Stocks Steady after ECB, BoE Rate Decisions; Focus Remains on Jobs Data
equity markets are trading flat in limited trading despite rallies in the Euro
and British Pound. Earlier in the week, strength in both of these markets
triggered rallies in stocks as traders demanded risky assets.
Earlier this morning, the European Central Bank and Bank of
England policymakers voted to leave interest rates unchanged. Stocks failed to
move on the news as it was already priced into the market. The press conference
by ECB President Trichet could move the markets, if he announces an exit
strategy now that it appears the Euro Zone economy is on the road to recovery.
Stocks firmed late Wednesday after trading in a tight range
throughout the day following a good ADP employment report. Today another piece
of the employment puzzle will be revealed in the form of weekly initial claims.
Both of these reports are leading up to Fridayâ€™s Non-Farm Payrolls Report.
Early guesses are for this report to show a decline of 65,000 to 90,000 jobs.
The Fed will also be watching this report closely as it will be a strong
determinant in next weekâ€™s monetary policy decision.
After an early reaction to the initial claims report, volume
may dry up today ahead of tomorrowâ€™s big report, leading to a choppy, sideways
Treasury futures are at a key juncture on the charts.
Yesterday the September T-Notes made a new high for the year as yields plunged.
The lower close, however, helped form a closing price reversal top which could
lead to the start of a 2 to 3 day break.
September Treasury Bonds also had a reversal down, but the
pattern suggests the possible formation of a bearish secondary lower top
Although the Fed is expected to keep interest rates low and
may implement another round of quantitative easing, sentiment has shifted
toward risky assets, putting pressure on the lower yielding Treasuries.
December Gold is trading flat this morning, following a
strong five day rally. The main trend is still down despite the rally with the
market stopping short of taking out the recent main top at $1207.50. A move
through this price will turn the main trend to up. If weakness develops today,
then look for the start of a correction back to $1182.40 over the near-term. At
this price level, traders will have to decide whether to form a secondary
higher bottom or resume the downtrend.
On Thursday the Bank of England policymakers voted to leave
its benchmark interest rate at the historically low 0.5%. This move was
expected because BoE officials are still unsure what the effect the newly
implemented austerity measures will have on the economy. Furthermore, there is
still uncertainty over what the upcoming new taxes will have on economic
growth. Some investors feel the central bank will have to remain flexible with
its monetary policy in case the developing economic recovery stalls.
Lately the British Pound has been trending higher, reaching
a major retracement zone. Most of this move has been driven by speculators
looking for improvements in the U.K.
economy while the U.S.
economy falters. The recent Second Quarter GDP Report was better than expected;
leading some investors to believe the economy is on the road to recovery.
Skeptics cite the fact that this reading took place before the austerity
measures were implemented.
High inflation has also had investors worried. One of the
challenges for the Bank of England will be controlling inflation without
stifling growth. Uncertainty over how the BoE intends to do this may limit
gains and could begin to put pressure on the Sterling.
Technically, the British Pound found resistance at a key
.618 retracement level earlier this week at 1.5967. Holding this level could
trigger the start of a break back to 1.5635. Overnight the Sterling traded below 1.5884, putting this
currency lower for the week. The market bottomed early in the trading session
and put in a short-term top shortly after the central bank announcement.
Although the Pound is trading higher shortly before the New York opening, gains
could be limited as traders stand aside ahead of tomorrowâ€™s U.S. Non-Farm
Payrolls Report. This report will offer more insight into the state of the
economy and influence the Fedâ€™s monetary policy decision at next weekâ€™s FOMC
meeting. There is speculation that the Fed will renew its quantitative easing
program. This along with low interest rates could keep downside pressure on the
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 17 July 2018 AA 08:30 GB- Employment A 13:15 US- Industrial Production AA 14:00 US-Powell Testimony Wed 18 July 2018 AA 08:30 GB- CPI A 12:30 US- Housing Starts/Permits AA 14:00 US-Powell Testimony Thu 19 July 2018 AA 1:30 AU- Employment AA 08:30 GB- Retail Sales A 14:30 US- EIA Crude A 12:30 US- Weekly Jobless Fri 20 Jun 2018 A 12:30 CA- CPI/Retail Sales
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.