NEWS | 2 minutes ago By Anil Panchal AUD/JPY daily chart The AUD/JPY pair stretched its Friday’s bounce to near 78.00 during initial trading hours on Monday. The 78.77 horizontal-line connecting early January highs seem immediate resistance for the pair, breaking which 50-day simple moving average (SMA) at 79.15 could restrict further upside. Alternatively, pair’s
Sterling (GBP) Talking Points: BoE cuts growth forecasts but Sterling re-traces the sell-off. Incendiary comments aside, Brexit remains no closer to resolution. The DailyFX Q1 GBP Forecasts are available to download including our short- and medium-term look at Sterling. Fundamental Forecast for GBP: Neutral A tough week for trying to value Sterling looking forward with
“When it comes to the story of sluggish wage growth, the Groundhog Day we’ve been seeing since June last year has finally changed its tune,” argues ING’s chief international economist, James Knightley. ”January saw wage growth finally pick-up for full-time workers, and we don’t expect this to just be a temporary relief.” Key quotes “After the hiring
The US dollar was the top performer this week The US dollar rebounded this week. Unfortunately it wasn’t due to surging US fundamentals or an upbeat outlook. Instead it was a result of risk aversion and dollar inflows especially on stumbling emerging markets. Along with that, the yen and Swiss franc joined the US dollar
“This week’s growth revisions have underpinned the downside risk to global activity this year,” points out Rabobank’s Senior FX Strategist Jane Foley. Key quotes “Although risky assets have had a good start to the year on the back of the more dovish outlook of the Federal Reserve and (potentially misplaced) optimism regarding a US-China trade deal,
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AUD/USD touched the lowest since Jan 4 earlier today The RBA was downbeat on economic and inflation prospects for the Australian dollar in a report today. It fell as low as 0.7061 but has rebounded to 0.7092. Morgan Stanley says there is scope for further losses. Declining yield and interest rate differentials stand in contrast
Government shutdown data continues to trickle out The good news is that a second US government shutdown doesn’t appear likely. Top Republicans and Democrats are negotiating to avoid a shutdown on February 15 and there’s talk of a deal on the weekend or Monday. The week starts out light in terms of economic data but