Weak China Data, Reaction to Fed Move Driving Equities Sharply Lower
In what may be developing into a series of bad reports like
the U.S., China reported
more economic weakness overnight, triggering rallies in both the Dollar and the
Japanese Yen. The moves into these so-called â€śsafer currenciesâ€ť suggests that
investors are turning risk averse once again, leading to tremendous sell-offs
in risky assets.
The September E-mini broke through a combination
50%/uptrending Gann angle formation triggering stops. The main trend is up but
the downside momentum is building which could send this index down to the last
swing bottom at 1083.50. A break through this level will turn the main trend
down on the daily chart with a minimum downside objective of 1065.25.
The flight to safety buying as well as the continued
reaction to the Fed move out of mortgages and into long-term debt is triggering
a strong rally in the September Treasury Bonds. Despite another Treasury Note
auction today and increasing supply, analysts expect demand to remain strong.
Investors donâ€™t seem to be paying too much attention to the low yields as the
flight out of risky assets is making safety their main concern. Continue to
look for the September T-Bonds and T-Notes to push higher with each new low in
the stock market.
As mentioned several times during the last couple of weeks,
gold and equity traders are competing for the same investment dollar. This
means that I expect to see December Gold rally should the weakness continue in
the stock market. Gold has been consolidating the past four days slightly below
a major 50% price level at $1215.00. A breakout over this level is likely to
trigger a further rally to the .618 price level at $1228.00.
It is important to for gold to make an attempt at taking out
this level. If buyers donâ€™t begin to step up and buy the metal, it may retreat
50% of the last rally from $1159.30 to $1213.30. This would make $1186.30 the
first downside target.
September Crude Oil is back below $80.00. This market is
weakening but hasnâ€™t seen the heavy selling pressure yet. The daily chart
suggests that there is plenty of room to the downside with $76.29 the next
likely downside target. An expected slowdown in global demand is likely to be
the catalyst behind the weakness.
The U.S. Dollar is trading sharply lower against most major
currencies with the exception of the Japanese Yen. Investor sentiment has
shifted away from risk leading to weakness in the commodity-linked currencies.
A reduction in the outlook for U.K. GDP is leading to a huge sell-off in the
Technically, the Euro main trend is down on the daily chart.
Downside momentum is building which is expected to drive this market into an
uptrending Gann angle at 1.2816. Ultimately this market is likely to retrace
50% of its recent range to 1.2605.
The main trend is also down in the British Pound. There is
minor support at 1.5635. Watch for a technical bounce following a test of this
level. The next major downside target is an uptrending Gann angle at 1.5429.
The flight to safety is boosting the Japanese Yen. This
market is expected to continue to soar as traders take money from higher risk
assets and payback borrowed Yen. Unless the Japanese government actually
intervenes, look for more upside. There may be a technical reversal if there is
a verbal intervention but this type of action doesnâ€™t work for a very long
The Fed set the tone for todayâ€™s selling of higher risk
assets. Despite efforts to ease into a period of loosening, the Fed may have
actually increased the pessimism in the market. The U.S.
is a leading economy so the thinking is that if the U.S. economy is cooling off, then
itâ€™s just a matter of time before this weakness spreads globally.
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.
Mon 23 July 2018 A 14:00 US- Existing Homes Sales Tue 24 July 2018 AFlash PMIs Wed 25 July 2018 A 08:00 DE- IFO Survey A 14:00 US- New Homes Sales A 14:30 US- EIA Crude Thu 26 July 2018 AA 11:45 EZ- European Central Bank Decision A 12:30 US- Weekly Jobless A 12:30 US- Durable Goods Fri 27 July 2018 AA 12:30 US- GDP A 14:00 US- Final University of Michigan
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.