Friday July 29, 2022 - 21:31:01 GMT
Global-View.com - www.global-view.com
Share This Story:
|
|
Email
Jul Forex Scorecard
The month of July has seen the EURUSD come under selling pressure while the dollar is trading mixed to lower elsewhere. As the table below shows, the currency ended the month on a weaker note although off its 20+ year low set earlier in the month, which was a brief move below parity. This suggests EUR weakness despite the dollar backing off on a fall in US yields as markets reassess US monetary policy expectations amid signs of a slowing economy.
|
Currency
|
June 30 close
|
July 29 close
|
% change
|
|
EURUSD
|
1.0482
|
1.0225
|
-2.5%
|
|
GBPUSD
|
1.2175
|
1.2181
|
+0.1%
|
|
USDJPY
|
135.73
|
133.21
|
-1.8%*
|
|
USDCHF
|
.9549
|
.9512
|
_-0.3%*
|
|
USDCAD
|
1.2872
|
1.2800
|
-0.6%*
|
|
AUDUSD
|
.6904
|
.6990
|
+1.2%
|
*Denotes a weaker USD
The question going forward is whether the EURUSD stabilizes above parity, corrects further or makes a fresh run at its downside. A long-time and highly respected member of the Global-View Forex Forum makes a bearish case for the EUR while short-term technicals are providing some support..
EUR swiss frank 11:22 GMT 07/28/2022 Even with Powell's 'hold on a sec' moment and subsequent what he really meant clarification, the demise of the EUR is set. Extremely disappointing as well as evident is that it couldn't even sustain a move to 1.0250, never mind real resistance levels. With or without Fed speed limit adjustments, rate differentials and expected rate differentials (yeah that rho thing) are not the drivers for moving the EUR lower at this point. They are just along for the ride. Economic underperformance, this fragmentation thing which some say could be the final nail in the coffin, and capital flows as a result of economic, political, and war consequences are the driver. It's a question of when, not if it leaves route 1.
Looking ahead
Looking ahead, the near-term fate of the EURUSD depends on whether the fx market is able to build on the recent dollar retreat. However, the tone of the EUR will likely be set by its various crosses with the test coming once summer ends and the focus shifts to the Italian elections, Ukraine war and squeeze on energy supplies, and ECB monetary policy/ In the meantime, watch EURUSD 1.02 as it will dictate whether the current move from parity has legs.
Take a look at the EURUSD daily chart and the level that would need to be taken out to confirm a bottom is in place.
Source: The Amazing Trader
The Amazing Trader Community
Join hosts and company founders Michael Weissman and Jay Meisler as they demonstrate the power of The Amazing Trader charting and risk management program. See how the program works exactly the same on fx, commodities, stock market indices, and crypto-currencies. We’ll analyze the markets through the eyes of The Amazing Trader, show you how to identify what we consider to be high-probability trading opportunities, take questions, and possibly even do some trades on our own account. Great for swing and day traders- novice to experienced!
Monday-Wednesday-Friday 8AM-10AM Eastern US & Canada (14:00 GMT)
Click here to register for this FREE webinar series!
Jay Meisler
co-founder, global-view.com
creator, The Amazing Trader
[email protected]
,
Forex Trading News
Forex Research
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
here.
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."
We are starting an affiliate program to market some of our products.