Best Trade Ideas for April
I know we've had quite an amazing run these past few month, with over 78% accuracy in our trade ideas and sentiments, and thousands of pips in profits monthly...
Japanese Yen significant weakness rises questions
Information is not investment advice
Ichimoku Kinko Hyo
AUD/JPY: The pair is trading below the cloud. A downward pressure would lead the pair to exit further the cloud, confirming a bearish outlook.
Fibonacci Levels
XAG/USD: Silver continuous to stand above 38.2%, there is a battle between bulls and bears that is taken place.
EU Market View
Asian equity markets eventually traded mostly positive as the region gradually broke free from the mundane tone from Wall Street. Asian shares were a touch below a recent three-month top on Thursday with China a tad weaker as investors weighed inflation concerns ahead of key U.S. economic data while oil prices rose to near 1-1/2 year highs. White House said US President Biden had a constructive and frank discussion with Republican Senator Capito and that they agreed to talk again on Friday.
A weekly unemployment report and May private payrolls data on Thursday will be followed by monthly jobs numbers on Friday, with investors looking for signs of an economic rebound and rising inflation. Philadelphia Fed Bank President Patrick Harker also restated his call that "it may be time to at least think about tapering our $120 billion in monthly Treasury bond and mortgage-backed securities purchases."
The Fed has already announced it would begin unwinding the corporate bond holdings it acquired last year to calm credit markets at the height of the pandemic. Adding to inflation fears, oil prices hit the highest level in 1-1/2 years led by a decision by major producing nations to restore supply only gradually while the slow pace of nuclear talks between the United States and Iran also helped. The U.S. Federal Reserve published its "Beige Book" report, which pointed to labour shortages and inflation pressures.
The dollar edged higher in early European trade Thursday, remaining near five-month lows, ahead of key economic data which could influence the Federal Reserve’s monetary policy thinking. The dollar has remained broadly offered for most of 2021 as traders have reacted to ultra-easy Federal Reserve policies, and the suggestions that these would stay in place for some time, as the world recovers from the Covid-19 pandemic. However, some traders have started to become nervous as a surprisingly strong U.S. economic rebound and growing inflation concerns pose a threat to this key assumption that interest rates stay low for a prolonged period.
Oil prices rose for a third day on Thursday on expectations of a surge in fuel demand later this year, particularly in the United States and Europe and China, at the same time major producers are maintaining supply discipline.
Looking ahead, highlights include EZ, UK and US Services and Composite Final PMIs, US ADP, IJC, ISM Services PMI, DoEs, ECB’s Elderson, BoE’s Bailey, Fed’s Bostic, Kaplan, Harker, Quarles speeches.
EU Key Point
- AUDNZD at key area for seller
- ICYMI: Fed plans to wind down corporate bond holding
- Germany reports 4,640 new coronavirus cases, 166 deaths in latest update toda
- US announced new delayed tariffs against six countries re tech company’s ta
- China Caixin/Markit PMIs Services 55.1 and Composite 53.8 for Ma
- Australia trade balance for April shows a surplus of AUD 8028m (expected surplus A$8250m).
- EU official says he expects an Iran deal at next week's talks recommencement.
- Australian Construction PMI (May) 58.3 (prior 59.1).
- Federal Reserve says it plans to wind down its coronavirus pandemic Corporate Credit Facility.
Similar
CAD Might Weaken As Oil Market Plunges
Futures for Canada's main stock index rose on Monday, following positive global markets and gains in crude oil prices. First Citizens BancShares Inc's announcement of purchasing the loans and deposits of failed Silicon Valley Bank also boosted investor confidence in the global financial system...
Bitcoin & Gold - Safe Haven Amid Bank Crisis
Investor confidence in the global financial system has been shaken by the collapse of Silicon Valley Bank and Credit Suisse. As a result, many are turning to bearer assets, such as gold and bitcoin, to store value outside of the system without...
Popular
What Will Happen with the Euro? An Economic Perspective.
eurusd-is-falling-what-to-expect-from-the-future-price-movement
Will Australia's "Rampant Inflation" Prevail in May?
Greetings, fellow forex traders! Exciting news for those with an eye on the Australian market - the upcoming interest rate decision could be good news for Aussies looking to refinance or take out new loans. The Mortgage and Finance Association Australia CEO, Anja Pannek, has...
How Will BoJ Meeting Affect the Yen
Hold onto your hats, folks! The Japanese yen took a nosedive after the Bank of Japan (BOJ) left its ultra-loose policy settings unchanged, including its closely watched yield curve control (YCC) policy. But wait, there's more! The BOJ also removed its forward guidance, which had previously pledged to keep interest rates at current or lower levels. So, what's the scoop? Market expectations had been subdued going into the meeting, but some were still hoping for tweaks to the forward guidance to prepare for an eventual exit from the bank's massive stimulus
Choose your payment system
