Ichimoku Kinko Hyo CNH/JPY: The CNH/JPY pair is trading above the Kumo…
EСB will struggle to soften euro for long time
Information is not investment advice
Ichimoku Kinko Hyo
EUR/JPY: The pair is trading above the cloud. An upward pressure would lead the pair to exit further the cloud, confirming a new bullish outlook.
XAU/USD: Gold bulls return and send price above 61.8% retracement area.
US Market View
The U.S. will release its weekly numbers on jobless claims, at a time when Congress is still struggling to make any headway on a fiscal relief package – not least due disagreements over enhanced unemployment benefits. U.S. stocks are set for another flat opening, still in suspended animation as talks continue on Capitol Hill over a stimulus package. Boris Johnson and Ursula von der Leyen gave their negotiators another four days to bridge still-wide differences over key issues such as fishing rights, state aid and dispute resolution, after failing to make any visible headway in personal talks on Wednesday. The European Central Bank is expected to provide fresh monetary stimulus at its council meeting.
USA Key Point
- ECB Lagarde: The economy seen shrinking in Q4, with the services severely curbed
- US initial jobless claims comes at 853K vs 725K than estimate
- The AUD is the strongest and the GBP is the weakest
This week, there are a few high-probability trade ideas I'd like to recommend to you. Trading these setups, be sure to implement a proper risk management approach.
On Thursday, the 2nd of February, the Bank of England will publish its report concerning interest rates and inflation data for the Eurozone. Professionals and investors anticipate that Andrew Bailey’s lead team of policy makers will likely raise interest rates to 4%; the highest in over a decade, for the tenth time in a row.
The first FOMC meeting comes after a buildup of anticipation from traders and investors alike, as the markets await what posture the Fed will take regarding the interest rates; would there be a hike or a cut in interest rates? Recall that the Federal Open Market Committee had previously ended the year 2022 with a 50bps hike, and an indication from Powell, the committee chairman, that the Fed could consider raising interest rates by 75bps in the course of the year 2023.