Anyone trading these days has seen how hyper-sensitive markets are to any news that might impact interest rate expectations. While markets have always reacted to the news, such as economic data, it is now reacting to 2nd and 3rd tier reports like they are 1st tier.
So why are markets reacting this way? Read this article to see
USDJPY 1 HOUR CHART – INTERVENTION SCARE?
If you scroll through prior posts you will see one about the air pocket that saw USDJPY drop about 50 pips from the 157.19 high and then quickly recover.
Whether it was intervention or not I am sure the MOF/BOJ were paying attention as the next key chart level is around 158, the last obstacle to the 160.16 high.
Otherwise, USDJPY got somewhat of a reprieve from the risk-off session but will find support as long as it holds above 156.52.
and bostic says
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(Reuters) – The Federal Reserve may need to wait longer to cut interest rates because even with April’s slightly cooler inflation reading there is continued upward pressure on prices,
“We’re not past the worry point in terms of inflation getting back to our target,” Bostic said during a virtual class session with Stanford University business school students Atlanta on Thursday.
of course there is continued upward pressure on prices : inflation is cumulative einstein
AUDUSD 4-HOUR CHART –
MEN
LOOK AT WHERE AUDUSD FAILED ON THE UPSIDE (ABOVE THE .6650 LEVEL), WHICH NOW BECOMES A KEY RESISTANCE.
ON THE DOWNSIDE, YOU CAN SEE ON THIS CHART WHERE KEY LEVELS IN THE .65XX LIE.
AUD SEEMS HOSTAGE TO RISK OFF AT THE MOMENT, SO HOW STOCKS TRADE NEED TO BE WATCHED FOR A CORRELATION.
CURRENT RISK IS TILTED DOWN. BUT TO KEEP IT SIMPLE, .6600 SEEMS PIVOTAL IN DETERMINING WHETHER AUD GOES FOR .6579 AND BELOW.
The US House has passed a bill calling for a new oversight arm to regulate crypto technology. The Securities and Exchange Commission vehemently takes the position it will allow for regulatory precedents to be thrown out and will create unestablished frameworks and vastly increased risk for investors if the technology is not regulated as securities.
The bill treats it as commodities, hence setting up a duel between the SEC and CFTC over who profits from regulating it. It is the view of Monedge that is really all it is about. Regulatory job security and market share. Our experience with both bodies is the frameworks are already full of holes, are now as much an agency business growth model as a consumer protection mechanism.
Our vote is for an upgrade to the regulatory structure and a cleaning house of its management.
EURUSD Weekly
Supports at 1.08000, 1.07600 & 1.06900
Resistance at 1.08800
If this pattern continues to evolve in the right direction – Down, we are coming back to talks about Parity…
This is weekly chart and not really proper for daily trading, but you have to go back to it every now and then to be able to understand the big picture and use it for daily trades.
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