Will GBP Plunge on Monetary Policy Summary?
The Bank of England will publish a monetary policy summary on Thursday, June 16, at 14:00 MT time (GMT+3).
Gold Surged, Traders Await FOMC Minutes
Information is not investment advice
What you need to know on Wednesday:
- The US service sector growth was slower than expected. The Services Managers' Index is 60.1, while the forecast was 63.4. It’s a negative factor for the US dollar.
- Oil prices had the largest decline since mid-March yesterday as OPEC+ members couldn’t make a compromise.
- Traders are awaiting the FOMC Meeting Minutes today at 21:00 GMT+3 (MetaTrader time) to get more hints on when the Fed may start tapering the emergency asset purchases, which will push the USD up.
- Gold has surged above the psychological mark of $1800 ahead of the Minutes from the Fed’s meeting.
Technical tips
EUR/USD is moving down. The breakout below the psychological mark of 1.1800 will press the pair down to the next round number of 1.1750. On the flip side, if the pair breaks above the resistance level of 1.1850, the way up to the 50-period moving average of 1.1875 will be open. Notice that the pair has failed to break above the 50-period moving average many times already, that’s why even if the pair approaches it, it will reverse down from it.
Gold has broken above $1800. The doors are open towards the 38.2% Fibonacci retracement level at $1815. If gold crosses this mark, it may jump to the key resistance zone of $1830-1833, which will be hard to cross as it’s a 50% Fibo level. Support levels are $1790.00 and $1775.
USD/JPY is moving inside the ascending channel. It has bounced off the lower trend line and now it’s getting closer to the 50-period moving average of 110.90. If it breaks it, it may jump to the high of June 5 at 111.15. Support levels are the lower trend line of 110.50 and the mid-June lows of 110.15.
Similar
Will the Fed Surprise Investors?
The Federal Reserve will make a statement regarding the future monetary policy on Wednesday, June 15, at 21:00 MT time (GMT+3).
How Will USD React To The US PPI?
The US PPI will come out on Thursday, May 12, at 15:30 MT time.
Popular
Bank of England Tries to Save the Pound
The governor of the Bank of England, Andrew Bailey, will hold a speech on June 29 at 15:30 MT time (GMT+3).
How Will US PMIs Affect the USD?
The US Markit will publish Flash Manufacturing and Flash Services PMIs (purchasing managers' indices) on June 23 at 16:45 GMT+3.
Will Fed Chair Powell Move the USD?
The Fed Chair Jerome Powell will testify on the Semi-Annual Monetary Policy Report before the House Financial Services Committee on June 22-23 at 17:00 GMT+3.
Choose your payment system
