to the Dollarâ€™s weakness.
The current chart pattern suggests the formation of a possible double-top with
a confirmation set to take place when this index takes out the last main bottom
Easing tensions in the Euro Zone helped to boost demand for
higher risk assets on Thursday. Since last week, the Euro has been trying to form
a bottom but has been met by both fundamental and technical obstacles in the
process. On Wednesday, rumors that China was re-evaluating its
Euro-denominated bond portfolio sent the single-currency lower along with crude
oil and stock indices. Overnight trading was another story however.
Wednesday night Chinaâ€™s foreign exchange reserves
manager denied a news report that it was considering the sale of some of its
holdings of Euro-denominated bonds.This
helped the Euro rebound, sending the Dollar lower against most currency-linked
commodities. With the Dollar trading lower, demand for higher risk assets
Stronger demand for higher yielding assets also helped to
drive up the commodity-linked Australian, New Zealand and Canadian Dollars
while pressuring the lower-yielding Japanese Yen.
The June Euro was firm all day. This morningâ€™s rally drove
the Euro into a Fibonacci retracement level at 1.2345. Additional resistance
was coming in at a downtrending angle at 1.2371. Regaining both of these prices
could trigger a further rally to the 50% price at 1.2407.
Regaining the retracement zone is the first step in the
bottoming process for the Euro. The next step will be crossing a mains swing
top. At this time the main trend remains down until the last swing top at
1.2671 is violated.
The June British Pound moved higher and away from the
support base it has been building over the last five days. Based on the
short-term range of 1.5391 to 1.4229, traders should look for a near-term
retracement to 1.4810 to 1.4947. A more optimistic view of the financial
situation in the Euro Zone and acceptance of some of the proposed austerity
measures by the newly formed U.K.
government are acting as catalysts for the current developing strength.
The June Swiss Franc traded higher after confirming its
closing price reversal bottom at .8562. Upside momentum is building which could
drive this market into the retracement zone at .8862 to .8933. A easing of
pressure on the Euro is helping to trigger the rally in the Swiss Franc.
Traders feel that a rally in the Euro will allow the Swiss National Bank to
ease up on its constant intervention in the market.
Increased demand for higher yielding assets helped to
pressure the June Japanese Yen. Trading has been quiet lately indicating
impending volatility. Watch for a surge in U.S. equities to trigger a quick
break back to 1.0954 to 1.0854 over the near-term. As investor appetite for
risk grows they begin to favor a strategy which involves borrowing in Japanese
Yen to buy other higher risk assets such as U.S. stocks. In order to do this,
they must sell the Yen and buy the Dollar.
Strong crude oil helped to drive the June Canadian Dollar
higher. Once again this market rejected the former bottom at .9293. Upside
momentum drove this market to a 50% level at .9552. If momentum continues to
grow and crude oil and stocks continue to rise, then look for further strength
to .9632 over the near-term.
Barring any fresh bearish news out of the Euro Zone or any
threats from China
to stop investing in Euro bonds, it looks as if the much awaited profit-taking
break in the U.S. Dollar has begun. Although the main trend is up, it isnâ€™t
going to take much to weaken the Dollar. Extremely oversold conditions in
foreign currencies and nervous short traders could turn the heat up on the
Dollar rather quickly.
Forex Trading News
Daily Forex Market News Forex news reports can be found on the forex research
headlines page below. Here you will find real-time forex market news reports
provided by respected contributors of currency trading information. Daily forex
market news, weekly forex research and monthly forex news features can be found
Forex News Real-time forex market news reports and features providing
other currency trading information can be accessed by clicking on any of the
headlines below. At the top of the forex blog page you will find the latest
forex trading information. Scroll down the page if you are looking for less
recent currency trading information. Scroll to the bottom of fx blog headlines
and click on the link for past reports on forex. Currency world news reports
from previous years can be found on the left sidebar under "FX Archives."
Actionable trading levels delivered to YOUR charts in real-time.
Tue 31 July 2018 AA JP- Bank of Japan A 06:00 DE- Retail Sales A 09:00 EZ- flash HICP/GDP AA 12:30 US- Core PCE Deflator A 14:00 US- CB Consumer Confidence Wed 1 Aug 2018 A Final Mfg PMIs AA 12:15 US- ADP Private Payrolls A 15:00 US- EIA Crude AA 18:00 US- Federal Reserve Decision Thu 2 Aug 2018 AA 11:00 GB- Bank of England Decision A 13:30 US- Weekly Jobless Fri 3 Aug 2018 A Final Services PMIs AA 12:30 US- Employment A 12:30 US/CA- Trade
John M. Bland, MBA co-founding Partner, Global-View.com
Global-View Affiliate Program
We are starting an affiliate program to market some of our products.
Send me an email if you would be interested or if you know someone who would like to be an affiliate. Generous commissions payout for those accepted.
Put the word "affiliate" in the email subject line.
Veteran FX Trader, Max McKegg, forecasts all the Major currencies and the Australasians; providing Daily and Medium Term Trading forecasts to subscribers, who include large Banks the world over, as well as individual traders in more than 30 different countries.
looking for your first broker or do you need of a new one? There are
more critical things to consider than you might have thought.
We were trading long before there were online brokers. Global-View
has been directly involved with the industry since its infancy. We've
seen everything and are up-to-data with recent regulatory changes.
The Global-View Forex Forum is the hub for currency trading on the web. Founded in 1996, it was the original forex forum and is still the place where forex traders around the globe come 24/7 looking for currency trading ideas, breaking forex news, fx trading rumors, fx flows and more. This is where you can find a full suite of forex trading tools, including a complete fx database, forex chart points, live currency rates, and live fx charts. In addition, there is a forex brokers directory where you can compare forex brokers. There is also a forex brokers hotline where you can ask for help choosing a forex broker that meets your individual fx trading needs. Interact on the same venue to discuss forex trading.
The forex forum is where traders come to discuss the forex market. It is one of the few places where forex traders of all levels of experience, from novice to professionals, interact on the same venue to discuss forex trading. There is also the GVI Forex, which is a private subscription service where professional and experienced currency traders meet in a private forex forum. it is like a virtual forex trading room. This is open to forex traders of all levels of experience to view but only experienced currency tradingprofessionals can post.
Currency trading charts are updated daily using the forex trading ranges posted in the Global-View forex database. You will also find technical indicators on the fx trading charts, e.g. moving averages for currencies such as the EURUSD. This is another forex trading tool provided by Global-View.com.
The forex database can be used to access high, low, close daily forex ranges for key currency pairs, such as the EURUSD, USDJPY, USDCHF, GBPUSD, USDCAD, AUD, NZD and major crosses, including EURJPY, EURGBP, EURCHF, GBPJPY, GBPCHF and CHFJPY. Data for these currency trading pairs dating back to January 1, 1999 can be downloaded to an Excel spreadsheet.
Forex chart points are in a currency trading table that includes; latest fx tradinghigh-low-close range, Bollinger Bands, Fibonacci retracement levels, daily forex pivot points support and resistance levels, average daily forex range, MACD for the different currency trading pairs. You can look on the forex forum for updates when one of the fx trading tools is updated.
Global-View also offers a full fx trading chart gallery that includes fx pairs, such as the EURUSD, commodities, stocks and bonds. In a fx trading world where markets are integrated, the chart gallery is a valuable trading tool. Look for updates on the Forex Forum when the chart gallery is updated.
Global-View.com also offers a forex blog, where articles of interest for currency trading are posted throughout the day. The forex blog articles come from outside sources, including forex brokers research as well as from the professionals at Global-View.com. This forex blog includes the Daily Forex View, Market Chatter and technical forex blog updates. In additional to its real time forex forum, there are also Member Forums available for more in depth forex trading discussions.
WARNING: FOREIGN EXCHANGE TRADING AND INVESTMENT IN DERIVATIVES
CAN BE VERY SPECULATIVE AND MAY RESULT IN LOSSES AS WELL AS PROFITS. FOREIGN
EXCHANGE AND DERIVATIVES TRADING IS NOT SUITABLE FOR MANY MEMBERS OF THE
PUBLIC AND ONLY RISK CAPITAL SHOULD BE APPLIED. THE WEBSITE DOES NOT TAKE
INTO ACCOUNT SPECIAL INVESTMENT GOALS, THE FINANCIAL SITUATION OR SPECIFIC
REQUIREMENTS OF INDIVIDUAL USERS. YOU SHOULD CAREFULLY CONSIDER YOUR FINANCIAL
SITUATION AND CONSULT YOUR FINANCIAL ADVISORS AS TO THE SUITABILITY TO YOUR
SITUATION PRIOR TO MAKING ANY INVESTMENT OR ENTERING INTO ANY TRANSACTIONS.